Student bank accounts
Are you a Student heading of to college and worrying how to handle your finances. Here's some help for you.
Piggy bank s are a thing of past College expenses require careful planning and mature handling. Opening a Student Âs bank account is the first step in managing your finances efficiently.
Bank's today present a whole array of financial products for Students right from loans to insurance to credit cards and accounts. Most bank s offer Student bank accounts that are designed considering the specific financial needs of the Students.
These accounts could be opened at the bank or online. The Student accounts can be opened only for a full time Student above 18 years age. Generally the bank will require you to provide a copy of your university identity card as proof.
Student bank accounts could be of various kinds such as Checking, Savings and Current accounts.
The checking accounts allow you easy access with debit cards, check book facilities, internet bank ing etc. However no interest is paid on the credit balance in this account.
The Savings account is similar to a checking account but limits your transactions. The good news here is that the bank pays you interest once in a quarter on the credit balance that you maintain in this account. So now that is a safe place for any extra money you want to set aside for the next semester.
The Current account is most popular with Students. The current accounts do not pay interest into the account, but allows you an overdraft facility. Overdraft - meaning you could draw some amount from the bank even though you donÂt have a credit balance. The bank charges some interest on this over drawn amount
Choose a bank account that best suits your need. Look around you might already have a bank at your campus. It is wise to shop around and collect all information on the features of the account with various bank, before you decide what kind and where to open your Student account.
Before you open an account with a bank, check if you must maintain a minimum balance. Find out if there is a cost to maintain these accounts. Compare the transaction charges and service fees charged by the bank s.
Another key factor is the interest rate on the overdraft amount. Some bank s offer an interest free overdraft on a small amount and charge interest if you withdraw further. One other aspect that you need to consider is the convenience in accessing the accounts. Choose banks that have ATMs in your locality and those that offer free internet bank ing and telephone bank ing."> Free debit cards, credit cards and pre spend cards are also offered for these accounts. Prefer those bank s that offer a long term benefit such as insurance on your possessions, or discounted interest rates on Student loans.
Many websites provide a comprehensive comparison of the features of various banks. Choosing the right bank account may not be as difficult as finding a perfect room mate.