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People Keep Saving Despite Low Interest Rates

November 13, 2020

Interest rates on deposit accounts are hoovering at near zero percent due to the The COVID-19 pandemic, but that hasn’t stopped people from socking money away.

A Federal Reserve report indicated that commercial bank deposits were up roughly $13.2 trillion at the start of the year, hitting $15.9 trillion, according to a Wall Street Journal (WSJ) report on Friday (Nov. 13).

J.P. Morgan Chase and Bank of America — among the country’s biggest banks — usually keep rates low, despite the economy. Deposit remain high for any number of reasons, from loyalty and convenience to high-end branches and innovative apps.