A savings account is a type of bank account that allows you to deposit and save money while earning interest on your balance. The interest rate is usually lower than what you would earn on investments like stocks or mutual funds, but it is generally considered to be a safe and secure way to save money.

The interest you earn on your savings account is typically calculated on a daily or monthly basis and is credited to your account at regular intervals. This interest can be compounded, which means that you earn interest on both your original deposit and on the interest that has accumulated over time. Some savings accounts may also offer bonus interest rates or other incentives to encourage you to save more.