Options to Look for in a Free Checking Account
If you’re really trying to save money, making sure that your checking account doesn’t charge any fees is one of the most important things you can do. However, just because a checking account is free, that doesn’t mean it’s necessarily going to be the best checking account for your needs. If you’re trying to find the absolute best free checking accounts, here are four important things to make sure you’re looking for.
1. Opening and Minimum Balance Requirements
First off, check to see whether there are any requirements for the opening and minimum balance. Does the account require that you have a certain dollar amount in it to get started? Do you have to make sure that you have a specific dollar amount to avoid the monthly fee? Many people will want to look for an account with a $0 opening balance requirement and a $0 minimum balance requirement for the best results.
2. Interest Options
A surprising number of free checking accounts actually offer interest on whatever balance you have in your account. This interest is typically pretty low – you may see interest percentages as low as 0.15% APY – but it’s still something to look into. Especially if you prefer to keep some of your money in your checking account instead of a savings account, the interest can end up giving you a little bit more for essentially no extra work.
3. ATM Access
If your checking account is going to be your main source of money, you may find that you need cash at some point. This is when ATM access can really come in handy. Some free checking accounts don’t offer ATM access, but do offer reimbursements on domestic ATM machine fees. Otherwise, you want to see what ATM network the checking account is part of, as being unable to easily access cash when you need it can be extremely frustrating.
4. General Fees
Even if a checking account doesn’t charge monthly maintenance fees, it still may end up costing you a surprising amount of money in general fees if you’re not careful. Make sure you look at overdraft fees, withdrawal fees, insufficient fund fees, and any other fees that might be hiding in the checking account’s terms and conditions. Reducing the number of fees is always a good thing, whether you’re opening a checking account for the first time or this is your third checking account.
Conclusion
A free checking account can be a great choice if you need to open a new account, but you don’t want to pay extra fees. Plus, it’s also typically a good option for people who are trying to open a checking account for their children, as kids usually need accounts that are as simple as they come. If you’re trying to make sure that you get the best usage out of your free checking account, however, you need to make sure that you’re getting the best one, and these four things will help you do that.
