Saving money is one thing people aim to do but is often difficult to commit to. While banks and other financial institutions offer several options to help individuals start saving money, these services are not easily accessible to everyone. Low-income earners are at a disadvantage because most of the resources available to them often come at a high price.
Act of Saving
One of the essential aspects of accumulating capital and ensuring a stable financial future is by saving money. This gives you a way out of life’s uncertainties and allows you to lead a more fulfilling life. Setting aside some funds for emergencies allows you to prepare for situations that require unforeseen expenses. Having an adequate amount of savings can also give you the financial freedom to take more chances or try new things.
Importance of Saving
Why Do We Need Money?
Money isn’t everything in life, but it is a critical component to get us by. It allows us to provide for ourselves and our families and helps us accomplish all of our life’s objectives. Money also gives us the freedom to support the things we care about, such as our basic needs and education. Additionally, we can use these funds to provide charity to those in need.
Our finances also enable us to obtain some of life’s intangibles. Money can help us gain independence, maximize our abilities and talents, chart our own paths in life, and achieve financial protection.
How much money should you have in your savings?
What exactly is the point of all this money-making? How much cash do you require? Your lifestyle and material requirements determine the answers to these questions.
Your financial condition determines how much money you should have in your savings. Everyone has an opinion about the amount of money you should have in your bank account. The reality is, it depends on your financial circumstances. The funds for your daily payments, discretionary expenses, and the part of your savings that makes up your emergency fund should all be kept in the bank.
Money isn’t fascinating in and of itself. What matters most is what money can do for you. Money provides you with flexibility and options. When you have a good income or financial capital, you can choose where and how you want to live.
So, where do you get your cash? Preparing for a successful career is the best way to meet your financial and lifestyle goals. Money should not, however, be the primary factor in determining your career course. In an ideal world, your profession will include work that you enjoy and can connect with.
Micro Savings Philippines
What is Micro Savings in the Philippines
Cebuana Lhuillier through its banking arm, the Cebuana Lhuillier Rural Bank, has unveiled the Cebuana Lhuillier Micro Savings account to give more unbanked Filipinos access to banking services. Through Cebuana Lhuillier Micro Savings, the company supports and helps promote the advocacy of the Banko Sentral ng Pilipinas (BSP) for financial inclusion in the Philippines.
Cebuana Lhuillier Micro Savings is a savings account that aims to make banking more accessible to Filipinos. It’s similar to a standard savings account, except it doesn’t require you to maintain a balance. In addition, it only has as a Php 50 initial deposit fee and has fewer documentary requirements.
The minimum balance requirements are often waived or extremely low, allowing users to deposit their funds in small increments.
With Cebuana Lhuillier’s nationwide network of more than 2,500 branches, account holders can deposit and withdraw money whenever it is convenient for them. You can also use your card to make cashless transactions in any of the 350,000+ Unionpay and Bancnet-accredited retail stores and withdraw cash at any of the 21,000+ Bancnet ATMs nationwide.
What is the procedure for opening a Cebuana Lhuillier Micro Savings account?
Fill out the Client Customer Information File Sheet and submit the following to any of Cebuana Lhuillier’s 2,500 branches nationwide:
- 1 Government-issued ID
- Birth Certificate (applicable to minors only)
- Student ID (applicable only if the student is currently enrolled)
- A minimum initial deposit of P50
- P150 card fee (for clients without 24k card), P75 for card upgrade (for existing 24k card holders)
Benefits of Micro Savings in the Philippines
Since a micro savings account is less expensive and has fewer documentary requirements than a traditional bank account, it is a way for low-income families or individuals to save money and take control of their future.
Cebuana Lhuillier Micro Savings accounts are also available to children as young as 7 years old, so parents can teach their kids about responsibility and the importance of managing their finances.
Is Micro Savings Safe?
We always ensure that your deposit is safe with your Cebuana Lhuillier Micro Savings account. Our personnel at Cebuana Lhuillier branches are fully trained and capable of handling finances with the utmost care. Your account is also secured by a PIN that will always remain private.
How Can You Get Micro Savings in the Philippines?
Cebuana Lhuillier’s Micro Savings service is extremely comprehensive, but the application is quite simple. To start the process, just go to any of Cebuana Lhuillier’s 2,500 branches nationwide, fill out the Client Customer Information File Sheet, and submit the requirements.
How much is the interest of Cebuana micro savings?
Check out this table for details:
|Interest Rate Per Annum||0.30%|
|Minimum Balance to Earn Interest||Php 500|
|Minimum Maintaining Balance||None|
|Maximum Account Balance||Php 50,000|
|Deposit Amount||Min. Php 50; Max Php 50,000|
|Withdrawal Amount||Min. Php 100; Max Php 5,000|
|Number of Allowed Withdrawals Per Day||3|
|Withdrawal Fee||FREE until further notice|
|Requirements to Open An Account||1 valid government ID|
|New Card Fee||Php 150|
|Card upgrade fee (para sa existing Micro Savings account holders)||Php 75*(subject to change without prior notice)|
Are Cebuana Micro Savings Accounts Safe?
Yes, they are. Cebuana’s Micro Savings accounts are the future of low-cost banking. They have been established as the most accessible banking option, and we are constantly improving our reliable and extensive services.
How Much is the Withdrawal Fee in Cebuana Micro Savings?
The withdrawal fees may vary depending on the rates.
How Does Micro Savings Work in Cebuana?
Cebuana Lhuillier Micro Savings aims to make banking more accessible to Filipinos. It is similar to a regular savings account, but it does not require account holders to maintain a balance. With Cebuana Lhuillier’s nationwide network of over 2,500 branches, individuals can deposit and withdraw money whenever and wherever they need to.
Savings Account Philippines
Whether you’re budgeting, working a side hustle, cutting expenses, or getting out of debt, the main goal is to increase the amount of money you have available for savings and investments. However, before you do achieve that, you must have a secure and dependable location for your money.
A savings account is one of the most common types of bank accounts in which a person can invest. It is a single account that can be used for a variety of purposes. In fact, there are several types of savings accounts that can be used to meet various needs.
In addition, savings bank accounts earn interest. Their current balance contributes to an individual’s income. Some banks offer higher interest rates for keeping a larger balance, while others offer a sweep-in facility that allows account holders to earn more interest income.
With so many types of investments promising potentially higher rates of return, you may be wondering why you need a savings account at all. The bottom line is that any solid financial plan is built on a foundation of liquid assets, such as cash and funds in a checking account. Your checking account may cover your daily expenses, but there are several reasons to keep some money in a savings account.
The significance of a savings account is often overlooked. Here are the reasons why you should consider having one.
- A Platform for Collecting Funds and Making Payments
A savings account is an excellent place to save money from various sources. There are no limits on the number of cheques that can be deposited, issued, or paid. This makes owning, maintaining, and using it quite simple.
- Preparation for Emergencies
Preparing your financial life for unforeseen circumstances is one of the most important pillars of good personal finance. Nobody is immune to emergencies, so you should always be prepared for them.
Some people refer to this as an “emergency fund,” while others refer to it as a “rainy day fund.” Whatever you call it, a savings account is one of the best places to keep the money you set aside for emergencies.
- Keeps Your Money Safe
It’s always critical to keep your money safe, whatever platform you choose. Savings accounts always feature the best possible security measures to ensure to give account holders peace of mind.
- Savings for Your Life Goals
Opening and managing a savings account allows you to organize your finances and makes future planning more accessible. Even if you’re already saving for the future, keeping all of your money in a checking account can make it challenging to keep track of your progress. With that, look for online savings accounts that allow you to set up multiple “subaccounts” to help you organize and minimize fees.
You may not have the financial means to make a large purchase on the spur of the moment. Setting aside a set amount of money in a savings account each month toward the cost of a large-ticket item ensures that you can eventually afford it.
- Credit-Based Self-Determination
A savings account may allow you to meet your financial goals without relying on credit or loan. If you save enough money in a savings account, you will be able to buy things you want or need without having to take out a loan or use credit. This means you’ll be able to control your finances much better.
- Reduces Your Spending Temptation
A savings account requires you to separate a portion of your money from your daily spending money. Putting up barriers to stop impulse purchases can help you stick to your monthly budget and stay out of debt.
- Retirement Plans
A savings fund can also be a valuable retirement resource. In fact, a good savings account can allow people to retire early if they desire. Because savings funds earn interest when kept in banks, a large enough fund can provide retirees with the ability to live comfortably without depleting their principal balance. This can significantly improve a person’s quality of life after retirement.
- Plans for Building a House
Individuals and families with a good savings fund can also increase their chances of buying the housing they desire. A good savings fund can provide much-needed cash for securing an apartment, as well as a substantial down payment on a home.
Banks typically require a down payment of around 20% on a house, so a healthy savings fund can often enable buyers to purchase a larger home and have more negotiating power when making an offer to realtors.
- Funds for Education
Savings accounts can also benefit families in the long run by providing funds for college education and private schooling. Tuition rates at most colleges and private schools can be expensive, but a good savings fund can make paying for a child’s education much easier and less stressful. Individuals can also use a savings fund to return to school and seek new qualifications if additional education would lead to a better job.
- Provides a Good Example
Putting money into a savings account at your local bank provides a teachable moment for your children. Showing your kids how to save allows them to practice self-control.
For these reasons, establishing a solid savings plan can be one of the most rewarding endeavors you can undertake. It may be difficult at first to create a household budget that allows for savings, but with time, the process of saving each month will become easier. Eventually, the rewards will be well worth the effort.
Once you’ve established a savings account, one of the best ways to save money is to automate your savings. This way, you don’t have to remember to put money aside every time you get paid. Numerous innovative and simple-to-use tools available can help you save money automatically.
Best Savings Account Philippines
A savings account is the most secure way to save your money. With eCebuana, you can do a lot of things.
The eCebuana app allows Cebuana Lhuillier clients to easily access micro-financial services such as Micro Savings, Money Remittance, Bill Payment, and E-load services.
Users can transfer money from their Cebuana Lhuillier Micro Savings accounts to other Micro Savings accounts using the eCebuana app. They can also pick up the money at any Cebuana Lhuillier branch, which grants a 20% reduction in fees. In addition, users can use Instapay to transfer money to other banks.
The app already has over 350,000 downloads. It will be updated with new features such as a Pawn Renew Online service and the ability to open Micro Savings accounts without visiting a branch in the future.
It is very simple to open and maintain a savings account. You can easily apply for one by visiting a bank of your choice, submitting the requirements, and paying a small fee.
Until recently, banks required a minimum account balance for a savings account, which has now been waived by most institutions. Now, most account holders may keep any amount of money in their accounts without restriction.
Even if you don’t have specific financial goals, you should have a savings account if you earn money. Savings accounts can offer security and peace of mind, as well as a resource in the event of an emergency or a business opportunity. The glamor of other investments may overshadow a savings account, but it is just as important, if not more so.