4 Unexpected Benefits of a Checking Account

Checking accounts have a lot of obvious benefits. They’re a safe place to keep your money that lets you pay your creditors and provides a paper trail that can help you keep track of which bills you’ve paid.

What are the Benefits of a Checking Account?

Some checking account benefits are obvious, like providing control and convenience for your managing your money, however a checking account also has some less obvious benefits. Once you know what they are, you’ll gain an entirely new appreciation for your checking account.

Checking Accounts Teach Financial Literacy

When you get a checking account, you also get a crash course in basic financial literacy. Checking accounts show you the importance of maintaining a positive balance in your account and give you experience in paying bills, writing checks and making sure that you have the money you need to cover your basic living expenses. This benefit can be especially important for children.

Once you’ve mastered those basic financial literacy skills you can move on to more advanced skills, such as creating a budget and setting financial goals.

Checking Accounts Save Money

When you get a checking account, you don’t have to rely on predatory financial services like a check cashing service or Pay Day loans, both of which charge a lot of money for their services. Using a checking account instead can save you a lot of money.

Checking accounts can also save you money if the financial institution you bank at has an online bill payment service. By setting up your online bill payment service to automatically pay your bills, you can avoid late payment fees and save even more money.

Checking Accounts Make Your Money More Accessible

Ironically, you get more access to your money when it’s in a checking account than you’d get even if you simply got each paycheck in cash. While you can use your debit card to pay for purchases the same way you could with cash, you can also write checks or pay your bills through your institution’s online bill payment system, transfer money between accounts and even transfer money to accounts in other financial institutions.

Checking Accounts Can Earn Interest

One of the lesser-known benefits of checking accounts is their potential to earn interest, which can contribute to your financial growth over time. While traditionally associated with savings accounts, some checking accounts offer interest on the balance you maintain, allowing your money to work for you even as it remains readily accessible for daily transactions. This means that, in addition to the convenience and security of managing your finances, you can also enjoy the added advantage of seeing your funds grow incrementally.

By choosing a checking account that offers competitive interest rates, you can maximize your earnings while still having the flexibility to pay bills, make purchases, and manage your financial needs with ease. This feature can be particularly beneficial for those who maintain higher balances in their checking accounts, as the interest accrued can add up significantly over time, enhancing your overall financial strategy.

Open a Checking Account at First Alliance Credit Union

A checking account can give you several obvious advantages. However, there are some less obvious advantages that can provide some solid advantages on your journey to financial success.

If you’d like to get first-hand experience with the advantages of a checking account, become a member of First Alliance Credit Union today. In addition to being able to deposit and withdraw money at any time, thanks to our Advisor Supported Kiosks, you’ll also be able to use our robust online banking platform and mobile app to pay your bills, monitor your accounts and transfer your funds quickly and easily.

Questions about checking accounts? Ask us!