No Frills Accounts
For clients looking for a minimum set of banking services without paying high bank charges, basic or “no frills” accounts are probably a good bet. Many people who walk into their main bank or local savings and loans office are unaware that financial institutions are in the banking business to make money. They do this by charging their clients for every single service that they provide. The charges may seem insubstantial on their own, but multiply them by the hundreds of thousands of clients that banking institutions have then you can soon see how the banks make their profits.
“No frills” accounts provide banking customers with basic services that include paying bills and cashing checks at very low levels of bank charges. Opening such an account at a main bank will provide you with a checkbook, but you will likely have a set limit to the number of checks that you can write per month. Others have a limit on the number of deposits and withdrawals you can make on your account as well. In addition, there is normally no interest paid on any positive balances. They are simply, bargain basement banking services offering basic services at low cost to banking clients. And “no frills” means exactly that. You will not obtain a credit or ATM card and you will not be allowed to maintain a negative balance on the account. The best advice is to shop around and see which banks provide the best packages to woo their customers.
Basic accounts can be opened in your own name, or in joint names (including names of minors), and require only low balances to open an initial account. In fact, some banks will be happy to open a no frills account without any positive balance at all. You will likely receive quarterly statements and you will probably avoid the tiresome documentation process that is now necessary to open mainstream banking accounts. Introductions normally only require a recommendation from a current bank customer making the registration process quite streamlined. For anyone looking for banking services offering a basic package of no fuss services, then a no frills account is something to seriously consider.
For more infomation on bank accounts choose from the list below. |
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