Features of an online checking account

Checking account is a basic account that helps your pay for your commitments by way of checks. They are services provided by banks and other financial institutions for the purpose of depositing and withdrawing money.  Checking accounts are available at almost any bank. The terms and condition of these accounts vary from bank to bank. One must familiarize himself with these terms and conditions .open an account at a bank that suits your requirements best. The wrong choice of a bank for an account can leave you disappointed.

Payments are made by way of checks. Consider you have to pay a third party a sum of money. This can be accomplished by writing a check addressing his name. The recipient then submits the check at his bank. The check is processed and forwarded to the check issuer’s bank account. The money is debited from the account holder’s account and transferred to the recipients account.

What is an online checking account?

Checking accounts can also be maintained online. This is done by simply opening an account online by submitting your details. Online checking accounts offer many perks to those customers who own an exclusive online checking account. Cash deposits and withdrawals can be made online.  One can manage all transactions pertaining to his account online. The hassles of writing a check or visiting a bank for the purpose of depositing or withdrawing money are avoided.

Features offered by online accounts

There are various perks associated with an online checking. These advantages vary for each bank. There are many variations offered to meet the requirements of a customer.

Bill pay:

If you are one to write a number of checks for the purpose of paying bills ‘Bill pay’ is the way to go. It offers a simple mode of bill payment online. The money are automatically transferred online to pay of the bills. This might prove an advantage as bill payment becomes simple that postponement of the bill payment is avoided.

Certain online accounts offer high yields. They combine online accounts with, savings accounts and loans.

Direct deposit: This is also known as a ‘free account’. It is an effective method that enables employers to electronically transfer salaries directly into the accounts of their employees. This saves the employees the trouble of cashing in their checks. Most banks offers free account to those customers who opt for a direct deposit.