| Technology has really come a long ways. Before the | | | | create an industry where one or more banks with free |
| days of Internet banking (or online banking, as others | | | | checking accounts exist. Checking account depositors |
| prefer to call it) there was no hype whatsoever about | | | | still paid standard fees related to the account |
| banks with free checking accounts. Banking institutions | | | | regardless of what bank they chose. |
| merely listed checking accounts as one of the items in | | | | Traditional bank fees that were tied to accounts |
| their menu of services. A typical bank advertisement | | | | usually had to do with: check book issuance; falling |
| then would have this plain format: "XYZ Bank. | | | | below a required minimum balance; return ("bounce") of |
| Services offered: Savings Account, Checking Account | | | | check for reasons like "drawn against deposit not yet |
| (or Demand Deposit Account), Certificate of Deposit, | | | | cleared", "insufficient funds", "postdated", "outdated", |
| Loans." | | | | "signature varies", "alterations", "payment stopped". |
| Neither could you expect the idea of "banks with free | | | | There were also traditional bank fees for stop |
| accounts" to cross the mind of any individual at that | | | | payment request, transfer of balance from one |
| time. It was simply unthinkable. Here's why. In the | | | | account to another, and for account dormancy. |
| beginning accounts were meant only for those who | | | | The banking landscape drastically changed when |
| are qualified to receive the service. So it is absurd to | | | | Internet technology, particularly "Web 2.0", made it |
| think of a bank to attract massive checking account | | | | feasible for banks to transact business online and the |
| clientele by shouting "Free accounts". | | | | degree of competition intensified. To the amazement |
| But with competition growing year after year, traditional | | | | of millions of Web citizens, banks with free accounts |
| banks were forced to come up with innovative ideas | | | | emerged here and there. Well, at least that was the |
| in order to stay ahead. Rules about opening accounts | | | | impression created by banks that proudly proclaimed in |
| were loosened a little bit to make them more | | | | their home pages that they had free accounts in their |
| attractive to prospective depositors. But still it did not | | | | package of services. |