The propensity to consume could be influenced by many factors; one of which could be the interest rate. Furthermore, the demand for money, which is the relationship between the amount of money people want to hold, and some factors that might determine the amount, determines to some extent how much people save, and whether they save at all. Furthermore, the consumer confidence index is known to be a crucial factor, which determines whether there is demand for money or not; people tend to save more during recessionary gaps, expecting tough times ahead. Likewise, people tend to save less when the economy is functioning at its optimal state and are more optimistic about the future. Next, we determined why people might be inclined to save money instead of spending it on consumer goods. Let us now consider how money could be saved, so as to bring the maximum return to the saver. Interest rates, to a large extent, determine whether you keep cash in hand or deposit the money in deposits that pay interest, such as checking accounts, savings accounts, money market or