Everyone is always looking for a way to save money whether their bank balance has a lot of zeroes at the end or just a few. Saving money is always smart, which is the reason so many small businesses, big businesses, and individuals try their hand at online banking. In fact, it is now rare to find a business who does not use business online banking because it provides the utmost security for their funds. Some people may be skeptical of online banking in the beginning, but it doesn’t take long at all before they realise how beneficial online banking is and how much money it saves them on a regular basis. The benefits of online banking include the obvious, such as not having to standing in line at a traditional bank and not having to rush to get to the bank before it closes. Online banks are open all day, every day, and there is always a representative ready to take a phone call or answer an email when customers need assistance. Here are the top five ways online banking saves consumers money.
No Late Fees
Online banking is a great way to ensure that your bills are paid on time and in full. This means that account holders will not have to face late charges and fees applied to their accounts by their creditors and bill collectors. Online banking allows account holders to set up their payments, the dates each payment is to be made, and to whom each payment is to be made. Account holders have the option to set up one-time payments or schedule monthly bill payments so that they never risk another late, missed, or forgotten payment and the fees that comes with it.
No Fees for Sending Cash
Wiring money is something that used to cost a bundle. It’s quick and easy to wire money to a loved one in need, but with wire services the fee can be quite hefty. Online banking allows account holders to wire money directly from their bank account to the account of another person for little to no charge. The online wire feature is quick and free, and customers can use this feature from the comfort of their own living room or office, from a hotel in a different country, or sitting on a plane using the wi-fi network on their tablet or smart phone. This can work especially well for businesses that are always transferring cash between accounts. Businesses might also want to check this out if they’re interested in open banking, which allows you to transfer money quickly and securely between accounts, helping to manage finances in an easy and efficient way.
Easy Account Access
Perhaps the best way that online banking can save account holders so much money is the fact that it is so easily accessible all over the world. Account holders can log on to their bank accounts at any time, from any country, in the middle of nowhere if need be. This means that forgotten transfers or emergency wires and even a simple balance check can be done in a matter of minutes from a mobile device or computer anywhere in the world. Traditional banks are not open 24 hours per day, which means that people traveling cannot access their accounts as easily; sometimes not at all when they are out of the country or out of town. UK banks such as regional favourite CB Online are known for their ease of access and favourable terms.
Better Interest Rates
Online banking is a great way to make more money. Traditional banks offer account holders their own interest rates for savings accounts, but online banks typically offer higher interest rates to customers. While the highest rates aren’t particularly high at the moment, online banks are still higher than traditional banks. Account holders will earn more money on the money have already have by banking online. Additionally, it’s easier to find out which online bank has the highest interest rates on savings and CD accounts simply by checking online. It makes saving easier and more profitable.
One way that banks make money is by charging their account holders fees. Online banks charge smaller fees and sometimes no fees at all to use their services. Many traditional banks charge fees to customers who use ATM machines not associated with their bank. Some charge customers to keep an account there. Some charge customers to make deposits or to withdraw more than their monthly free allowance each month. Most online banks don’t charge any fees to use their services, which can save account holders a significant amount of money each year on fees for deposits, written checks, and even ATM withdrawals.
The benefits of online banking for individuals and small and large businesses are astounding. There is no reason not to save money by banking anywhere other than online. Signing up for online banking means instant access, easy transfers, fewer fees, and instant access to a customer’s accounts from anywhere in the world, any time of day. Online banking is a smart choice for individuals and businesses who want to save money.