Saving Money - DFPI

Saving Money - DFPI Saving Money In our consumer society, spending our money isn’t just easy; it’s encouraged and celebrated. However, many studies show that it’s not what we buy with our money that brings us happiness, but rather what we do with our money. And that’s where saving comes in. Savings can replace stress with security. They’re also the cornerstone for big life goals, like an education for the kids, or a downpayment on a house. We help Californians save, make smart money decisions, and understand their rights through our education and advocacy guides and materials. We also ensure a level playing field by regulating institutions like banks, credit unions, and financial service providers. Featured Resources Personal Finance for Couples: Managing Joint Finances Money is a common cause of stress in relationships, and if left unaddressed, it can impact more than just your wallet. Follow these tips to help you manage joint finances in a marriage or partnership. Savings and planning for retirement Sound money advice from DFPI. New Year, New Financial Goals Follow these eight tips to help you set your financial goals for the coming year and create a plan for successfully achieving them Useful Terms Interest Rate The interest rate is the percentage that a bank, credit union or other financial institution pays you for parking your cash in a savings account. (Note: Generally speaking, the higher the rate, the better!) Compounding Compounding is when your interest earns interest. Weird, right? Put more clearly, it’s the process by which the interest your account earns is added back onto your principal. Annual Percentage Yield (APY) Annual Percentage Yield (APY) is the sum of your compounding rate and interest rate that tells you what you’ll earn from your savings account. Monthly Maintenance Fee Banks can charge a monthly fee for “maintaining” your savings account, which they unsurprisingly call a Monthly Maintenance Fee. Overdraft Protection Overdraft protection links your savings account to your checking account to cover times when your checking goes into the red. Direct Deposit Direct deposit can make saving and reaching your goals easier by transferring wages or other funds straight into your savings account. FDIC Insurance The Federal Deposit Insurance Corporation (FDIC) insures deposits in banks and savings institutions up to a certain limit, known as FDIC Insurance. Other Useful Links Savings rule to live by Guide and worksheet, part of the helpful “Money rules to live by” series from the Consumer Financial Protection Bureau Options for storing your savings: A very useful guide to the benefits and risks of the leading savings options. Three simple things you can do to improve your finances Part of the smart, easy-to-use Smarter Living series from the New York Times. Other Recent Consumer Alerts and Insights Consumer Insights Free resources for learning money management Sep 24, 2025 Whether you’re a student, parent, or just looking to sharpen your skills, we can help. Consumer Insights Automobile Title Loans: What Consumers Need to Know Jan 29, 2026 Exercise caution before borrowing money through an automobile title loan. Few assets are more vital to Californians’ financial security than their automobiles. Using your automobile title as collateral puts that asset at risk. Alerts WhatsApp Investment Groups Falsely Posing as a California-licensed Broker-dealer Apr 15, 2026 The DFPI has received information that two WhatsApp investment groups, Freckie Capital and FRK Strategic Partner VIP3, are falsely posing as licensed broker-dealers, and convincing consumers to download the software application Bosonic (“App”). Alerts WhatsApp Investment Group called “Sofi Investment Group” Posing as a California-licensed Investment Adviser Mar 9, 2026 The DFPI has received information that individuals are using the WhatsApp group “Sofi Investment Group” to falsely present themselves as licensed investment advisers. Stay Connected Linked In Resources and Publications News Consumer Alerts Press Releases Events Reports Regulated Industries Actions & Orders Laws & Regulations Industries we regulate Commercial Banks Industrial Banks Public Banks Credit Unions Trust Services Securities Franchises Capital for Businesses Broker-Dealers & Investment Advisers Money Transmitters Debt Collectors Check Sellers, Bill Payers & Proraters Consumer & Commercial Loans Payday Lenders Insurance Premium Finance Residential Mortgage Lenders Mortgage Loan Originators Property Assessed Clean Energy (PACE) Escrow Student Loan Servicers