When you are opening a new checking account, one of the most essential things you should think about is the variety of banking features that come with the account. These features can vary depending on the institution that is providing the checking account. According to the findings of recent research, technology is quickly becoming the dominant force in banking and financial management in general. A poll conducted by the Federal Reserve found that almost half of the mobile phone owners who also had a bank account in 2017 reported utilizing mobile banking services in the year leading up to the survey.
6 Must-Have Banking Features
Certain characteristics of a bank account are essential if you want to have easy access to your money and be able to pay your payments, make quick transactions, and monitor your balances. When opening a new bank account, some crucial items to look out for include the following:
1. A Debit Card
If you have a debit card, you can make purchases without needing to carry cash around with you. In the event that you find yourself in need of a few dollars, you can withdraw money from an ATM or obtain cash back at the register. According to a poll conducted by the Federal Reserve, thirty percent of customers cite using debit as their favorite method of payment.
When creating a new bank account, it is important to ensure that you will be issued a debit card and to determine whether or not having a debit card will incur any additional fees.
2. Online and Mobile Banking
If you prefer to keep a close eye on your profits and losses, it is really helpful to be able to check your balance using your smartphone or your laptop. This is especially crucial to keep in mind if you want to steer clear of incurring costly overdraft fees. According to the Federal Deposit Insurance Corporation (FDIC), financial institutions with more than $1 billion in assets brought in more than $11.45 billion in overdraft and non-sufficient funds (NSF) in 2017. This figure was reported for the year 2017. If you are aware of the money you have on hand as well as the money you are spending, you can avoid losing money to fees.
3. Mobile Check Deposit
The inconvenience of needing to travel to the bank to deposit checks can be avoided by using a mobile check deposit. You simply use your smartphone to take a picture of your check, and then with just a few touches of a button, the check is deposited into your account. This eliminates the need for you to ever visit a teller window or even an ATM. Be aware, however, that certain financial institutions need a longer period of time for you to hang onto your check when you make deposits using a mobile device.
4. Online Bill Pay
If you’re sick of writing checks, one more feature that you should seek in a primary bank is one that allows you to pay your bills online. According to the data provided by the Federal Reserve, eighty percent of consumers who possessed paper checks but did not use them even once in 2017 opted instead to use online banking.
Writing checks and sending them through the mail is a bother that can be avoided by paying bills online. Even better, you may program your monthly payments to be made automatically, so you won’t ever have to worry about being late with a payment again.
5. Email and Text Alerts
You should also consider setting up email and text message notifications for your accounts at the same time that you are organizing automatic payments for your bills. You may, for instance, set up an alert that notifies you whenever your balance falls below a given threshold or whenever a new transaction is posted to your account. If you are afraid that your account information might be stolen by a hacker who then uses it to make fraudulent charges, this could be of great assistance to you.
6. Excellent Security
Theft of someone’s identity is not anything to joke about. When comparing different bank accounts, it is important to make sure that you inquire about the safety precautions that each individual bank takes. Find out whether fraud monitoring and an on/off switch for your debit and credit cards, for example, are available, and take extra precautions to ensure the safety of your card transactions.
FAQs
What are the 6 services that banks provide?
- Advancements of loans
- Cheque payments
- Discounting on bills of exchange
- Collecting and paying the credit instruments
- Guarantee by banks
- Consultancy
- Credit cards
- Funds remittance
- Debit cards
What are the 5 most important banking services?
The 5 most important banking services are checking and savings accounts, loan and mortgage services, wealth management, providing Credit and Debit Cards, and Overdraft services.
What are banking and the main features of banking?
Banking is the business of protecting money for others. Banks lend this money, generating interest that creates profits for the bank and its customers. A bank is a financial institution licensed to accept deposits and make loans. But they may also perform other financial services.
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