There are many types of chequing accounts. Your selection should be based on the type that best addresses your needs. The most common type is the personal chequing account – mostly held by an individual or with another person (say your spouse). There are also other accounts meant for a certain target group like students, seniors and youths. Based on the level of service, you can open a basic chequing account, usually with a monthly transaction limit (between 10 and 12), and charges a small monthly fee not exceeding $5. The Premium chequing account has unlimited transactions, and offers other special privileges but charges a higher monthly fee of up to $30. You may also decide to go for a no-fee chequing account, which allows unlimited transactions with no premium features (e.g. in-person service). Banks also offer interest-earning chequing accounts. The choice of the type of account depends on your average monthly transactions and other features that you may need.
What Features Should I Look For In A Chequing Account?
When choosing a chequing account, you’ll have to consider the features of the account itself.- Daily Transactions – Includes POS (Point of Sale) purchases, bill payments and transfers. Choose an account that includes features that can meet all your needs.
- Varied Transactions – e.g. e-Transfer. Your account of choice should allow you to perform such varied transactions with ease. For instance, if you need a money order or bank draft, you may prefer in-person banking options to digital banking.
- Banking Mode – Most banks provide all-inclusive in-person, online and telephone services. Ensure that you choose an account that allows you to do banking in your preferred way.
- Overdraft Protection – This allows you to overdraw your account within the month. Choose for an account that offers low overdraft fees, if you expect to overdraw your account frequently.
- Rebates – Look for a chequing account that offers a discount on the monthly fee whenever you carry balance in your account.
What Else To Consider When Choosing a Chequing Account
Other determinant factors when choosing a chequing account are:- Proximity To The Bank Branches – How close are the bank branches? Ensure that you will be able to access your bank conveniently at all times.
- Flexibility – Consider all the restrictions applicable on accessing your money. Pay attention to daily allowances on ATM withdrawals and POS purchases.
- Signup Bonuses – Different banks offer different bonuses, whether it’s in the form of cash or incentives like TVs, Phones or Tablets for first-time customers.
- Reward Points – Look for an account that allows you to collect reward points and one that pays interest on your deposited cash.
- Social Community Responsibility And Support – Choose an account from a financial institution that supports the community you live in.
