How to Find the Best Banks
There has been a lot of up and down in the banking world since the recession hit in late 2008. A number of banks failed, new banking regulations were put in place and small, local banks proved they were just as viable an option, if not better, than the big national banks.
All of this uncertainty and change has left many consumers questioning which bank they should trust with their money. Use this guide to learn more about what to look for, what to expect, and how to make the most of your banking experience.
Bank Services
If you’re considering which bank should get your business, the services they offer should be a key concern. Bank services go well beyond setting up a checking account. Today, banks can be a one stop shop that provides:
- Checking
- Savings
- Investments
- Credit counseling
- Budgeting help
- Debit cards
- Credit cards
- Loans
- Direct depositing
As you can see banks offer a wide variety of services to meet all your financial needs. Some even have educational materials and programs to help kids learn about money and family finances. However, the most important bank service is customer service. You should be able to get a hold of a real person 7 days a week, 24 hours a day. The employees at your local bank should be familiar with your accounts and responsive to your requests.
Your finances are an important part of your life and well-being. Everyone at the bank should understand that and care about your financial success as much as you do. Take some time to evaluate what services you need. This will help you narrow down the selection of banks and ensure they can provide what you’re looking for.
Bank Services for Free vs. for a Fee
Many banks offer free services such as free checking accounts and checks, free debit cards, free educational materials, etc. However, some services are offered for a fee. Typically these are more specialized services that require expertise.
When you evaluate you’re banking needs, note which services are important enough that you’d be willing to pay for them if necessary. When you’re researching and interviewing banks make sure to ask about fees and fee schedules. Depending on the service it may be worth it to pay a fee versus getting a sub-par service or not getting it at all.
Signs of a Solid Bank
As mentioned above banks can fail, and when they do it can be catastrophic for the people that use their services. When you are contemplating your bank options there are signs to look for to ensure you’re choosing a bank that is stable.
Good banks will offer you lots of ways to communicate with them. This includes online and offline modes of communication. As mentioned previously they will be quick to respond and handled any issues or concerns professionally.
Look for banks with a long track record of stability within the banking industry. The longer they’ve been in business the better, but make sure they haven’t ignored the latest trends and technology. A good litmus test is to see how the bank weathered the recent recession when the financial sector was at it’s worst.
What do people have to say about the bank? Customer reviews and personal recommendations are powerful tools for finding a good bank. This first-hand experience will give a good idea of what you can expect from working with a particular bank.
Look for banks that offer you a lot of ways to manage your money. If you have a busy schedule it’s important that the bank have online services so you can access your accounts from anywhere, any time of day.
Make sure the bank is FDIC insured. This protects you from any loss if your bank fails. However there is a cap set at $250,000 per insured bank. If you are worried about loss of deposits and have more than $250,000 the safest bet is to open up an account at two separate, insured banks.
If you follow these guidelines and do your due diligence to research multiple options you’re sure to find a bank that can meet your needs.