Learn 7 tips to manage your checking account

3. Investigate the smartphone app

Another recommendation from Weiss for managing your checking account is to become acquainted with your bank’s mobile app. Aside from monitoring your balance while on the move, the mobile app may assist you in managing your checking account by allowing you to deposit checks, review account activity, and pay bills. To effectively manage your checking account, you should know the fees connected with buying checks, initiating wire transfers, and canceling payments.

4. Accept possible earnings

Having extra money deposited into your account may make managing your checking account and budget easier because you’ll have more money to spend or save. While checking accounts are an excellent place to keep your daily funds, several institutions also provide possibilities to earn interest or rewards.

5. Avoid paying surcharges

Inman and Weiss gave tips for managing your checking account that will be useful if you’re also looking for ways to reduce bank fees. One of the most basic is to open an arrangement that does not impose a monthly maintenance fee regardless of account balance or activity.

Your bank may charge you a fee when you use your linked debit card to withdraw cash from certain ATMs. Inman suggests understanding which ATMs charge no fees for cash withdrawals and using these no-fee ATMs as frequently as possible to manage your checking account better.

If you’re looking for checking account management ideas, keep in mind that over-drafting (when a transaction reduces your account balance below zero) might result in costs. “It’s important to understand the rules if you’re going to overdraft your account,” Weiss adds. To effectively manage your checking account, you should know the fees connected with buying checks, initiating wire transfers, and canceling payments.

6. Think about consolidating.

According to him, when they initially met with Inman, many of his clients had multiple checking accounts. “It can be easier to track your accounts if you consolidate and streamline your finances, so you only have one main checking account,” he explains.

“You can see how much money you have when it comes in and where it goes rapidly.” Tracking your money may become more complex and time-consuming for some if you manage too many bank accounts.

You’ll have to remember login credentials for several accounts, different balances, and which account you use for certain bills. Furthermore, it may be simpler to avoid potential fees for just one account.

7. Choose a location for extra cash.

If you handle your checking account properly, it may be a terrific way to save money for everyday needs such as entertainment, food, and transportation, as well as regular monthly bills. However, for intermediate and long-term savings, a different sort of bank account may be a better option.

“You want the money in your checking account to have a purpose,” Weiss adds, “or else shift it to a higher-interest account.”