Time To Find A New Bank

I was very excited when I finally closed my Bank of America account a few months ago. Anyone who has been their customer knows what I am talking about so I will say no more. I really should have closed it years ago when I switched to online banking but somehow I could not cut the cord—I needed the false security of a bricks and mortar bank even though I never ever went there.

However, recently I have had the need to walk into a bank and I have been reminded several times of the one and only problem I have with online banks—it is a pain to make deposits. You have to mail checks to them or make deposits into a linked account and then transfer to the online bank. Too much hassle, too much time=Major Inconvenience.

So since my banking needs have changed, I am now in search of a bricks and mortar bank, where among other things, deposits can be made as easily and painlessly as possible. I have spent the last few weeks trying to find the best bank for my current needs. Trust me, it’s easier to stay cool outdoors in the Texas heat than it is to find a decent bank these days.

They have all these impressive sounding account types like, “Smart Cents Checking” (you know who you are) that want to make you sign up immediately until you read all the fine print and find out that they really mean smart cents for the bank not for you.

Granted it’s not much, but since the bank uses my money to make money, you would think they would make it easier for me to bank with them. As things stand, I am sorely tempted to keep my money under the mattress; only problem is that it becomes very inconvenient to pay those pesky bills as I would have to drive around and make payments.

In my research, I found that some banks have introduced check deposits by phone where you take a picture of the check and send it to your bank and that serves as the deposit. PNC Bank allows you to do this via an iPhone app. Since I don’t have an iPhone, this doesn’t do me any good. In any case I prefer to let them iron out the kinks in this technology before I jump on board.

In the course of searching for a new bank I came across a couple of websites that have been very informative. They are www.mybanktracker.com (where I learnt about the PNC mobile deposits) and www.findabetterbank.com. These websites offer a ton of information and tools that will help you evaluate if you need to switch to a new account and what your options are.

I don’t have any recommendations for “the best bank” because choosing a bank is very personal. It depends on your current day to day financial behaviors as well as your financial goals for your future.

That said, here are a few things from my experience that you may not have considered:

1. If you have not walked into a bank in over a year, consider an online bank. Most offer free atm fees and not only do they offer free checking accounts they also pay interest.
2. Have a savings account and a checking account in 2 different banks. My savings account is with a local credit union and I do not have a debit card. If I need to withdraw money, I have to drive there during bank hours. Needless to say, it is highly inconvenient to do so which means no impulse spending from this account.
3. Select a bank that has an eBanking platform that you are comfortable with. eBanking is a powerful tool to manage your money. You can pay your bills in a timely fashion, monitor your budgeting and handle all your investing all from the comfort of your couch. Looking at my account on a regular basis helps me rein in my spending before I do too much damage. Also eBanking is here to stay and banks are pushing their customers to use it. Soon, it will be very expensive not to use it. Bank of America now charges most customers for the privilege of receiving a paper statement. If your bank does not do so, trust me they will soon follow suit.

What banking strategies have worked for you? Do you have any other tips you can share?

On the other hand, if Congress doesn't solve this debt ceiling crisis I may not need a new account so maybe I should wait till tomorrow and reconsider my options then.