Thursday, May 12, 2011, AM | Leave Comment
I remember back in 1981, I used ATM for the first time in the town I lived in. Most often, it would be down or it would incorrectly give me the balance in my checking and saving accounts. I always went to the bank ATM on Saturdays in the morning. I would go inside, ask the teller and she would give me the correct balance. Online banking has come along way since then. It’s safe, accurate, and it gives the correct amount of money when you use ATM to withdraw from your account.
Today, using ATM is one small part of online banking for many while others believe online banking is still about just ATM. They don’t use other important features of online banking. It’s more than just using ATM. The benefits of online banking are too important and essential to be ignored anymore. Some folks are still afraid of using online banking services. But it’s one of the most secured and safe way of doing business with your bank.
Best part of online banking
The best part of online banking is that you are on your own schedule. Banks are open or closed do not matter any more. You can access your accounts online any time, any where at your own convenience. When you are looking to manage your finances on your schedule, there is no substitute for the speed and convenience of banking online.
Almost all banks offer you simple, secure access to your account information. They offer the tools you need to make most of your common transactions online. With their selection of online services, you can safely transfer money between your accounts in the same bank and other banks as well. You can pay your bills, reorder checks, and even order foreign currency anytime, anywhere there is an Internet connection.
The following are some major benefits of online banking:
Check your account balance before using debit card
Check your account first before you use your debit card to see if the remaining balance can cover your purchase. If you don’t check it and you don’t have enough, then the bank would hit you with some hefty fees. You can save money by avoiding extra fees.
If you find that your checking account has not enough money to cover your purchases, you can transfer money from your savings account. And then you should use your debit card.
Pay bills online and save on stamps
I keep the required $100 minimum in my checking account. I get no interest and no maintenance fee as long as the balance is above minimum. I have savings account. Every month I transferred money from savings (interest-bearing account) to my checking account only the amount to pay monthly bills.
Getting alerts is a convenient and secure way to get information on your accounts. You can choose and customize the alerts you want sent to your email or mobile device. Get notified about balances, online statements, and checks. That will save you money by avoiding extra fees when you are at the top of your finance.
Connect with brokerage account
Discount brokerage clients can take advantage of the flexibility of online trading and the research tools. Many banks provide this convenient service. Check with your bank if you need it.
Get foreign currency
Check with your bank. It might offer convenient online ordering of foreign currency when you are planning to travel abroad and can provide valuable travel assistance when you are away from home.
You can have your employer deposit all or part of your paycheck directly to your savings or checking account. In my case, my income gets deposited directly to my saving account. Every month I transferred money to my checking account to pay my bills online.
In a Nutshell
You can surely save money by avoiding extra fee charges when you are on top of your finances 24×7. Use the above online banking services but use them to your advantage. The basic financial mantra remains the same: Spend less than you make.