You may be looking to set up your first bank account – and it seems like there are way too many choices out there. The last thing that you want is to sink money into a bank account that winds up draining it … even before you pay bills. Even Brad Kern wants to be sure that his own bank is fair.
So, this post was written to help you have the best banking experience possible.
Table of Contents
Know What Account Works Best for You
There are several types of banking accounts that you can sign up for. You should be aware of what is the best one for the plans that you have – whether they are short-term or long-term ones. The first one is the checking account. This is typically the main one that you will be using in your day-to-day banking activities. You can link your account to pay bills online or get direct deposits from your job.
The second is for people who are also thinking more long term. This is the savings account. They can put money aside for future things. Are you interested in getting a large appliance or a car? Put money toward that. See what kind of interest rates you are going to get. The higher the interest, the more you can get.
Third is the money market account. This also tends to have a higher interest rate, but you will likely be held to a monthly limit of how much you can withdraw. You can get a Certificate of Deposit, or a CD. You will have to keep the money in there for a certain amount of time. Otherwise, you could pay a penalty.
Finally, there is a retirement account. This is very long term and you have to be at a certain age to withdraw the money.
What To Ask
Okay, you read all the types of accounts. Now you should be asking the people certain questions to help guide you. They include:
- The interest rate
- Whether there is an account fee
- Whether there are ATM fees
- Whether ther is online banking
You want to be able to get as much out of your bank as you possibly can. Be sure to do as much online research as possible and see what banks are in your area. You do want to be able to go to a branch if necessary. By doing the above, you will help your chances.