FDIC Labels. An institution that is insured by the Federal Deposit Insurance Corporation (FDIC) means your deposits will be protected up to $100,000.
Location. Shop around for a convenient location but also compare the costs of different accounts at the banks in your area. The bank located nearest to your job or home may not be the best place to fulfill your financial needs.
ATMs. Automatic Teller Machines are a popular way for people to access their money. While it is an easy and usually free way to get your money quickly and efficiently, ATM use can include fees. If you use another bank's ATM, the bank associated with that ATM may charge you. Depending upon the bank, you can also be charged for checking your balance at the ATM. You need to understand the terms offered by each bank and seek out those that offer the best possibilities for you.
Debit Cards. Debit cards look like credit cards or ATM cards, but operate like a cash withdrawal or a personal check. While a credit card is a way to "pay later," a debit card is a way for you to "pay now." When you use a debit card to purchase something, the cost of the item is automatically deducted directly from your checking or savings account. Debit cards offer an alternative to carrying a checkbook or cash as they are accepted in many locations where credit cards are accepted, such as grocery stores, retail stores, gasoline stations and restaurants. Using a debit card instead of writing checks saves you from showing identification or giving out personal information at the time of the transaction. Debit cards are also accepted in many places that do not accept personal checks. Obtaining a debit card is usually easier than getting a credit card and unlike a credit card, it limits you to spending only what is in your bank account.
E-Banking. Most banks now offer banking services through the Internet. Internet banking allows customers to apply for an online member application and access account information through their computers without ever visiting the bank. Millions of Americans use the Internet to do some form of banking, whether it is transferring money between accounts, paying bills, or applying for loans. Some banks may require a service charge for Internet banking service.
Fees. Some banks require minimum balances of $1,000 or more in order to get free checking or savings accounts. Before you commit to keeping a minimum balance, compare the amount of money you save in fees to the amount of interest you could earn if you put that money in a Money Market account or CD. Also consider how often you will want to access your money. Monthly maintenance fees charged by banks on checking and savings accounts are usually not charged to customers who maintain a certain balance (usually over $1,000); however, if your account falls below the minimum balance anytime during the month or your average daily balance over a one-month period drops below the minimum, chances are you will be assessed a fee.
Other fees include account related costs such as stopping payment on a check, charges for re-ordering/ reprinting new checks, overdraft protection and bounced check fees, just to name a few. Some banks also charge fees per transaction. When assessing a bank's fee requirements, evaluate how many checks you write a month and how often you need to check your balance and transfer or withdraw funds at an ATM.
