Benefits of choosing personal checking accounts

Checking accounts are financial tools that help in managing money in an organized fashion. Since it is not always possible to carry wads of notes everywhere you go, checking accounts are practical. This is especially useful for business owners as they have to make and receive payments all the time. Sometimes, making cash payments may not be practical and issuing checks may be necessary. Under such circumstances, account holders can simply write checks in favor of that individual or company. The check will be presented for payment, and the funds will be withdrawn from the account of the respective account holder.

Account holders can get their checks personalized. These checks will contain all the personal details of the account holder. It will carry the name, bank’s name, address, and check number. The check numbers that are found at the bottom of these checks are pre-printed using a magnetic ink, which is read using a special technology called Magnetic Ink Character Readers or MICR. They represent the account, routing, as well as check numbers.

Having checking accounts can be hugely beneficial as it offers many advantages. For instance, it provides a paper trail as the checks serve as a proof of payment. Making check payments come in handy while auditing accounts as well.

Checks are certainly advantageous as they are much safer than cash. Cash payments cannot be traced easily as it is difficult to find proof of payment. Cash is also not a safe option as it can be spent or stolen very easily. However, even if a check is stolen, it is difficult to cash the check which is stolen.

Using personal checking accounts are always much more economical when compared to cashier’s checks or money orders. Apart from that, you can also access your accounts easily with personal checking accounts. You may either write a check or use your debit card to access funds that are deposited in your accounts. Banking online is also relatively easy and a better way to access your funds in the account.

Personal checking accounts don’t have federal limits like savings and many other accounts. Hence, there are no limits on transactions. However, it is important to look at a few options before choosing your personal checking accounts. There are a variety of personal checking accounts available in the market and you can choose the right one depending on your needs.

Some of the important things that you must look for are the service fees, ATM fees, and free access etc. The service fees that are charged may vary from one bank to another and according to account type. This is a monthly fee and some banks waive off this fee if you manage to meet certain criteria, like maintaining minimum balances etc. There are some banks that offer free checking accounts for students and seniors. Always try to avoid checking accounts, which charge fees for every check that is written. Check the charges for using the bank’s ATMs. Always consider banks that offer phone and internet banking, as well as excellent customer service.