With the fluctuating economy of today, people are constantly looking for banking institutions to keep their money safe. In turn, banks are constantly looking for new clients to trust them with their finances. People who work to advertise banks put in a lot of effort to convince consumers that their bank is the right bank to use. But really, is the bank that you are currently using the best bank? And, is the account that you currently have your money in the best bank account? Follow this guideline of choosing the best bank account to ensure that your money is being held in the right hands.
Select the Right Bank Account for You
Not all bank accounts are the same, and not all banking clients require the same account. First, let’s examine the different financial institutes that accounts can be opened. You can choose a bank or credit union. Each type of financial institute has their own types of accounts and stipulations included with those accounts. After deciding rather to use a bank or credit union, ask yourself a few questions to get you started. There are five main questions to consider when deciding what account is best bank account for you:
1. Why Do I Need This Account?
You should determine the sole purpose of the account you want to open. Accounts are opened for many reasons, including saving money, for direct deposit, to write and cash checks, or for someone else’s needs. Checking accounts are commonly used for writing checks or to receive paychecks through direct deposit. Savings accounts of certificate of deposit accounts are commonly used to save money.
2. How Quickly Can I Get My Money?
It is very important to make sure that your funds will be available when you need them. Knowing your banking hours, times that funds are transferred, and the daily limits of the bank will inform you of when your funds will be available for you. Also, knowing if the bank has other branches and ATMs along with their locations will be beneficial too. Find out if your bank offers internet and phone banking as well, which will make it easier to transfer funds when needed.
3. How Much Will The Account Cost Me?
Some banks offer accounts that do not include a maintenance fee, monthly charges, or even some money for opening the new account. However, some banks will not mention that those stipulations are only for a set period of time. It is important to read the fine print of any banking forms that are presented to make sure there are not any hidden fees.
4. Are There Any Additional Offers?
Ask if there are any additional perks of being a member of your chosen bank. Some banks offer low-priced deposit boxes or free processing for payroll payments. Some banks even offer freebies to different things. This definitely should not be the main reason for opening a particular account, but is certainly a plus and will have you convinced that your new account is the best bank account.
5. How Will My Money Be Protected?
It is very important to find out if and how your money will be protected in your account. According to the Federal Reserve System, all banks must offer some kind of protection for your money.
Requirements for an Account
Now that you are on the way to obtaining the best bank account for yourself, you must know the items you will need to open the account. These are the items that must be given to your banker when opening any bank account:
- Social security number
- Two kinds of identification (license, passport, state issued ID)
- Proof of residency
- A certain amount as a deposit
- Business registration (for business accounts)
Now, Open Your Account
Do not waste any time asking questions regarding your bank account. The best banks will make sure that you leave with no questions unanswered. To ensure that you are getting the best bank account, make sure that all of the following questions are answered:
- Am I able to use direct deposit free of charge?
- Can I use my account to pay bills?
- Does my account come with special rates for loans?
- What are the advantages of using my debit card?
- Is there a minimum balance that must be kept in my account?
Bank accounts are a great asset. It allows you the ability to keep your money safe, pay bills monthly, receive paychecks every pay period, and much more perks. However, it is easy to get caught up in the glamour that banks portray and end up not having the best bank account that you could have. It is important to know exactly what account you are looking to get and all of the incentives to having that account.