Banking is a difficult business. There are hundreds of banks to choose from, and even the most seasoned consumer can be confused by the disclosures and fine print. That’s why we’ve put together this list of banking tips and tricks to help you save time and money.
Reconsider Your Bank
The marketplace is always evolving, with new offers, innovative products, and features that could help you save money or make your life easier. So, stay alert and be on the lookout for a better deal or something that works better for your financial situation.
Assess your current fees to see if there are any that you can avoid. If your bank, for example, has a high minimum balance requirement, look into online high-yield checking accounts with lower minimums to avoid maintenance fees. These banks may also provide you with a set number of fee-free ATM withdrawals as well as a large ATM network near your home or workplace.
Plan Your Bank Interactions Strategically
As long as it isn’t an emergency, try to schedule a visit to a branch. If you’re looking for a mortgage, make sure a mortgage specialist is available when you arrive. If the bank allows it, calling ahead and making an appointment may save you time and help you have a better experience.
Many transactions can now be completed online. So, see if there’s a time-saving possibility here. Also, try calling a bank’s customer service phone number during off-peak hours for routine issues. That is late at night or early in the morning before the usual 9-to-5 workday begins. This may shorten the wait.
Prematurely Closing a Savings or Money Market Account Could Cost You
While withdrawals from savings and money market accounts are restricted (under Regulation D, you can only make six withdrawals or transfers per month), you can usually withdraw from them. Certain withdrawals, such as those made at a branch or from an ATM, are exempt from the limit.
However, early closeout fees may apply to these types of savings deposit accounts. If these exist, they are usually triggered only if the savings or money market account is closed within the first six months. This fee may also apply to other checking accounts.
Remember the Card You Never Use
There’s nothing wrong with having an unused credit card or debit card in your wallet, as long as it doesn’t have a high annual fee. You may not want to close the credit card because it would affect your credit utilization ratio, which is the percentage of credit used versus available credit.
Your FICO score may suffer as a result of this. It may also reduce the length of the credit history on your FICO score. However, if your credit card isn’t used frequently enough, some banks will close it.
