Have you chosen a checking account or a savings account? If you are considering changing your bank or looking for a new bank, how do you get started? What are some of the things that you need to look for? This article will help you to understand how to choose the right bank.
Some banks will allow you to open a checking account for free as long as you will have your money directly deposited into the account or if you will keep a consistent balance of at least $500. Your checking is a great way to save money and have it available to pay your bills in a timely manner. Most people will use a checking account for all of their bill paying needs. Here are some other things that you need to know about choosing the right bank.
Find a reputable bank
As you are looking for a great bank to work with, you need to consider the legitimacy of the bank. Many people like to bank with larger companies, which are well known as they feel it should be safer. The one thing we do need to remember is that even the large banks can fail as we saw from the recession. Look for a bank that is reputable and one that is backed by the FDIC so you won’t need to worry about issues dealing with theft or bankruptcy.
How many branches do they have?
While you want to look for a bank that is close to your home you also need to look for one that can provide you with multiple locations. This way you won’t have a problem finding the bank when you are traveling and you can get out some cash if you need to. Look up their locations online so you know where the ATM’s are if you do need to withdraw money.
As you open the account, how much will it cost you? It is important to understand how much money you will pay in fees to the bank. There are a lot of banks that will give you free bank fees if you will keep a specific amount of money in your bank account. The other thing to look at is the required deposit amount in order to open the account. It is also important that you research all of the bank fees for things such as an overdraft charge. You definitely do not want to bank with a company that will hit you with fees all the time for anything and everything that they can.
Determine your needs
What are your plans for the bank account? Are you planning to use it for checking account needs or would you like to have a savings account along with it? How about a car loan and credit card? Your bank may be able to offer you all of these different services, it is important to research them ahead of time so you do know what you are getting yourself into. Another thing to consider is how much money you will be putting into your bank account. It is important that you choose a bank that can handle large amounts of cash and can also insure it with the FDIC so you won’t lose your money. One other important thing to look at is if the bank will allow you to do direct deposits along with traditional deposits. There are some banks that only deal with direct deposits so if you get paper checks, you want to seek out a bank that has multiple locations for you so you can find a place to deposit your paycheck.