Best Checking Account for 2015
Acquiring a checking account is one of the easiest methods of protecting the money you earn. When considering opening a checking account it is important to choose one that will afford you the most benefits. It is best to get a checking account that will work for you while costing you little to no money to maintain. Read on to find out what factors will ensure that you get the best checking account for your financial needs.
Features of a good checking account
A good checking account will offer options that allow you to bank more efficiently. Look for a checking account that has no monthly fees, low minimum amounts, pays interest on every dollar you spend, and a large no fee ATM network.
Finding an account with no monthly fees can be a challenge, but are not impossible to find. Having no monthly fee will give you peace of mind, that no matter how low your balance gets you will not incur bank charges. Often times checking accounts that have no monthly fee, require that a minimum of transactions are met each month. This quota is generally a number that can easily be met with two to three transactions per day. Since you will be issued a debit bank card when you open the checking account, you will use it to make most if not all of your purchases.
Be careful to find a checking account that has a low minimum requirement before opening the account. You’ll want to ensure that you will be capable of maintaining the account balance. As with no monthly fees, you can often times find checking accounts without a minimum account requirement as well.
Some banks offer interest payments on the balance in your account especially if you can maintain a higher balance. Select a bank that offers the best interest rate possible. Keep in mind that on-line banks tend to offer higher interest rates than traditional banks.
Choose a bank that has a large network of ATMs so that you can have access to your money with no added fees. Choosing a bank with plenty of ATMs will make it more convenient for you to gain access to your money when you are on the go. If you select a bank that has a smaller ATM network, choose one that reimburses fees for using banks outside of the network.
The Benefits of a Credit Union
A credit union is a popular alternative to traditional banking. Unlike banks, credit unions only service members who can join by meeting certain eligibility requirements like, place of employment, residential status or civil organization affiliation. Although eligibility requirements seem strict, most people will qualify for membership. Credit unions are often a favorable choice because they often charge lower fees. These lower fees often remain constant over a longer period of time in a credit union.
In addition to charging lower fees, credit unions are not for profit organizations. Since credit unions are not for profit, the money credit unions earn is filtered back to the members in order to offer higher interest rates on account balances.
Another benefit of choosing a credit union is the high level of customer service. Credit unions are able to implement more customer specific strategies that don’t depend on sales, or bureaucratic issues.
Credit unions also help banks improve the services banks provide, due to the high level of satisfaction of its’ members. Credit unions offer a full range of services similar to that of banks. The better credit unions perform, the more banks need to compete to retain and attract new customers.
Why a Checking Account is Vital
Minimum balances, account fees, ATM networks, and interest rates, can seem overwhelming. This apprehension can cause an avoidance of opening a checking account. Before you decide on this course of action consider the importance of having a checking account.
Your money is protected in a bank. Despite uncertainty in the financial market, the Federal Deposit Insurance Corporation (FDIC) will insure your money up to $100,000. As previously stated, earning interest on your money is a benefit that can only be attained if your money is in a checking account.
Many people are better able to manage money with the use of a checking account. Receiving pay checks by direct deposit makes getting paid much easier. Paying with check cards eliminate the tedious process of writing checks and balancing checkbooks.
Along with easier money management, checking accounts offer simpler options for paying for products and services. Using a check card to pay for purchases on line offers convenience with a wide variety of online retailers.
A checking account is also vital for the protection against theft and other damages. If your wallet or purse is lost or stolen, you can immediately have the card deactivated in order to avoid unauthorized transactions on your account. You can then, have a replacement card issued. Victims of theft very rarely see cash money returned to them, even if the burglar is apprehended. In the case of a fire or natural disaster, leaving large quantities of cash in the home will be lost indefinitely.
Managing your finances well is important to securing your financial future. Now that you know what options are available, don’t hesitate to secure your money. Whether you select a traditional bank or credit union you are certain to increase your financial stability.