Checking accounts at a financial institution provide the withdrawal and deposit features and are the simplest type of bank accounts. However, there are some vital steps to choosing the appropriate type of checking account to suit your requirements. Here are the 5 steps you must follow:
- Extensive research
Always do extensive research about the different types of checking accounts, and also consider whether you want a traditional variant of the said account. Check the fee structure and signing-up process of opening the account, along with checking whether the account you open can meet your exclusive needs. - Fill the application
Filling up the application is one of the steps that you can complete by either visiting the bank or its website. Provide all the vital information and credentials for opening the account. The bank might need your Social Security Number and date of birth. Your address proof can be mandatory for many banks, which makes it important to carry either the phone or the electricity bill to the bank. Some amount of money is important as you need to make an opening deposit. - Ask necessary questions
Always ask necessary questions to the bank representative whenever you have any queries as the banks are always open to clarify all your queries. Try to be clear about the variant of the checking account and its maintaining cost. - Cooperate with the bank during verification
The bank might take a working day to verify all the information and the credentials that you have provided them. Majority of the banks carry out a credit check when you open an account with them, and your account becomes final once the verification process is complete. The bank will deliver the routing number, debit card, account number, and the checks to you after this. - Check the direct deposit
Remember to check the direct deposit feature during a payday. The checking account should let your employer directly deposit your salary to the account. This helps you save a lot of time by not having to visit the bank.
Types of fees that checking accounts carry
- Minimum balance fee: The minimum balance of the checking account is termed as the fee. Several banks follow a rule that every account must have $25 as the minimum balance.
- Checking account fee: This is a monthly fee that many banks charge, and the amount ranges from $5 to $15.
- Bank overdraft fee: Overdraft fee that banks charge are generally very high, and most banks in the country charge $35 as the overdraft fees.
- Paper statement fee: In the country, some banks might charge for the paper statements that their customers seek, but you can save this fee by checking your bank statement digitally. The paper statement fees charged by banks is $2 to $5 monthly.
- ATM fee: This is charged by banks when a customer withdraws money from the teller machine.
