What is a locked savings account?

A locked savings account is an account that limits access to your money. Certificates of deposit (CDs) lock your funds for a set term, and withdrawing early usually comes with a penalty, but in return, they offer higher, fixed interest rates that stay the same even if overall rates drop. Savings accounts, on the other hand, don’t fully lock your money but may limit how many withdrawals you can make each month, giving you some access while still encouraging you to save.

Is your money stuck in an online savings account?

Generally, no - an online savings account doesn’t lock your money in for a set period. You can usually withdraw or transfer funds whenever you need to, although some banks may place limits on how often you can move money each month or require transfers to a linked account. If you’re worried that your money is stuck for a set time in an online savings account, that typically applies only to products with fixed terms, like certificates of deposit (CDs) or other locked savings options. Standard online savings accounts are built for flexibility, letting you access your balance while still earning interest.

Can I lock my current savings account so I can't spend money?

Probably not. While you can deactivate, or just cut up, your debit card to reduce the urge to make withdrawals, you'll still be able to withdraw money at a branch. Some banks may allow you to temporarily freeze your account, but this is sometimes limited to checking accounts or accounts that may be compromised. And if you are able to freeze your account, as the account holder you'll still be able to walk into the bank, unfreeze it and withdraw money. Your best bet is opening an account that's difficult to withdraw money from.

Can I get a locked savings account to save for Christmas?

Yes, some banks offer Christmas savings accounts that don't let you withdraw your money until the holidays. Read our guide to Christmas accounts to learn more.