Debt Free Article

The least you need to know

This debt free article covers the least you need to know about savings and CD accounts (beating the averages), avoiding bank fees, and not using your bank any more and moving on to a new bank. You will completely find that the easy to read and understand bullet points on this page. We have put together for you all the most important things you need to know about the following compelling debt free topics that will affect you ability to achieve your debt free status in life a lot sooner. Be sure to check out our complete the least you need to know section on our main debt free article page. The link is at the bottom of this page or you can click back on your browser.

Savings and CD accounts (beating the averages)

• The 3 basic types of savings accounts are passbooks, statement savings, and Money Market Accounts
• Basic savings accounts almost always less than CDs.
• Comparison shopping for the best rates you can find is vital. Doing so will totally pay off. You want your hard earned savings to perform the best it can for you. After all, you are loaning it to the bank – which is making even more than you are – so get what you deserve. Banks. Vary widely in their fees and interest rates.
• Some out of state, FDIC insured institutions will pay you 1% to 2% more on CDs than your local bank. All the highest yielding availabilities are listed on the free website bankrate.com. Check it out today.

Avoiding daunting bank fees

• All bank fees are going up – they do not go down. Your bank will surely figure out how to invent new fees as well. Be absolutely certain that you read all brochures and literature that is tucked into your monthly or quarterly banking statements – they may contain vital info on banking rate changes. You would be surprised at how many consumers throw this paperwork away unconcerned.
• Some of the banks charge new fees for doing nothing – that is, having an inactive account, as opposed to doing something actually bad. This is a killer and a big disappointer for many consumers.
• You have to be completely are of which banking areas are liable to hit you with a fee. Meaning, the less you bother to bank’s employees, and the more you conduct all your baking online or electronically, the lower your fees will be. Person to person phone calls to customer service are another fee that will shock you.
• If you shop 5 or 6 banks to match their fees (as we mentioned in another section of this debt free article) against your personal banking behavior, you can switch banks and easily save a bunch of money. For instance, if you have to bank online and commit dozens and dozens of transactions online – go with a bank that does not charge. If you do not use ATMs (who doesn’t really), then do not worry about a bank charging for this as long as your online banking is free right? Compare your habits against the bank’s fees always.
• Large banks charge higher fees than small banks so (almost always). Small hometown banks will compete for your patronage – seek better fees even negotiate at small banks too. Yes, you will see that huge nationwide bank’s commercial for free checking all day long – but they are paying for that commercial by charging you hidden fees. Smaller banks may not advertise as much, but who cares?
• Also we weary of huge bank takeover situations. Your existing bank’s rates may change after it merges with the big guy.

Switching banks or not using a bank anymore

• Stay informed about what your bank is doing. Have they been raising fees? Hiking a loan rate? Turning you into a number instead of a client with a name? If so, it is most likely time to say see ya!
• Compare what other banks are paying and charging their customers. Do they offer higher interest on savings? Not all banks are created equal. Do they have lower loan rates? Better customer services? Cheaper fees? Better locations? If so, move on. Ask a friend how they like their bank, but make sure you need the same things that they do if they recommend their bank.
• Lack of person attention and unwillingness to be flexible when you have a personal financial problem are good reasons to move onto a new bank.
• Have a heart to heart talk with your branch manager before you close your existing account. Many people do not know banks can counter offer each other. If you find that the manager offers you a token (and it better be good) of negotiation space, consider staying – but make sure staying is equal or better than leaving. Even if your bank only matches what another will offer you, the convenience of not having to move is worth your while. Be sure to lock in your new negotiation too – not just for a few months either.
• Make sure all of your checks have cleared if you are switching from one bank to the next (or just closing an account for that matter). Close any account in writing to be certain the account actually gets closed and does not become simply inactive. This way there will be absolutely no misunderstandings involved whatsoever regarding new fees and bounced checks on a closed or inactive account and such.
• Avoid fees related to closing accounts by making sure your all of your lose ends are tied up and you leave a forwarding address if needed with the bank. Turn in your safe deposit key and such.
• Do not feel guilty or embarrassed when you change banks either. Your old bank will not miss you or feel guilty. They gave you a really good reason to leave – remember that.
• Get to know the new bank personnel before switching too.

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