The interest rate can be either fixed or variable over the life of the account.

The account has no fixed maturity or end; if you maintain the minimum required balance in the account and the institution does not cease doing business, the account could earn interest over your entire lifetime.

The account often earns a higher interest rate than the rate earned on NOW and share draft accounts.

If you withdraw your funds prior to the account$$s specified maturity, it is possible to end up with less money than you originally deposited.

The account offers you greater flexibility with regard to the frequency and number of deposits and withdrawals.