A checking account may not seem like a superior piece of your financial portfolio. However, if you think about it, it is the portal to nearly all of your normal expenditure. Why not manage it the same way as you would handle all of your other significant investments and expenses? For instance, ask yourself, when was the last time you thought about improving your checking account management?
Suppose you merely think of your checking account as nothing more than an account for your hard-earned money to flow in and out every month as you get your payroll direct deposit and as a medium of paying your bills. In that case, you’re not taking advantage of all the tools available to you via today’s modern banking features. Banks today offer numerous built-in perks that you can take advantage of and utilize to manage your hard-earned money so that you can keep more of it in your account!
Pick the Right Checking Account for You
Much like other financial products, all checking accounts aren’t created equally. Take a look at your spending behavior and decide what product best fits your needs. If you are not keen on using your credit card much and instead use your debit card for everyday purchases, then you might want to pick a checking account that will reward you for everyday purchases or offers rebates. If you want to be able to manage your finances digitally and not incur fees, a free checking account with online and mobile banking may work best for your needs!
Automation is Key
One of today’s best banking features is automation. You can easily automate most if not all of your finances via online banking or a mobile banking app. The best approach is to automate savings directly from your checking to your savings account to make saving money a habit and priority. When you automate your savings, it can help you reach your savings goals faster!
Setting up a direct deposit with your employer will not only deposit your paycheck directly into your account, but also allows you to set up a regular savings deposit. Have your employer automatically split your paycheck and deposit a percentage of it into your designated checking and savings account each pay period.
Another best practice is to set up bill pay and automatically take care of your monthly fixed costs – mortgage or rent, car payments, utilities, and other recurring monthly bills you have. Not only does automation make banking more straightforward, but it also makes saving easier! And bill pay is a powerful tool to provide you with peace of mind that your bills are paid on-time to avoid any late fees.
Knowing and keeping an eye on your balance is critical in managing your finances and can help you be better prepared for upcoming bills, avoid fees, protect your account and monitor your spending. Bill Payment Alerts are also a great way to monitor your account for any possible fraudulent activity and quickly report it to your financial institution. It can help reduce your liability and further help to protect your account.
Mechanics Bank is also proud offer “Sweeps” Overdraft Protection on all checking accounts! A “sweep” allows you to use an existing savings account (with available funds) to cover overdrafts from your checking account. To learn more about checking accounts and which one is right for you, contact Mechanics Cooperative Bank! We are happy to answer any questions and help you get started.