| A typical banking or even online banking service is to | | | | hence the name, as well as exemption from service |
| offer free checking to clients. This is an important part | | | | fees from a variety of other transactions, including PC |
| of a decision to sign on with a bank, as a checking | | | | banking. Free use of an ATM debit card, free checks, |
| account that eliminates or reduces fees can help save | | | | unlimited transactions and other reductions in costs are |
| you a significant amount of money each month. A high | | | | typical terms that go with a free, no-charge checking |
| interest savings account is quite hard to find | | | | account. |
| nowadays, and so any money that accumulates over | | | | So what is the downside, you may ask? As |
| the month is going to be small. This means that if you | | | | mentioned, you usually need to maintain a certain |
| have a high number of transactions that come with | | | | amount of money in the account in order to continue |
| fees, you could actually be losing money each month. | | | | to receive free, no-charge checking. If you need to dip |
| Why do banks offer free, no-charge checking? It's | | | | into that account, then service charges will start |
| part of their top banking sales pitch. You are more | | | | popping up. Also, a checking account usually does not |
| likely to be interested in signing up with a bank that | | | | earn any interest, which is the tradeoff for the |
| offers you something free, especially if it will reduce | | | | absence of service fees. Since a high interest savings |
| the service charges that most of us want to avoid. | | | | account is a rarity these days, this may not be an |
| Once the bank has a client, then they can make | | | | issue. |
| recommendations and promote different services and | | | | If you are good at managing your money, and can |
| money management programs that they have to | | | | afford to have a portion of your money set aside for |
| offer, which is largely where the bulk of a financial | | | | the long term, then a free checking account may be |
| institution's money is made. | | | | the best solution. This is especially true if you tend to |
| But what does free checking actually mean? Usually, it | | | | accumulate a lot of transactions in the month. If not, |
| involves maintaining a certain amount of money in a | | | | then you may be better off paying as you go, but it's |
| checking account. As long as the amount never dips | | | | best to check with a bank employee about your |
| below the assigned level, then you receive a variety of | | | | options before making any decisions. |
| benefits. These benefits usually involve free checks, | | | | |