These days you have numerous banks to choose from. Here are the 8 important things you should look for when you choose a bank. How to choose a bank?
Choosing the right bank is a personal choice. In this era, everyone needs to have a bank account. The purpose of a bank account is different for every individual. For most of the people receiving direct deposits or setting up automatic bill payments is the only aim to have a bank account. On the other hand, the case may differ for business persons.
Opening a savings account is the best way to start saving for the future. You also need a bank to get a mortgage or loans. As there are numerous banks to open an account which becomes confusing for some. In this article, we’ll help you to choose a bank which not only meets your needs but also save you from various “banking traps”.
How to Choose a Bank that fits your needs
Looking for a new bank? First, think about what you really need.
Are you dissatisfied with your current bank and want to open a new bank account at a different banking institution? Do you want a bank with free and easy ATM access?
Your need will have an impact on how you compare different bank options available to you. Before choosing a bank make a checklist of what you really want from the bank. Better to prioritize!
Just compare each bank’s account types, benefits, customer services, and fees, etc. Once you undergo what you’re searching for, you’ll be prepared to compare your options.
FindABetterBank.com will help you to choose a bank by just entering your zip code (U.S. only) and a few other details.
8 Things to Look When Choosing a Bank
Because you will be forming a relationship with the bank, you will have a right to gather information from the bank. Here are things to look for in a bank:
Look for the banking fees and charges. Some of the banks even charge huge fees for ATM transactions. Find out monthly maintenance charges and other fees that bank charges. It will always be a good option to look for a bank that charges little to no fees.
Also, one of the smarter moves one can make before choosing a bank is to check the bank account closing charge. On the other hand, you should also consider is denial fee – a fee you get charged when you try to make a transaction and it gets denied.
2. Minimum Balance
Find a bank whose minimum requirements are fairly low. Some bank accounts will charge a fee if you drop below a certain minimum balance. This is reasonable for a money market account. A standard saving or student account should have no minimum deposit requirement.
Before you open a bank account, make sure that the bank is insured. This means that if your bank gets into some finances trouble, you will get your money. It’s a good idea to check your bank’s health.
4. Customer Service
Customer Service should be the main priority when you choose a bank. Select a bank that provides 24/7 customer support via telephone, e-mail, e-chat in multiple languages. Check if they have additional options to submit a query during technical issues.
Suppose you lost your debit/credit or Forex card, the bank must assist you and block your card immediately.
Almost every bank provides internet banking which can be accessed through your desktop or mobile. But most of the traditional banks don’t have easy-to-access or inconvenient to track your money. Check if the bank provides all the necessary options for the mobile app.
6. Loan Options
In most cases, people don’t ask the account manager to provide details of the loan options and charges. While you don’t have to get a loan at your primary bank, it can still be worth to know that your bank offers reasonable loan rates. Find out programs related to mortgages and auto loans. Also, do research on the personal loans offered by the bank. This will help you to estimate whether or not the bank provides special programs and lower rates for its customers.
Last but not least! In this age, almost every bank has a mobile app and an online banking platform. One should choose a bank that provides an option to check your balance on your phone instead of logging in online.
By visiting the bank’s website, you can get an idea of how tech-savvy a bank is. If the website looks modern, its mobile app and online account services will likely be good.
8. Bank and ATM Accessibility
You must choose a bank which has a huge number of branches throughout the city. This will keep you unstressed if you need the on-site service from the bank.
Select a bank that has ATM facility near the place you live in. Also, make sure there are enough ATMs near the places you visit. This way you don’t need pay fees for using an out-of-network ATM. This is especially crucial if you withdraw cash frequently.
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