Bank accounts are the first building block of a strong financial situation. A savings account can help you plan and achieve savings goals, and a checking account can make paying bills simple and convenient.
How to choose a bank account:
What are the fees?
There are several factors to consider when choosing a bank account. First and foremost are the fees the bank charges. You work hard for your money, so don’t give it away to the bank for nothing! Most banks offer some type of free account as long as you direct deposit your paychecks there. Some offer free accounts for students too, or for people with larger account balances.
Online or in person?
How you prefer to do your banking will be a big factor in making the decision of where to open your first account. You’re more likely to find a free account through an online bank. Online bank accounts will often pay you better interest rates too and give more free perks. The downside to an online bank account is that you may have difficulty depositing cash. If you work in a cash based business you may prefer to open an account with a traditional brick-and-mortar bank.