Did you know that around 5.4% of US households didn’t have a bank in 2019? Having a bank is vital, though, as it offers a way to manage your money.
If you currently don’t have one but want to get one, you might be wondering what to look for when opening bank accounts.
You can look at many factors relating to bank accounts, including these five.
1. Types of Accounts
One factor to consider is the types of accounts the bank offers. Are you interested in opening a checking account, or do you want to pursue opening a savings account?
A savings account offers a way to store your money safely for the future. A checking account is ideal for everyday money management.
Many people have both types of accounts. You can choose which type you want by considering your main purpose of opening the account.
2. Minimum Balance Limits
Next, you might want to consider the bank’s minimum balance limit rules. A minimum balance rule states that you must keep a specific amount of money in the account at all times.
You can’t let your balance fall below this threshold. If you do, the bank charges a fee. Some accounts might have low minimum balance requirements, such as $100. Other accounts might require a lot more.
3. Fee Structure
The next thing to determine is the fees with the account. Some accounts charge monthly maintenance fees, while others are completely free.
Some banks only charge fees for certain services or situations. For example, every bank charges fees when an account holder overdrafts their account.
You can ask a bank to explain their fees to you before choosing an account. If you can find a free one, you’ll save money.
4. Convenience and Options
You might also want to consider the convenience and options for banks before selecting an account.
For example, does the bank offer a mobile app and online banking? Does it offer credit cards? If you plan on using credit cards, you might want a bank that offers them.
You can have a look at a bank’s services and options, as this can help you pick the right one.
Finally, you might want to factor in the location of a bank. If you want to go to a physical location, you will need a bank with a local branch.
Many banks offer online services, which allow you to do most things you need to do without visiting a branch. If you prefer this option, you will have a lot more bank accounts to choose from as you search for the right one.
Consider These Things When Opening Bank Accounts
After learning these things, you should have what you need to choose the right account. Opening bank accounts isn’t difficult or time-consuming, and you can have accounts at multiple banks.
Having a bank account is important in life, so find a bank today.
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