A savings account or savings deposit account is an account held by a bank which is designed for long term deposits of a customers funds. Savings accounts receive interest on the deposited funds, often based on the customer's total balance, with higher balances typically being granted higher interest rates. The account differs from a Certificate of Deposit in that the funds are accessible by a customer at any time without penalty either by direct withdrawal with a teller, or through an Automated Teller Machine, though certain types of savings accounts such as Money Market Accounts can also be accessed using access checks. Savings accounts are often used as a funding source for overdraft protection.
Savings accounts are regulated by the Federal Reserve. For example, Regulation D governs limits on the number of withdrawals that can be done from a savings account during a single billing cycle, and Regulation DD (also known as the Truth in Savings Act) requires that banking institutions fully disclose the operating provisions of a savings account to a customer.