Finding a Bank That Benefits You
Posted at by ifydcat on category Personal FinanceWith the economic crisis of recent times still hovering over the banking industry, you as a consumer want to make sure that you choose one that benefits you personally, rather than just the institution itself. It is a mutual relationship and everyone needs to benefit on some level. However, make sure that your needs and goals are met by the bank that you choose. Read on for some ideas on what to look for and how to wisely choose a bank that offers benefits that are conducive to wise financial planning on your part.
Most banks will charge you a fee for checking accounts through their institution, and this is not a bad thing. However, there are ways to get free accounts that will benefit both you and the bank. Check into the policies of the banks in your location, and choose one that offers free checking with minimum deposit amounts. If you have the ability to maintain a minimum level of funds in your checking or savings account, you can end up with no fees for this service. This is because the bank has the ability to use “available funds” to make investments of their own. Compare rates of several banks, and always ask for options that they may not tell you from the beginning.
Look for interest bearing checking or savings accounts, and find out who offers the best rates. These can vary significantly from one institution to the next, so ask about all options available to you. You may not automatically be told about ones that are in your best interest.
In case of conflicts or times when you accidentally overdraw your available funds, it is always good to have a “home branch” of your bank where you are known and they have a vested interest in keeping you happy. Find a banking institution that has a branch near you, and go there in person as often as possible. This can also help if you have a large deposit and do not want a hold to be placed on your funds.
Make sure that your bank has an ATM available near you, since you will be charged fees for withdrawing funds from ATM machines that are not your home bank. If you travel often, choose a national chain bank where you can make deposits easily, as well as withdraw cash without fees.
When using a debit card, make sure you know whether or not there are fees incurred per use. Know the difference between running purchases as a debit or credit and what the benefits are to you for each option. Both banks and retailers benefit from each choice that you make, so be sure that you personally benefit, too.
There has been much publicity in recent times over whether to choose a bank or a credit union. Realize that credit unions are no longer just for people who work at a particular job, but most are available to the general public. They often charge far less for loans and give more personal service. In the case of a financial meltdown similar to the one in recent times, you may be well served at a credit union who is less affected by international issues.
Above all, be informed, and look out for your best interests. Nobody else will do this for you. Take the tips here and apply them in a way that puts you in the best position possible.