Do you want to save money and at the same time make little gains with it? Do you want to have a convenient way of transferring and storing money? Then this may be a solution just for you. At this time of our lives, we should consider opening a bank account. There are two common types of bank account young adults open, these are the checking account and the savings account. A checking account is the type of account used for spending, paying bills, and allows you to withdraw money with little or no limits. On the other hand, a savings accounr is the type of account which allows you to store money and earn higher interest rates compared to the checking account.
There are many reasons why you should conisder opening a bank account. Having a checking bank account is very convenient; it is very easy to spend and withdraw money. If you have a deposit account, you will be presented with an ATM Card that allows you to withdraw and check your current balance at ATM Machines, this ATM Card can also serve as your master card for purchasing things. You will also be allowed to pay bills and shop online. The drawback of a checking account is that it offers zero or very little interest rate. This type of account also allows you to spend more due to its convenience in spending. On the other hand, having a savings account allow your money to grow more in time than the deposit account. Since its main purpose is saving, the bank limits some types of withdrawals. For those who are serious in saving money and does not intend to withdraw the money, they you should then consider a CD Account, Certificate of Deposit Account. This is a type of account that has a fixed interest rate and fixed date of withdrawal. Unlike savings account, you will not be able to access your money without paying a penalty.
Personally, I both have a checking and a savings account. I use my savings account for receiving my “baon” or allowance by which my father transfers some of his balance into my account, I also intend to use my checking account to buy games online. My savings account currently is left unattended and have no intentions in withdrawing from it. One thing you should also take not is that bank accounts will require you to have a minimum balance in your account. Having a bank account also prepares you for the future, some companies send your salary through your bank. In online Jobs, your online employer usually sends your salary through Paypal; the only way of withdrawing money from Paypal is by connecting your bank account to Paypal account.
As young adults we should already consider by now on opening a bank account. We should also consider what type of bank account we should open depending on our interest whether one should open a checking account for easy transactions or a savings account for saving money and earning interests or both. We are not limited to choose only one type of bank account; we can choose many types if we have the necessary funds to open and maintain its balance. Consider opening up a bank account and research for information on the types of bank account and the types of banks. Find the bank that offers what you want and what you need.