January 30th, 2020 | Updated on June 3rd, 2021
In the United States, there are 24.5 million people who do not use banks. While most people who do not have a bank account, feel they don’t have the funds to open an account, 11% of people say they don’t feel that the bank is a safe place to keep their money. Reports show that some people feel that the cost of an account is not affordable.
While it’s understandable that people have not had good relationships with banking institutions, having a checking account with a bank or credit union such as Space Coast Credit Union provides customers with benefits. Five SCCU free checking benefits include the following items.
1. Income Protection
A bank provides a safe place for an individual to keep their money. The Federal Deposit Insurance Corporation provides individuals with this insurance to protect their money from loss which may come when their money is in banks.
Individuals with bank accounts in the United States have their money insured by the FDIC. This insurance will protect $250,000 for each bank account that an individual has for each type of bank account registered in their name.
2. Receive Money Without Fees
When an individual has a bank account, they can receive cash from their employer or their own business in an easy manner.
If an individual does not have a bank account, then they can only cash their check at the bank that issued the check which will require traveling to a branch in the local area to get funds. Sometimes a bank may charge a non-account holder a fee to cash checks if they’re not customers.
Individuals can save the money they spend on check cashing fees if they open a bank account. Individuals can deposit their paychecks into their bank account either by paper check or electronic funds transfer.
By having a checking account, individuals can save the time they spend traveling to and from a bank if their employer deposits their paychecks using EFT into a checking account.
3. Pay Expenses Faster
When an individual doesn’t have a bank account, then they will spend time and money traveling to make their payments to businesses and individuals. A checking account allows individuals and businesses to pay bills in a faster manner.
Checking account holders can pay bills online, by phone, write checks, or use automatic services that deduct money on a specified day. These convenient ways of paying bills help individuals spend their time in a more efficient manner than delivering payments to businesses.
4. Debit Card Benefits
Debit cards have allowed individuals to pay for expenses and make purchases at businesses that have a Visa or MasterCard logo. By carrying a debit card, an individual does not have to carry cash to cover expenses in their wallet.
Individuals can avoid being robbed in businesses because thieves do not see them with a considerable amount of cash in stores or wherever they spend money.
Banks offer their customers protection when someone steals their debit cards. This may assist an individual if they need to replace a debit card.
5. Monitor Finances
By having a checking account, bank customers have a way of managing their money. Checking accounts allow account holders to monitor their purchases based on their account transaction records.
Customers can track their transactions online, by phone, or review their statements to see where they spent money. By having a free checking account, customers can verify that they paid their bills.