How to get started with your first bank account

How to get started with your first bank account

When it's time to open your first bank account, the process may seem complicated. From determining the type of account, which you need, before that, where you will open your account and, What You Need to Do For You, There are a variety of options, that you need to do.

but, by answering five simple questions, You can simplify the process – and opening your first bank account will be a breeze. Also convenient selection and comparison of bank accounts on the site BankCredits.Ru, whether it's a discovery RKO in Moscow or:

  • Credit cards from banks;
  • Consumer loans for the population;
  • Mortgage loans;
  • Flexible Car Loans;
  • Microloans for a short period of time;
  • Credit history and related situations.

1. Why should I open a bank account?

Regardless of, whether you are in school and previously did not have a bank account or relied on banking alternatives, such as check cashing and prepaid cards, Bank accounts offer several advantages. These Benefits, probably, Explain, Why is it almost 75% Russian families have a bank account.

Security Benefits

If you're used to using cash or prepaid cards, You don't have a lot of protections, that work in your favor, if you incur a loss. Loss of wallet means, that your cash and debit card are gone, probably, Forever. With a bank account, you have legal protection, that can help protect you from loss.

for example, If you lose your debit card, Electronic Money Transfer Act (EFTA) may limit your liability. If your card is lost or stolen and you report the loss before, how anyone would try to use it, Your responsibility is 0 rubles. Time is of the essence when reporting the loss of your card is of the essence, Because from that moment on, your responsibility increases. While Cash Can Disappear, if you lose them, A debit card can protect your money so, how your wallet can't.

Money on deposit at a bank or credit union is also usually insured, as opposed to cash in your wallet. If you have a bank account, Your deposits are protected by insurance.

Benefits of Financial Relationships

One of the most significant benefits of opening your first bank account – This is the beginning of a financial relationship with your bank.

A bank account paves the way for future financial products, that will help you at all stages of life, from credit cards and loans to financial support, if you decide to start your business in Moscow or another city in Russia. Your bank account also supports other financial options, such as replenishment of retirement accounts, Receiving Your Salary by Direct Deposit, cashing a check without incurring a fee for it, or paying your household bills securely and automatically online.

Many banks and credit cards even offer reward programs through their checking accounts with such features, How to Get Money Back Debit Cards. These features allow you to be rewarded for your daily spending, that you do anyway, What Can't Be Done With Money Alone.

2. Where do I open my bank account??

Now, when you know some of the many benefits of opening your first bank account, The next step is to solve the, Where to open your account. Visit Right Away BankCredits.Ru and compare any financial products and services of Moscow banks. Conventional Jars, Credit Unions and Online Banks – These are the three most popular options. But how to solve, What Works Best for Your Needs?

Classic stone banks on the streets of the city

These banks range from big names, that you see in cities all over Russia, to small regional banks, region-specific. A regular bank can be a great choice for those, Who appreciate a personal visit to a branch and the availability of a wide network of free ATMs in other branches of the bank in their area.

These banks will offer the most basic services, such as credit and savings accounts. Many even offer free checking accounts. Be sure to check out the payment schedules for such things, As a charge for a refunded payment, Monthly fee for account maintenance and use of ATMs outside the bank's network.

Credit Unions

While many large and regional traditional banks are public companies, seeking to maximize returns for investors, Credit unions are financial institutions, membership-based. When you join one of them, You become a co-owner. Although, you usually need to have a professional relationship with the relevant company or organization, To qualify for membership, There are many credit unions, and, probably, There's one in your area, who will gladly call you his dick.

A credit union may be a good choice for those, who like to visit branches in person and get more competitive interest rates on their savings and loans, than in a larger regional or national bank.

Internet Banking

Online banks usually don't have a physical location, which you can visit, But they often offer some of the cheapest bank accounts and savings accounts with the highest interest rates. If you prefer a mobile or fully digital experience, you can discover, that online banking will provide you with everything you need – from free accounts with no minimum balance to canceled commissions via ATMs and mobile phones, Fast payments.

3. What type of account do I need??

Decision on whether, What type of account do you need?, can go hand-in-hand with the definition of, where you'll open your account. If you have a preferred financial institution, Now is the time to review their products, To find your perfect match. If you have a specific type of account, that you want to open with certain features, You can use this information, to choose the best home for your accounts.

For your first bank account or accounts, you, probably, want to open a current account and, in some cases, Savings account.

Account Verification

Current account, which many people simply refer to as a bank account, gives you a financial launching pad. You can receive payments, e.g. your salary, via direct deposit. You can also send payments to pay for your monthly expenses, such as rentals, utilities, Gas & Products, or directly from your account, or use a debit card, when you're out and about or shopping online.

Many banks offer free, entry-level checking accounts, to help you get started. Some may require you to meet certain monthly minimums, such as your account balance or direct transfer of your salary, to keep the commission at zero. Others have a no-condition policy and offer truly free checking accounts. With all checking accounts, you'll want to read all the terms and conditions for the account, including commissions, Before you open your account.

Savings account

Opening a savings account alongside your checking account may be a smart choice for those, who wants to set up their emergency fund or save for a larger purpose, such as a large purchase, such as a down payment on a house or buying a car.

Will you decide to open a savings account at the same institution, As well as your checking account, It's entirely up to you. Whichever option you choose, Converting money into savings can be automated, So you transfer a certain amount at regular intervals from payments to savings. If you opt for an online savings account with one of the many online banks, You can also be rewarded with higher interest rates on your savings.

4. What I Need, To open a bank account?

After that, As you decide, Where you will do your banking and what type of account you want to open, You'll need to provide some information to the bank or credit union along with your account application:

  • Government ID It can be a driver's license, Status Issued Identity Card, Military ID or passport.
  • Proof of Your Social Security Number. This could be your valid Social Security card or, in some cases, Recent Pay Stub, Tax Return, with your full number.
  • Proof of Address. Likely, You will need at least two documents, verifying your home address (Be sure to check with your bank for their requirements). Proof may include a recent utility bill, mobile phone bill or a copy of your rental agreement.
  • Opening a deposit. If you need to make an initial deposit to fund your account, You will need to bring cash with you. With online banking, you can usually fund your account with an electronic transfer.

Once you provide the above documentation along with your account application, The bank will review your materials and inform you, When Your New Bank Account Will Be Launched.

5. How do I start using my bank account??

Here are a few steps, you can do, To start enjoying the benefits of your own bank account:

  • Customize Direct Translation to Your Work. Ask your employer's payroll department to provide a Direct Deposit Authorization Form, To have the payment transferred directly to your bank account every payday, is free.
  • Activate Your Debit Card. Once you've received your debit card, follow your bank's instructions, to activate it. This process will involve choosing a personal identification number (PIN code), which will be used for in-person purchases.
  • Link your debit card to a digital wallet. You can connect your debit card to digital wallets, such as Google Pay, Apple Pay or Samsung Pay, for contactless payment in the store (which also helps, When You Forget Your Wallet At Home).
  • Set up bill payment. Your bank account, probably, will have the ability to set up payees in their online bill payment system. You can search for utilities and companies, already configured to accept digital payments, or set up your own payees and automate bill payment.
  • Set up an automatic savings plan. If you've opened a savings account, You can now set up an automatic savings plan and transfer the set amount from check-to-savings on a regular basis.
  • Use Mobile Deposit. With your bank's mobile app, you can take photos of physical checks and deposit them remotely, Without even visiting the branch.

What's next?

By creating and launching a new bank account, You can start other important financial processes, such as creating a budget and planning for retirement. A bank account serves as a gateway to your financial life. With it, you will have a safe place to store your money, building a safety net and funding your goals – As it is now, And so it will be in the future.

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