A student is not financially independent and stable. So if they are intending for a checking account, they will always prefer to have one which is less expensive and easily manageable. They will go for one which is easy in terms of fees, perks and accessibility. These are the factors to be kept in mind while choosing a checking account for the students. Usually students go for the university credit unions instead of banks. The preferable ratio of university credit unions is 88 times more as compared to banks. They put up a good fight. Here is the detailed discussion about the three factors of choosing students checking account.
Accessibility factor should be considered
There was a FDIC survey conducted which revealed the fact that forty six percent of the respondents stated that the location of the financial institution is very important. It plays a vital role in choosing a checking account by the student. It becomes easy for them if the bank is nearby for them so that it becomes easy and quick to approach whenever needed. If the bank is close it becomes very convenient for the students. Along with this there should be surcharge free ATM in the campus or around the campus.
When seeing about the accessible and convenient banks or financial institution, how can you forget about the credit unions? Credit unions are comparatively smaller than banks and have lesser branches and ATM centers. To overcome their deficiency, many of the credit union indulges in shared branching and shared ATM centers. They allow the members to use the ATM and branch of others unions also for free. For computer savvy students, they are also availed with the option of the internet banking. In case of internet banks, checking accounts does not possess any fees for monthly checking, waived or reimbursed ATM or competitive interest rates.
Decide who has the lowest fees
It is next to impossible to find a checking account for free for those who are not students. In case of students you can find a free checking account. According to a survey, eighty two percent of the checking accounts of the students are free in banks and ninety nine percent of the students having checking account at credit unions are free. These are free along with no requirement of any minimum balance in the account. There is also a difference in the overdraft fees of each and every bank and ATM. Thus also check out the difference of the overdraft charges charged by the banks and credit unions.
If it is a tie bonus can increase the sale
Checking account of students comes along with the perks and freebies which is not received by those who are not students. Credit unions are so active that it gives refund of ATM surcharges and also give financial literacy classes. The perks received by this student’s checking account includes free swag to free cash only for opening an account. They also get gift cards for restaurant.