How to Choose a Bank

By: Art Gib

With the recent problems on Wall Street and the major problems facing the big bank bailout, you might be shopping around for a new banking solution. And, even if you are happy with your bank, it is a good idea to keep your eyes and ears open for banks that might offer better incentives so that you'll switch over. It is a good time to be a bank client now, with all of the banks looking to attract more customers. Here are some things to look for when choosing a new bank.

First, think about what you are doing with your banking. Are you the type of person who makes deposits and withdrawals fairly often, or are you the type of person who lets their money sit in a bank for months at a time? Many people like to have different banks for different purposes, such as a bank to use for primary spending, and a separate bank altogether for savings. Choose your bank according to what you want from it. If you're planning on leaving your money in your account for longer periods of time, choose a bank with a great interest rate. If you're going to depositing and taking out money fairly often, choose a bank with free checking.

In addition to the services that you need, you should also choose a bank that is convenient for you. Inquire about their hours. If you can't get your banking done during business hours, ask them about their online banking services. Banks are competing to get your business, so choose one that works with you. Often banks will offer bank bags for late night deposits. A bank bag keeps your deposit secure until it can be processed the next day, and is a great perk that a bank can offer its valued customers.

AS long as you are keeping your money in a bank for safe-keeping, you also want to make sure that you are getting compensated for that trust as much as possible. For most bankers, this compensation comes in the form of good interest rates or other perks like travel deals and ticket discounts. There are a lot of ways that banks can reward their customers for choosing their services and if you are going to take advantage of those rewards, you ought to spend some time researching them before you open an account with a new bank.

Finally, be aware of the fees associated with your bank account. Banks can lure in potential customers through free checking and free internet banking, but then hit you with hard late fees and the like. Ask for a fee schedule before you open a bank account, so you know exactly what you're being charged and can dispute it to avoid any confusion.

Article Source: http://yourfinance.co.za