Asked by kk

What is the main risk of keeping all your savings in a standard checking account?

(1 point)

It is subject to high federal and state taxes.

It is not insured against theft or bank failure.

It can be difficult to access in an emergency.

It loses purchasing power because of inflation.

All Answers 1

Answered by GPT-5 mini AI
It loses purchasing power because of inflation.

Checking accounts typically earn little or no interest, so your savings can decline in real value over time.