Most people are very familiar with how a bank operates. The concept is very simple; you take your money to the bank and they will keep it safe for you and you can collect it later. There are other uses of a bank, such as loans and interest. But with nearly everything going digital, including money transfers, paychecks, bill payments and debit cards, cash is practically becoming obsolete. And while some might be slightly nervous to make the switch to an online-only bank, there are some terrific benefits to online banking. Some of the best online banking services are FlagStar Direct, iGoBanking and E-Trade.
You are probably very comfortable walking into your local bank and depositing a check or making a withdrawal. However, you are also probably very familiar with the lines associated with doing even the most basic tasks. And in order to get into the building, you ll have to keep in mind all the federal holidays and other banking days when the bank won t be open. And if you need to visit the bank past regular business hours, forget it, it ll just have to wait until the next day. Traditional banking has some serious flaws in hours of operation and convenience, which is why online banking can be so appealing.
With online banking, you won t ever have to worry about full access to your account. You ll have quick and easy 24-hour access from anywhere in the world. The online bank won t ever be closed for a holiday or for maintenance. You won t ever have to rush over to the bank after work and fight lines because with online banking, you can access your account from any computer with an internet connection. Also, because online banking services don t have to rent a building, they often offer higher interest rates with their savings accounts.
Depositing funds and using the online banking services is simple and quick. The most common and easiest way to use the internet bank is to have a direct deposit established with an employer. Most employers prefer direct deposit and setting up an account is free and simple. You can also move funds into an online bank via an online transfer or money transfer. Most online banks have check scanning and check entry money depositing options as well. And, of course, there s always the standard United States Postal Service mailing system to deposit funds as well.
When you need to withdraw funds from your online banking service, you can use a debit card or a standard ATM card. Many of the cards have very similar setups as the standard and more traditional banks. You can use the debit card for any online or retail shopping and the ATM cards work in any ATM machine. There s almost no difference between the ways you would use an online banking service card and a card from a traditional bank.
Online banking can be intimidating if you re new to the idea. But with the added convenience, higher interest rates and overall better quality service, it is an appealing option for many.