There are numerous banking services available to the average individual looking to make sound financial decisions. That being said, not all banks are good for everyone. This is because we all have different financial goals and wants. In this post, we’ll take a look at some of the factors you should consider when looking for a bank that’s right for you.
What are Your Financial Goals?
At any point in time, our financial goals are changing and different. For example, a college student might look for a bank that has multiple ATM’s in and outside of campus for easy access to his or her cash, and international businessmen may prefer a bank that makes it easy for them to carry out transactions from different countries as well as trade on an international level. Be sure to ask the bank if they offer the services that you’re most interested in, and opt for a bigger bank if you’re looking for convenience as well as innovative products such as online banking, paying bills using your phone and more.
Take a Closer Look at the Fees
A lot of people get attracted to banking packages because of clever and slick advertising. Doing so only sets you up for failure since you are not likely to do adequate research before signing on the dotted line. Make sure to ask exhaustive questions regarding fees such as
- ATM Fees
- Over the counter withdrawal fees
- Deposit fees
- Overdraft fees
All these should weigh heavily in your decision since these fees do add up and may eat into your finances over a long period of time.
Do Your Research and Ask Around
In order to find an ideal bank, you should have a selection of financial institutions that you can pit against each other. This usually means looking into what benefits one bank has over another, as well as each bank’s unique premise. Ask friends about what banks they would recommend, and look into online forums to get different views of what banks are ideal. If you do decide to go by word of mouth, just remember that unhappy customers complain the most, and that this may not be an accurate picture of a bank, especially on online forums as well as social media. Once you’ve done your research, consider approaching each bank with your data and ask if they can match the other bank’s offer. The idea here is to get the best deal by pitting one financial institution against the other.
FDIC insured Banks Should Be Your Priority
FDIC insurance basically applies to savings accounts and protects your finances should your bank find itself in financial trouble, forcing it to shut down. That being said, FDIC insurance also applies to the following types of bank accounts:
- Checking accounts
- Money market accounts
- CD’s
Final Thoughts
In case you’re looking for a bank that earns you the highest interest rate for your cash, consider a reward checking account or internet bank account. At the end of the day, what you settle on should be in line with your goals and needs. Make sure to ask lots of questions and read the fine print before signing off at the dotted line.