How to Choose a Bank?

Have you heard this question asked in your presence: " Do you have a bank account?" If someone told you he didn't have a transaction account at a bank, you'd likely describe him as a bit strange. That is because you believe that a bank account is not a matter of choice, but rather a necessity.

We would agree with you, since owning a bank account is needed for many things. But before opening a bank account or transferring an account to another bank, you should consider a few things: - The cost of monthly account maintenance - Interest rates - Other fees.

You cannot deny that banks are dictating our destiny. So, let's take a tour of how to choose a bank.

Is it necessary to have a bank account?

The first question to ask yourself is: when is it necessary to have a bank account?

- When you are an individual

- When you are a legal entity

- When you are temporarily unemployed

If your response is "In all of the above-mentioned cases", that is great! You have realized that you are a victim of a system! Unless you want to go to some abandoned place and produce food on your own, you have to calm down and accept things as they are. A bank account is a must. Society is not ready to switch to a "barter mode", which means exchanging goods or services without using money. So, which road to choose?

Let's move to stage two of this process.

How many accounts can you have at various banks? There is no limit. For instance, you can open a checking account, savings and certificate of deposit, each in a different bank. We just discovered endless possibilities through the businessinsider.com, which gives good pieces of advice on banks and other financial institutions. If you want to develop your stalking abilities and you are patient, go to statista.com and collect a lot of data regarding financial institutions.

Before you become a versed decisionmaker, especially in this sensible field of the most important resources in our lives, you need to pass a few more steps.

You need to know:

- What is the purpose of your account? Basic checking account, savings, certificate of deposit, etc.

- Which additional services/ tools bank offer?

- Fees and interest rates

Banks charge a certain amount for their services of selling money, their main product.Sometimes the case could be: "Money is not a problem; there is no money". At least we often can't see the money, nor can we touch it. However, we will be going to learn about basic banking fees.

The minimum account balance fee is the minimum required balance for each day/ month. If the balance is lower than required (even for a single day), the client will be charged at the end of the month.

Withdrawal fees - after you finish a certain amount of transfers per month, the bank charges a fee for every further transaction.

ATM fee applies when you use another bank's machine.

An overdraft fee must be paid when your balance goes below zero. Some institutions add an interest rate as well.

To widen your horizons, visit investopedia.com. Also, while choosing a bank, do some research via the internet or ask friends for a recommendation. You can use old-fashioned methods: paper and pencil while calculating the best solution. Focus on your needs; you don't have to accept everything that the bank offers. And good luck!