Did you know that thousands of Americans don’t have a bank account? Many people who don’t have checking accounts feel like they don’t have enough money to need an account. Others would rather deal in cash only, rather than worry about debit cards and checks. But, the fact remains that almost everyone, including teenagers, can benefit from having a checking account. Here are a few benefits of opening a checking account.
It Helps Keep Your Money Safe
Having large amounts of money at home is always a risk. Even if you have a safe to securely place your money in, you should know that large cash reserves can attract burglars. There’s also a chance you may lose your money in a fire or flood. In comparison, depositing your money in a credit union or bank is a whole lot safer.
Your Money Is Accessible
Your checking account is designed to provide you easy access to the deposited money. So, while a checking account keeps your money secure, it also allows you to make withdrawals and deposits regularly. You can also use your checking account to have another way to make payments. Checking accounts may help you pay with a debit card, write checks, and initiate digital transfers. Of course, what exactly you will be able to do with your checking account will vary based on your bank or credit union’s terms.
There Is a Record of Payments Made
A key risk of paying bills with cash is that your payment may not be filed or tracked appropriately. In many instances, when you pay with cash, you really have no way to prove you made the payment. In comparison, when you pay with a debit card or make an online payment, your transaction is recorded.
Money Management Becomes Easier
While checking accounts offer a lot of benefits like online bill pay and cash withdrawal from ATMs, an important benefit of having a checking account is that you don’t have to worry about where to keep your money or be aware of how many bills of money you are handing over. Many budgeting software and apps even allow you to link your checking account to the tool, thus helping you manage your money effortlessly.
