Opening a New Bank Account with a Minimum of Stress
Opening a new bank account can make many people feel quite nervous, particularly if they have had problems with a bank in the past. However, if you do a little research and prepare ahead of time, you can eliminate most of the pressure involved in opening an account.
Research potential banks.
• Make notes on banks that would be most convenient to your home or work
• Find out what types of accounts they offer, such as accounts for bad credit, free checking, interest bearing checking accounts, or savings accounts you can access with a debit or ATM card.
• Verify whether you need to make an appointment for opening a new bank account.
• Verify that your deposits will be insured by the FDIC.
• Determine the minimum initial deposit for the types of accounts of interest to you.
Compare advantages and disadvantages of each bank and the accounts offered.
• Determine the monthly service fee, if any.
• Find out if there is a minimum balance you must maintain, both on free accounts and those that charge a monthly fee.
• See how many checks, deposits, and card transactions are allowed before additional charges apply.
• Ask if you can get a debit card or ATM card for the account, and whether there is a monthly charge for it.
• Find out if the bank will provide personalized checks and deposit slips for the duration of the account, or at least furnish an initial supply.
• Many banks do not return canceled checks, but most can provide photocopies of them with your statement. Ask which method the bank uses and if there is an additional charge for the service.
• If you are interested in the ability to review your transaction history and find your balance online, see if the bank offers that capability.
• For interest bearing accounts, find out the APR and whether minimum balances apply.
• Make sure that banking hours are convenient for your schedule.
• If you ever need to send certified checks or money orders, see if the bank charges customers for them or provides them as part of the account package.
When opening a new bank account in person, go prepared.
• Take two forms of identification with you, such as a driver’s license, passport, credit card in your name, social security card, or employer’s ID card. At least one form should bear your photograph.
• You will need confirmation of your address. If your driver’s license has the correct address, this is normally sufficient. Otherwise, you will need to take a lease, a utility bill, credit card statement, or other mail received in your name at the correct address.
• You will normally be asked to provide your employer’s name, address, and phone number when opening a new bank account.
• The bank may also have questions about your last bank account, such as where you banked and when.
Once your account is approved, there are a few additional questions you should ask.
• If you ordered personalized checks through the bank, ask how long it will take to receive them. Call the bank if they have not arrived within that time period.
• If your ATM or debit card will be mailed to you, find out how long it will take to receive it. Call the bank if it has not arrived within that time frame.
• Find out how long it takes to gain access to your funds for deposits of payroll checks, personal checks within the state, and personal checks from out of state.
• Find out how to change the PIN for your ATM or debit card.
• If you plan to use ACH, or automated, monthly payments for goods or services that are deducted from your bank account without the use of a debit card number, find out if they are allowed for your account and if there is a charge for them.
Take care of your account and your supplies.
• Keep checks and cards in a safe place, and do not store your PIN with them.
• Reconcile statements immediately upon receipt. If there are discrepancies you cannot resolve, contact the bank for help.
• Online banking allows you to reconcile your account between statements and to monitor activity. If you fail to record the amount of a debit card purchase, for example, you can log in to find it so you can bring your balance up to date.
• Notify the bank immediately if your checks or cards are stolen or lost to limit your liability and inconvenience should someone else try to use them.
• Notify the bank immediately if you see charges online that you did not make. Do not wait for your monthly statement, but call right away.
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