It's important to know what sort of bank account to open to keep your money safe and accessible.
With all the different options banks now offer,
setting up a bank account can be a confusing thing. But if you want to
protect your money it’s important to keep it in a bank so it won’t be
stolen. Having a bank account also helps you save money and avoid
carrying all your money around with you all the time. You can even make
a little money by keeping your money in the bank! Here are some
questions you might have about banking and some tips to make the
process a little easier.
What are the different kinds of bank accounts?
A savings account is
an account that allows you to store your money and gain interest on it.
Interest means that the bank pays you to keep your money in their bank.
Another kind of savings account is a high-interest savings account.
This kind of account gives you a higher rate of interest. However, it
requires you to have a higher minimum balance, which means you have to
have more money in your account at all times.
A checking account is
different from a savings account because it doesn’t pay interest on
your money. If you have a checking account, you can withdraw money from
an ATM (see below for how to use an ATM). You can also write checks.
You can also link your
savings and checking accounts. To do this, you open a checking account
and a savings account and link them together. This way, you can keep
most of your money in your savings account where it will gain interest.
Then you can keep the money you need for everyday spending in your
checking account so you have access to it. You can always transfer
money from your savings to your checking account, but keep in mind that
there is often a fee to do so.
You also have the option of setting up a joint account. This is what married couples usually do. It means that you both have equal access to the money in the account.
How do I know which kind of account I want?
A savings account is
the best option if you’re saving money for something long-term because
of the interest the bank pays you for having this kind of account. The
more money you have in your account, the more interest they pay you.
This makes a savings account a good option if you’re planning to leave
the money in the bank for a long time because the longer it stays
there, the more money will accumulate.
If you want to use the money in the bank for day-to-day purchases, you should get a checking account.
This is more convenient than a savings account because of the access it
gives you to ATMs and checks. However, make sure that you’re careful
about writing checks. Whenever you write one, make sure you have enough
money in your account. If there isn’t, the check will bounce. This
means that the bank will be notified and will charge you a large fee.
You also will be penalized at the store where you wrote your bounced
A joint account is
only a good idea if you’re in a stable marriage, because both people
have access to all the money in the account. It’s a smart thing for a
married couple to have in case there is an emergency or one person dies
because then the other person doesn’t have to worry about access to
How do I open a Bank Account?
First, decide whether you want to open a checking account or a savings
account. Then pick a bank. If you’re opening a checking account, make
sure that the bank you choose has ATM locations near you. If you’re
opening a savings account, find out what interest rate the bank offers.
No matter which type of account you’re opening, you should compare the
fees each bank charges to transfer money between accounts, use ATMs, or
just to keep your money in the bank. You should also make sure that
your bank is FDIC insured. This means that any money you deposit is insured up to $100,000.
you have chosen a bank, go to their location near you and fill out the
forms to open an account. You’ll also need to give them money to put in
the account. Some banks require a minimum amount of money to do this.
Make sure you have enough money before you go to the bank.
forget to bring identification with you. You’ll need proof that you’re
over 18 years old. You’ll also need to prove your address and identity.
Most banks will ask for a driver’s license or Social Security number,
but if you don’t have those things usually a passport will do.
How does an ATM work?
for Automatic Teller Machine, because it does the same job as a bank
teller. If you have a checking account, you can use an ATM instead of
going into the bank and working with the teller. This can be a much
quicker and more convenient way to do your banking.
an ATM is simple. All you need is your ATM card, which the bank will
give you when you set up your account. They’ll also tell you to choose
a 4-digit PIN (personal identification number). This
should be a number that has some meaning to you so that you won’t
forget it. It’s important that you remember your pin number because you
need it to use the ATM. Never give your pin number to anyone! Your pin
number is a direct link to the money in your bank account. Therefore
whoever knows your pin can empty your bank account very easily. For
security reasons, you never even write down your pin number unless you
are planning on shredding the document.
an ATM you can check your balance, or how much money you have in your
account. You can also use it to deposit or withdraw money.
To deposit money,
insert your card into the machine and type in your PIN when it asks you
to. Then select “deposit” and insert your money into the machine. Some
ATMs require you to put your money in a deposit envelope before
inserting it into the machine. Others allow you to put the money
directly into the machine.
To withdraw money,
insert your card and type in your PIN when it asks you to. Then select
“withdrawal” and select how much money you want to take out. When
you’re finished, don’t forget to take your card, your receipt, and your
*Lots of banks charge you a fee if
you use another banks ATM to deposit or withdraw money. When you’re
choosing a bank, make sure you pick one with ATM locations near you.
This way, you don’t have to pay this fee.
are common sites of robbery. Always be aware of your surroundings when
using an ATM. Immediately put any withdrawn or deposited money in a
secure place, and make sure no one is following you after you use the
ATM. There is often a painted line that people must stand behind while
others are using the ATM. However, you should still take great caution
to conceal your pin number and the amount of money you are taking out.
For more tips on how to protect your money, check out this website:http://www.banksite.com/index1.html