{"id":21100,"date":"2025-12-04T12:58:45","date_gmt":"2025-12-04T18:58:45","guid":{"rendered":"https:\/\/www.discover.com\/online-banking\/banking-topics\/?p=21100"},"modified":"2026-02-03T17:20:56","modified_gmt":"2026-02-03T23:20:56","slug":"how-to-grow-your-savings","status":"publish","type":"post","link":"https:\/\/www.discover.com\/online-banking\/banking-topics\/how-to-grow-your-savings\/","title":{"rendered":"How to grow your savings (even if interest rates decline)"},"content":{"rendered":"\n

In 2024, the Federal Reserve<\/a> began to lower interest rates from a 23-year high. Specifically, the U.S. central bank made three cuts, amounting to 100 basis points, or one percentage point. While this trend suggests Fed officials feel inflation is getting under control, it also means savers might find it more challenging to earn meaningful returns on their hard-earned money.<\/p>\n\n\n\n

However, a falling rate environment doesn\u2019t mean you must accept sluggish savings growth. The 2024 Generational Wealth study from YouGov<\/a> reveals that nearly three-quarters of Americans, including 81% of Gen Zers and 79% of millennials, plan to ramp up their savings in 2025.<\/p>\n\n\n\n

The study also found that Gen Z and millennials view obtaining generational wealth as more achievable now than in the past. Nearly half of the respondents said they\u2019re optimistic about their financial futures in 2025, compared to just a quarter of older generations who believe the same.<\/p>\n\n\n\n

If you count yourself among the many hoping to save more this coming year, these money-saving tips<\/a> can help you save more effectively, even if interest rates dip.<\/p>\n\n\n\n

How to make your savings grow faster<\/h2>\n\n\n\n

While traditional savings accounts may not produce the same yields in a falling-interest-rate environment, that doesn’t mean you should put your goal of saving money in 2025 on hold. The best way to grow your savings is to consistently sock away money, even in small amounts. In fact, it\u2019s one of the most beneficial financial habits you can build.<\/p>\n\n\n\n

These tried-and-true strategies can help you squeeze more money out of your budget and reach your savings goals faster:<\/p>\n\n\n\n

1. Trim your spending <\/h3>\n\n\n\n

If you\u2019re wondering how to make your savings grow faster, the answer is simple: The less you spend, the more you can save<\/a>. It could be as straightforward as canceling an unused subscription or two or giving up your gym membership to seek out free ways to exercise. Then, take the money you\u2019re saving and tuck it away in savings instead.<\/p>\n\n\n\n

\"A<\/figure>\n\n\n\n

<\/p>\n\n\n\n

According to the YouGov study, the top categories where people plan to first cut their spending are eating out (58%), travel (38%), and clothing (36%).<\/p>\n\n\n\n

Here are some other simple tips for spending less\u2014and, therefore, saving more:<\/p>\n\n\n\n