We know that when it comes
to your money, you don’t want just any old account. You want an account that’s
tailored to your needs and your lifestyle, and we’re here to help you find it.
You should consider all of
your options before making a decision. There are a lot of banks out there, but
not all of them offer the same deals or services. Some might have a higher
minimum balance requirement than others, or they might have fewer locations
where you can open an account.
Some might allow you to
deposit checks by taking pictures of them with your phone (which is awesome if
you’re always on the go). Some might have an app that makes it easy for you to
transfer money between accounts (and earn rewards for doing so).
You get the idea—there are
lots of different things to look at when choosing an account, so we’ve created
this guide to help walk you through all the choices!
First off: what kind of bank
account are you looking for? Do you need one where someone else can manage your
money for you? Or do you want one with no fees and low rates?
That’s why we’ve created
this guide to help you find the best bank accounts for you. It will walk you
through the different types of accounts, what they offer, and how they work.
You might even find an account that can save you some money on fees (and who
doesn’t want that?).
So let’s get started!
You can use a
checking account every day to make purchases and pay bills. Checking accounts
are easy to access, usually with a debit card or checks, and they’re liquid —
meaning you can withdraw your money at any time without paying fees or
They also offer overdraft protection, where the bank will cover a
purchase over your balance for an additional fee. However, you’ll need to keep
track of your balance to avoid overdrawing your account and incurring the fees
that come with it!
typically offer the lowest interest rates of all bank accounts. If you want
savings options that provide higher interest rates in exchange for not being
able to access your money as easily, consider a savings account instead.
A savings account is
a bank account that pays interest on the money you have in your account and
typically does not allow for checks to be written or debit cards to be used.
The interest paid on these accounts is often higher than other accounts, such
as checking accounts.
If you’re looking for an easy way to keep track of your
money, or if you have a large sum of cash sitting around that needs a home,
then opening a savings account may be useful for you.
Savings accounts are
designed with convenience in mind. They can make it easy to save money –
especially if you don’t have the discipline to save on your own – while also
allowing funds to grow thanks to interest rates charged by banks.
accounts are particularly good at helping out people who are saving up for something
specific – like when they know they will need a certain amount of money by a
certain date, like 6 months from now or 1 year from now.
One of the first
questions on my mind when I was starting out as a student was “what bank account
do I need?” There’s something about a savings account that makes one feel
really obligated to use it, and not using it seems to have a way of making you
feel bad. But there are plenty of different options for your money: checking
accounts, money market accounts, high-yield savings accounts, and certificates
of deposit (CDs) all offer different ways to invest your money.
For someone with a
job and who doesn’t want to invest their money in stocks or bonds like I did,
CD is the best option. If you don’t plan on having much in the way of
investments over the long run, then consider choosing a money market account
instead since it pays more interest.
It may not be as exciting as putting your
hard-earned cash into stocks or bonds but at least you know that none will go
down the drain if something goes wrong with your job.
accounts can come in many forms. Learn the different types.
Bank accounts come in
a variety of forms, but the four most common types are checking, savings, money
market, and certificate of deposit.
- Checking accounts are designed for
everyday transactions like paying bills, buying groceries, and taking
money out of an ATM.
- Savings accounts are available at
nearly every bank or credit union. You can’t use a savings account as
easily as a checking account because there’s usually a limit on the number
of times you can withdraw cash over a certain period of time. However, to
encourage saving money (and not spending it) many banks offer higher
interest rates on savings accounts than they do on checking accounts.
- Money market accounts are similar
to savings accounts in that they offer higher interest rates and have
transaction limits. However, they typically have higher minimum balance
requirements and more restrictions around withdrawals than traditional
savings accounts do.
There is another type
of account called “certificate of deposit” (CD), which is another type of
savings vehicle where your deposits earn interest at a fixed rate for a
predetermined amount of time (usually anywhere from three months to five
years). CDs usually require larger initial deposits than other types of banking
products because once you put your money in the CD, you cannot access it until
the fixed term is up without paying penalties.