 | Janet LLoyd-Williams is senior vice president of community relations at INTRUST Bank, N.A. A member of the INTRUST team since 1984, she directs and coordinates the bank's community development activities and public affairs by working with existing agencies and community citizens to address economic, housing, education and employment issues. She has been in the banking industry since 1972. The 2001 award recipient of the Distinguished Community Service Award for Economics, LLoyd-Williams received a degree in business administration from Baker University in 2001. She is a member of the Urban Black Bankers Association, the American Bankers Association and the American Institute of Banking. LLoyd-Williams is a graduate of Leadership Kansas, Leadership 2000 and the Kansas Health Foundation Leadership Development Institute. She is a board member of the National Conference for Community and Justice (NCCJ), Kansas Humanities Counsel, Music Theatre of Wichita, Hospice Inc., Via Christi Foundation and Sedgwick County Zoo. Janet can be contacted at her office at (316) 383-1341, fax at (316) 383-5765, or you can E-mail her at janet.lloyd-williams@intrustbank.com |
Banking & Finance
2002-05-01 14:55:00
About checking accounts
Janet Lloyd-Williams
Question: I'm thinking about opening a checking account, but there are so many banks and checking account options out there that I'm not sure how to make the right decision. How do I pick which one is best for me?Answer: Chances are, you will be starting a long-term relationship with a bank based on your checking account choice. That's why it's important to select a bank that not only has a wide selection of checking account options but has a savings program, an investment plan (CDs or savings plan) and, for later years, a trust plan. Checking accounts can provide you with convenience, cost savings, the safekeeping of your money, and a way to help budget. How do you plan to use your checking account? Financial institutions offer different types to fit just about everyone's needs. The two main factors to remember, however, are cost and convenience. To make an informed choice, be sure to get answers to the following questions: How many checks do you plan to write each month? If it's fewer than 10, you may want to choose a low-cost checking account. However, this type of account may limit the number of checks you can write without an additional charge. Are you willing to pay a monthly service fee? If so, how much? A regular checking account often requires a minimum balance to waive this. Other fees may be applied for insufficient funds, phone inquiries or per-check. These can vary from bank to bank, so ask a prospective bank for their fee schedule. How much money will you need to keep in your account? With interest-bearing checking accounts, such as Negotiable Order of Withdrawal (NOW) accounts and money-market accounts, you can earn interest and avoid fees but will usually need to maintain a higher balance in order to do so. These days, most day-to-day banking can be conducted using an ATM, but if you prefer to use a teller, find out if the bank or its branch is located in your neighborhood. Do you plan to use an ATM on a regular basis? Ask if the bank is affiliated with one close to where you work or live. Are you interested in Internet banking? Many banks now offer this online option, along with automatic bill pay, and are more than willing to explain how to get started. Some banks even offer an ATM checking account for free or at a reduced cost if you do all of your banking by phone and ATM. This type of account usually offers unlimited check-writing privileges. In other words, there are no additional charges based on the number of checks you write, but the bank may charge you a fee if you use the services of a teller. Besides the basics listed above, much consideration should be given to the relationship that you will have with your bank. Is their service personalized? Do they value your business? Do they treat you as an individual? With so many bank options, you can afford to be choosy. Once you find a bank that is flexible enough to meet your needs, don't forget to be a savvy consumer. Ask plenty of questions and read the bank's disclosures. Then you'll be ready to sign on the dotted line.
