Singletary

other young adults.

The organization looked at the accounts for small savers and measured accessibility (could savings deposits and withdrawals be made through tellers without a fee?), affordability (do savers have to pay a monthly fee and, if not, how do they avoid it?), and the promotion of automated savings (are the banks doing a good enough job encouraging checking-account holders to save through automated deposits?).

Overall, savings accounts at the banks they surveyed aren’t as accessible or reasonably priced as they need to be for lower-income families, said Stephen Brobeck, a senior fellow at CFA and author of the report.

Only one-quarter of the largest 101 banks offer consumer-friendly accounts for small savers, the CFA report argues.

Even if financial institutions have affordable and accessible savings accounts, many of them fail to aggressively promote automated savings, Brobeck said in an interview.

“Potential pandemics and increasing natural disasters make it even more important for Americans to build an emergency fund that can cushion income loss and unexpected expenses,” Brobeck said.

The key is to remove barriers to low- and moderate-income savers. A lower cost savings account is often tied to having a checking account. As the CFA points out, the typical monthly checking fee at large banks is $10 to $12. This monthly fee is generally waived if a customer maintains a certain balance and has a regular direct deposit, such as a payroll check. In the survey, most of the largest 30 banks set the minimum at either $300 or $500. Smaller banks and credit unions usually set these minimums at $250 or less, according to the report.

Just 10 of the banks in the study offer savings accounts with no monthly fees that can be opened and maintained at their branches. Six of

those 10 don’t require a minimum amount savers have to deposit to open an account. For example, Capital One’s “360 Performance Savings” account has no minimum deposit requirement.

To keep costs down for savers, several banks offer free online accounts that can only be opened online. Twenty-four banks offer low-cost savings accounts at branches to customers who agree to make monthly deposits of at least $25.

If you’re looking for an affordable savings account, you should check out the CFA report (https://consumerfedusa. org/banking), especially if you want to help your child or a young adult get into the habit of saving. Eighty of the 101 institutions don’t charge monthly fees on savings accounts held by young people under 18.

As Brobeck pointed out, if Americans are afraid to leave home or curtail their travel — just as summer vacation season is about to begin — some workers such as restaurant servers might see an immediate decline in their incomes. As the coronavirus spreads, many who are infected are likely to incur additional health costs, such as co-pays for doctor visits and medications.

The easiest way to build a cash reserve is to have your bank or credit union transfer funds regularly and automatically into a savings account.

I understand how hard it is for many families to save. But recent events are just another reminder of how vital it is to have an emergency fund.

Readers can write to Michelle Singletary c/o The Washington Post, 1301 K St., N.W., Washington, D.C. 20071. Her email address is michelle.singletary@ washpost.com. Follow her on Twitter (@ SingletaryM) or Facebook (www.facebook. com/MichelleSingletary). Comments and questions are welcome, but due to the volume of mail, personal responses may not be possible. Please also note comments or questions may be used in a future column, with the writer’s name, unless a specific request to do otherwise is indicated.