savings accounts http://www.artwoo.com Returned search results for savings accounts Copyright 2008 Mon, 01 Dec 2008 23:19:58 +0000 http://www.artwoo.com/rss/savings+accounts Choosing The Right Bank Account For Your Needs http://www.artwoo.com/article/choosing-the-right-bank-account-for-your-needs http://www.artwoo.com/article/choosing-the-right-bank-account-for-your-needs#comments Mon, 09 Oct 2006 02:27:06 +0000 proactiveonline bankingmoneycurrent accountsavings accountschequesrely http://www.artwoo.com/article/choosing-the-right-bank-account-for-your-needs
Number of accounts

Many people have a few s as well as one or two , which they are not getting the best out of. If you pick the right accounts then you will only need one current account and one savings account for your personal use. If you have a large number of accounts, then now is the time to think about replacing them with one or two accounts that better serve your needs.

Don't be lazy

The first step to finding the right bank account for your needs is to start being active and looking for a new account. Banks on the fact that you are too lazy to check your fees to see if they are worth your while. It is likely that you pay fees and rates each month that are more than you need to pay, or are for services that you don't need. If you are then you are more likely to get a good deal.

Features

Once you have decided that your current bank account is not fully serving your needs, then you need to look at what features are most important to you. Are you someone who transfers a lot of electronically, or do you write to pay for things? Some accounts will have better rates for each of these features, so you need to decide what you are going to use the account for.



One aspect that you need to look at when choosing an account is online banking. If you only need basic checking and savings services, then having online banking might not be worth it. However, if you need to access your money quickly and be able to transfer between accounts or pay bills instantly, then you should get an account that has online banking features.

Current and savings accounts

There are many account variations available for both current accounts and savings accounts, and it is even possible to get combined current and savings accounts. The type of account you need depends on the features you need and the amount of money you will be paying in and out of your account. If you have a large amount of savings, then you want a savings account with the best interest rate to take advantage of this. Also, if you have relatively little money in your current account then you shouldn't opt for an account that requires a minimum amount be paid into the account each month.

Where to look

Now that you know what sort of account you want, you need to find the right institution to suit your needs. Although traditional banks should be your first port of call, you should also look at credit unions and online banks to find the best bank account for your needs. Peter Kenny is a writer for The Thrifty Scot. For additional articles and the latest financial news, please visit us at http://www.thriftyscot.co.uk/Banking-Savings/ and http://www.thriftyscot.co.uk/Banking-Savings/Current_Accounts.html ]]> How to Compare Savings Accounts http://www.artwoo.com/article/how-to-compare-savings-accounts http://www.artwoo.com/article/how-to-compare-savings-accounts#comments Sun, 30 Nov 2008 00:29:28 +0000 atm cardmoney interestminimum balanceshoe boxsavings accountsservice chargesadvance notice http://www.artwoo.com/article/how-to-compare-savings-accounts Savings accounts are where many people hang on to cash for future use -- some people save for emergencies, vacations and travel, and the items they would like to buy someday when they have saved up enough money. People feel confident with their money in savings accounts, because they are insured by the Federal government and offer some growth over time.

If you're going to use a savings account to hang on to your money rather than just stuffing it in a under the bed, you should take a moment to compare different types of savings accounts in order to get the most out of your money.

Interest Rates

When looking at different savings accounts, take note of how much interest they will give you. The higher the interest rate, the better. Keep an eye out for savings accounts that charge different interest rates based on the amount of your balance -- and consider how much you will typically maintain in your savings account to determine if you qualify for a higher interest rate or lower interest rate.

Accessibility

How easy do you want to have access to your money? If you're trying to save money without dipping into it, you may choose an account that doesn't have an , or that requires for withdrawing money, for example.

On the other hand, if you use your savings account to hold money that you use for your every day spending needs, you'll want to look at accounts that make it possible to withdraw your money instantly, and without penalty or fees.

Fees and

Take a look at the fees and service charges that each of the savings accounts you are comparing charge. Some will charge a monthly service charge if your balance is below a minimum level -- if you think you may not be able to maintain their to avoid the monthly service charge, it's probably a good idea to look at a different account. Monthly service charges almost always cost more than the interest you'll earn.

If you tend to move your money between accounts, you'll want to make sure you won't be charged fees for transferring money. If you rarely move money between accounts that way, a fee for that service shouldn't deter you from an otherwise great savings account.

If you access money via an ATM, you'll want to make sure there are no fees for doing so if possible -- or at least select a savings account with the lowest ATM fees.

Introductory Rates

Some savings accounts will give a promotional rate to encourage new customers to open accounts. A promotional rate may offer higher interest earnings for a certain, temporary period of time. If you are going to take advantage of a promotion -- just be sure you understand the rates and fees of the account once the promotional period ends to determine if you'll keep your money with that account or if you'll start looking for a new savings account at the end of the promotional offer.

Graduated Interest Rates

If you know your savings will increase over time, you might want to look at savings accounts with graduated interest rates. This means you'll get higher interest with more money in the account, and lower interest with a lower balance.

Multiple Savings Accounts

Many people determine they need more than one savings account. Sometimes having a mix of savings accounts is better than trying to find a "one-size-fits-all" savings account for all of your saving needs. For example, you might have a long term savings for your future needs, an emergency fund for unexpected problems that might come up that require access to money, and another account for specific savings -- like Christmas shopping or vacations.This article has been provided by DepositAccounts.com where you can compare rates on savings accounts and other deposit accounts.]]> High Yield Savings Accounts http://www.artwoo.com/article/high-yield-savings-accounts http://www.artwoo.com/article/high-yield-savings-accounts#comments Tue, 21 Aug 2007 21:35:01 +0000 high yield savings accountsonline savings accountsindividual savings accountsonline savings accountfdic insuredsavings account interest rateshigh yield savings http://www.artwoo.com/article/high-yield-savings-accounts
In 2007, the national for bank accounts is about 2%. Many people prefer to save their money in organizations that offer accounts. Primarily, online banks are able to provide higher rates of interest for savings accounts.

s Yield Higher Interest Rates

Because an online bank does not have the operational overhead that a physical bank has, they are able to pass along those savings to consumers by offering higher interest rates on savings accounts. Most online savings accounts will also be free, with no minimum deposits to maintain and no fees for depositing or withdrawing money.

While some people may have reservations about using an online bank, you can ensure the bank is as reputable as your local bank simply by checking to see if the bank is . If the bank is FDIC insured (usually up to $100,000 for ), you will receive the same protection from the online bank as you would from your neighborhood banking establishment.

How Online Savings Accounts Work

If you've never had an online bank account, it might seem confusing at first. How do you deposit money to an account held with an online company? How do you take money out when you need it?

Most online savings account providers operate by connecting your online accounts with your existing bank accounts- which provides a few benefits. First, you don't have to close your existing accounts in order to take advantage of high yield savings accounts. Secondly, with connected accounts, you can easily make transfers from your physical checking or savings accounts into your online account with a phone call or a few mouse clicks! Most online banks also allow you to set up automatic deposit options, and either have your paycheck deposited into the account automatically, or have a transfer from your existing bank accounts into your online savings account done at regular intervals.

Taking your money out of an online account works the same way- most banks allow you to transfer the money from your online savings directly to your existing checking or savings account. Some online providers offer ATM cards that can be used to access cash instantly from any ATM, while still others might provide you with checks connected to your online account.

High Yield Savings Account Providers

Finding an online savings account with high interest rates is quite easy. There are numerous providers- some operate completely online, while others have both a physical, brick and mortar bank and have added an online component.

ING Direct: offers high yield savings accounts, interest bearing checking accounts and investment opportunities.

HSBC Direct: you do not need an existing account with HSBC to use their savings accounts or other investment products. HSBC accounts include an ATM card for easy withdrawals and deposits from any HSBC bank branch.

Citibank Direct e-Savings: offers a money market account that can be linked to your checking account. Offers online bill pay services and other Citibank online features.

Emigrant Direct: offers savings accounts with no minimum balance requirements and easy transfers from your existing bank accounts to your new online savings account. This article has been provided courtesy of Destroy Debt, http://www.destroydebt.com . ]]> Choose The Right Banking Account For Your Needs http://www.artwoo.com/article/choose-the-right-banking-account-for-your-needs http://www.artwoo.com/article/choose-the-right-banking-account-for-your-needs#comments Mon, 07 Jan 2008 21:35:00 +0000 money market accountsmoney market accounttypes of bank accountstypical savingsinterest moneyminimum balancemoney work http://www.artwoo.com/article/choose-the-right-banking-account-for-your-needs
When you understand the different you can actually make your for you in the best possible way.

Different Types of Bank Accounts

Usually the accounts that you see offered on commercials are the checking accounts. These are the most common type of bank account as they allow you to withdraw money from your account by writing checks and with a debit card.

For people who need to have access to their money without having to jump through hoops or wait for a check to be cut, etc, these accounts serve as a great option. Some checking accounts pay interest, allowing you to take advantage of average daily balances, but most typical checking accounts, also known as a demand deposit account, will not pay interest.

s offer interest on the accounts as well as allows you to write checks on it. A money market account allows for you to benefit from a higher rate of interest than your or checking account, but they do require that you have a higher than you would have to have with other accounts.

Unlike checking account, withdrawing funds is not always that simple although you can write with checks on these accounts. In addition, there are usually more fees associated with this type of account, making it a good option for those that don't necessarily need to access the cash.

Another common type of account are the savings account. This is the type of account that most people use to keep the bulk of their money in. Although you do not have the benefit of being able to write checks from the account, these accounts offer the benefit of interest. You may be limited as to the number of withdrawals or transfers that you are allowed to make each month and if you go over you may be charged a small fee.

Besides these, there are time deposit accounts, or certification of deposits or CDs. These accounts offer guaranteed interest rates and allow for the account holder to choose how long they would like their money to be on deposit, you can generally choose anywhere from a few days to a few years.

If you want to earn a high rate of interest on a specific amount of money this is a great choice but this is not the type of account that you want if you need to access the money.

As you can see, there are many different account types for you to choose from. You must discuss all your options with the bank before you end up choosing one. If you still aren't sure let them know what you will be using your account for and they will likely be able to help you make the right choice for your financial needs. Get the best deals on savings accounts at http://www.nationsfinance.co.uk/banking/savings-accounts.html If you need a business bank account http://www.nationsfinance.co.uk/banking/ come and explore your options for current accounts at http://www.nationsfinance.co.uk/banking/current-accounts.html ]]> Types Of Bank Accounts http://www.artwoo.com/article/types-of-bank-accounts http://www.artwoo.com/article/types-of-bank-accounts#comments Sun, 17 Feb 2008 12:15:00 +0000 electronic funds transfersmoney market accountstypes of bank accountsmoney market accountcommon bankpaper checkspopular bank http://www.artwoo.com/article/types-of-bank-accounts types of bank accounts? Many people assume that checking and savings are the only valuable bank accounts available, but that is not always the case. For many people, checking and savings is all that is needed, but many other people need a more robust variety of financial tools. Let's look at some of the more common types of bank accounts.

The most accounts are the checking accounts. A checking account uses and/or as its primary means of business. By opening a checking account you receive paper checks that can be used for a variety of purposes. Many checking accounts are free, but some may charge a small fee each month.

It is always a good idea to learn about any fees in advance of opening any type of bank accounts and this includes checking. Some institutions will also allow you the use of their ATM with your account. Other institutions may also allow you the use of debit cards which can be very handy. As with checking fees, make sure you understand if there are added charges for using the ATM or for using debit cards.

The next most accounts are the savings accounts that virtually all banks offer. With most savings accounts you can make deposits and withdrawals, the same as you might do with a checking account. Keep in mind, however, that savings accounts are normally not as flexible as checking accounts.

In some cases, you are only allowed to make a set number of withdrawals per month from your savings. It should also be understood that many savings accounts do not include checks which means you must visit the bank to get your money. The use of ATM's is usually allowed for savings bank accounts for both deposits and withdrawals.

s are yet another tool that many people find useful. For the most part, a money market account pays higher interest on the funds that you deposit than a simple savings account, but there are also more restrictions on how and when you can get your funds when you need them. These bank accounts will normally have a minimum balance that must be maintained in order for you to get the higher interest rate. Also, you may find that these bank accounts have a very restrictive limit on the amount of withdrawals you can make each month.

Another financial investment tool that many people find beneficial is the certificate of deposit (CD) that many financial institutions offer. These particular bank accounts should be treated as investment vehicles rather than money-moving accounts.

All CD programs require a certain amount of funds be deposited into the account and you must also agree to leave the money in the account for a predetermined length of time. In exchange, the bank or credit union agrees to pays a higher interest rate on the money you have placed into the account.

In the event you withdraw the funds early you will most likely be charged a penalty fee. In some cases, you may be allowed to withdraw the interest that has accrued without having to pay the penalty fee, but this varies from institution to institution. Joe Kenny writes for the financial comparison site http://www.onlystop.com and also for the loan information portal, http://www.iloanapplication.com or for the latest credit card selection, http://www.creditcardsweb.co.uk/ Visit today to find a great personal finance offer. ]]> What Are The Types Of Bank Accounts? http://www.artwoo.com/article/what-are-the-types-of-bank-accounts http://www.artwoo.com/article/what-are-the-types-of-bank-accounts#comments Fri, 30 Nov 2007 12:35:00 +0000 money market accountsopen a checking accountmost important thingpaper checksbanksmoney market accountsavings accounts http://www.artwoo.com/article/what-are-the-types-of-bank-accounts banks and credit unions.

First, you should understand that not all banks and credit unions will offer the same types of accounts. Larger banks will usually offer the most services, but smaller banks are also usually well suited for most consumer needs.

The most popular bank account is the checking account. A checking account uses and/or electronic funds transfers as its primary means of business. When you you will receive paper checks that you can use to pay bills and make purchases. Many checking accounts are free, but some may charge a small fee each month. With your checking account you may get access to ATM machines as well. The to remember about checking accounts is to not write checks that you cannot cover with the funds in your account. This is called bouncing a check and it can cost a lot of money in service charges and fees. It can also lead to criminal charges in some cases.

The savings account is the next most popular bank account type.

A savings account allows you to make deposits and withdrawals, just as a checking account does, however, are not as flexible as checking accounts. Some savings accounts only allow a certain number of withdrawals per month. Normally, savings accounts do not include checks, so to get cash you have to visit the bank in person. Today, most banks to allow savings accounts to be accessed through ATM's for both deposits and withdrawals.

A third bank account is the s that some banks offer. A money market account pays higher interest on your deposits than a savings account but there are added restrictions as well. Often, these accounts will have a minimum balance that must be kept in order to earn the higher interest rate. Most accounts of this type also limit withdrawals to six a month. This type of account is used most effectively for cash that you do not think you will need to use soon.

Certificates of deposit are yet another type of bank account that some consumers find useful. These accounts should be thought of and treated as investments rather than money-moving accounts. CD's require you to make a deposit and to agree to leave the money in the account for a predetermined length of time. In exchange, the bank or credit union agrees to pays higher interest.

With a CD, you are required to keep the money in the CD bank account until the maturity date of the CD. If you take the money out early you are usually charged a penalty fee. In some cases, you may be allowed to withdraw the interest that has accrued without suffering a penalty, but you should check on this before assuming it to be true for all CD's. Peter Kenny is a writer for The Thrifty Scot, please visit us at http://www.thriftyscot.co.uk/Banking-Savings/ and http://www.thriftyscot.com/refinance/ Visit http://www.thriftyscot.com ]]> Should You Open A Savings Account? http://www.artwoo.com/article/should-you-open-a-savings-account http://www.artwoo.com/article/should-you-open-a-savings-account#comments Tue, 26 Sep 2006 04:27:08 +0000 amount of moneymake moneysave a lotcurrent accounthelpsavings accountsextra cash http://www.artwoo.com/article/should-you-open-a-savings-account current account and you are starting to earn more than you spend each month, then maybe it is time to get a savings account. Even if you cannot of money, putting some money aside each month into a savings account can be a good idea. If you are unsure whether to open a savings account then here are some tips to you decide:

Money is safer

If you are keeping money that you have saved in your house or room, then your money is not totally safe. If you lose the money, or if it gets stolen or damaged, then you have lost the money for good. If you keep your money in a savings account then your money is protected until you want to use it. If you want your money to be safe from loss or damage then open a savings account.

You will

Keeping money in your current account will make sure it is safe, but the money you have will remain the same. Putting that money in a savings account will help you to make money on that amount of cash. That is because the interest rates on are much better than the rates for current accounts. Even a small will increase slowly to something a little larger. It makes sense to open a savings account in order to make money from your cash.

Avoiding temptation

Another good reason to get a savings account is to avoid the temptation of spending your money. If you try and keep a little bit of money each month in your current account, it is likely you will go and spend it on something because it is easily accessible to you. Savings accounts are not as easy to access, and therefore you are much less likely to spend the money. This will help you be more disciplined and save some money that could help you in the future.

Savings for emergency

Although opening a savings account might seem like you are locking away some of your money, you will be happy about this if an emergency arises. No one can know what will happen from day to day, and something may come up that requires some . If you have been using a savings account then you know that should such an emergency arise you have some money to use. Using a savings account for those unexpected emergencies can really help you out when times are tough.

When not to save

Although opening a savings account makes real sense, there are times when savings is not such a good idea. When interest rates are low the amount you make on your savings is low, so buying items at this type is a better way of using your money. Also, if you are in debt it is better to pay off your debts first than use the money for savings. However, even if you can only afford to save a little bit each month after all your bills are paid, it is worth putting aside that money. You never know when you might need it in the future, and putting it in a savings account will mean it is there for you as insurance. Peter Kenny is a writer for The Thrifty Scot. For additional articles and the latest financial news, please visit us at http://www.thriftyscot.co.uk/Banking-Savings/ and http://www.thriftyscot.co.uk/Banking-Savings/Earning_Interest_in_a_savings_account.html ]]> Why Choose Online Savings? http://www.artwoo.com/article/why-choose-online-savings http://www.artwoo.com/article/why-choose-online-savings#comments Mon, 08 Sep 2008 13:01:24 +0000 online savings accountsfixed rate of interestencryption technologyattractive ratenewspaper reportbuilding societiesrate of interest http://www.artwoo.com/article/why-choose-online-savings building societies scramble and compete with each other to attract customers' savings, The Guardian newspaper (17.07.2008) reported that rates have climbed to their highest in seven years. Therefore, it may be an attractive time for investors to put their money into savings accounts.

Whilst competitive rates of interest on savings is clearly good news for the consumer, however, it has also brought about a bewildering proliferation of different types of account. The same says that in the past year, the number of savings accounts offering rates that are subject to variation has risen from more than 900 to more than 1,000, while the number of accounts offering a has gone up from 394 to 426. Almost all of the newcomers are .

The reason for the upsurge in online savings accounts is two-fold and fairly plain to see. It affords the banks and building societies probably the biggest market place in which to display their wares and online accounts are also cheaper for them to manage and service than from costly premises on the high street.

But these very reasons also give consumers an attractive incentive for opening online savings accounts -- the rate of return on the savings should be better. Online savings should deliver an enhanced rate of return because of the competition between different deposit-takers and through the latter's reduced costs being passed on to the saver.

In addition to the relatively improved rate of interest, moreover, the online saver also has the considerable convenience of monitoring and managing the savings account around the clock, from the comfort of their own home computer. Given the way in which the current is also staying one step ahead of potential fraudsters and other criminals, online banking can also offer a high degree of security and peace of mind.

Although online savings offer an of interest, convenience and security, however, there are a few additional points that potential savers should take into consideration whether saving online or, indeed, more conventionally.

Conventionally at least, the best interest rate on a savings account has been the result of a trade-off against access to the save funds and the flexibility of withdrawals. Banks and building societies have then tended to muddy these waters and made the possibility of straight forward comparison between interest rates all the more difficult by imposing penalties for instant access withdrawals or "bonus" rates for those who leave the savings untouched.

When looking for an online savings account, therefore, savers might be well advised to keep a particular eye open for those with "no strings" attached -- that is to say, instant access accounts that offer the same rate of interest whether you deposit the same amount each month, whether it is a small deposit or a large one, where there is no headline-distorting bonus rate and where there are no penalties for withdrawals. With such simple, no-nonsense online savings accounts like this, the banks and building societies could find themselves attracting even more savers than the current high tide they are enjoying.Confused.com is one of the UK's biggest and most popular price comparison services. Confused.com helps consumers save money on everything from savings to Mortgages.]]> How To Compare Bank Accounts And Savings Accounts http://www.artwoo.com/article/how-to-compare-bank-accounts-and-savings-accounts http://www.artwoo.com/article/how-to-compare-bank-accounts-and-savings-accounts#comments Mon, 03 Sep 2007 19:20:00 +0000 spend more moneycompare bank accountsbasic bank accountsmanaging moneycurrent accountwithdraw moneydebit card http://www.artwoo.com/article/how-to-compare-bank-accounts-and-savings-accounts compare bank accounts and compare savings accounts on offer. Basically, there are two kinds of bank accounts for on an everyday basis: a basic account and a . There is also a savings account for managing money on a long-term basis.

If you are worried that you may not be able to effectively control your spending, then when you compare bank accounts, a basic bank account may be the best choice for you. A basic account will still let you draw money for your personal use, and pay any bills that may arise. However, with a basic account you will be unable to than is in your account. In other words, you will be unable to put yourself in debt.

Many people like the restriction of the basic account. It imposes a discipline on them that, for whatever reason, they feel unable to impose on themselves. With a basic bank account you will get a cash card. This card can be used to up to an agreed limit from any bank cash machine.

Some will also offer a . This will allow you to also pay for items without having to use cash, and in some cases you can also use a debit card online. But like the cash card, the debit card won't put you in debt. Bear in mind also that with a basic bank account you will not receive a chequebook, and you will not get an overdraft facility, even if you ask for one.

The other type of bank account that lets you manage day to day thing, such as drawing money or paying bills, is the current account. With a current account you need to be more watchful of what you are doing as it is possible to overspend. A current account requires more disciplined money management.

However, this is the most popular type of bank account with millions of people worldwide operating one quite successfully. They may overspend occasionally, but they have confidence in themselves that they can manage their money sufficiently well and not encounter any long-term difficulties.

With a current account at a bank you will get a cheque book. You will also get a debit card and a bank guarantee card, which will make your presented cheques acceptable. You will also be able to set up direct debits and standing orders, and you will be able to use the BACS (Bankers' automated clearing service) system to accept money from other sources, such as wages from an employer. In addition to all this, you will be able to set up a bank overdraft, with the bank's prior approval, of course.

The other type of bank account is the savings account. As its name suggests, this is an account that is used to invest savings. A wide range of savings accounts is available from most banks. When you compare savings accounts you should keep in mind the many different types including, but of course, not limited to:

=95 Internet savings accounts - these can often offer better interest rates as they have lower administration and set up costs, which means that what they save in overheads can be passed on to you.

=95 Instant access savings accounts - these have some of the benefits of a current account, allowing instant access to your account with being penalized for it.

=95 Notice savings accounts - with this kind of account you need to give an agreed period of notice in order to withdraw money.

=95 Fixed rate savings bonds - these offer a guaranteed fixed rate of interest for the time period that your money is invested.

=95 ISA accounts - these allow a limited investment each year with tax-free interest, and they come in two types, mini and maxi.

=95 TESSA only ISA accounts - this is a Tax Exempt Special Savings Account, meaning that the interest is tax free, but the investment has to be for five years.

=95 Child savings accounts - special savings accounts for children, which are often separated as children under 12 and children between 13 and 17.

All bank accounts will accrue interest. In fact, it's difficult to compare bank accounts, or compare savings accounts without taking interest rates into the equation. The amount of interest gained will depend on the rate offered and the amount invested. Generally speaking, a savings account will accrue more interest than either a basic account or a current account. Money Only http://www.moneyonly.co.uk provide clear and impartial answers to anybody wishing to compare bank accounts http://www.moneyonly.co.uk/bank-accounts in the UK. ]]> Should I Open A Savings Account? http://www.artwoo.com/article/should-i-open-a-savings-account http://www.artwoo.com/article/should-i-open-a-savings-account#comments Tue, 27 Nov 2007 15:25:00 +0000 money market accountssavings accountdeposit moneytake the moneyamount of moneycertificates of depositsavings accounts http://www.artwoo.com/article/should-i-open-a-savings-account savings account can be a great idea for some consumers but it may not be the right choice for all consumers. This articles examines what a savings account is and for whom it might be advantageous to have one.

For those new to banking, a savings account is not the same as a checking account. They share some similarities, but at the core they are different.

In general terms, a savings account is a type of account that you can open at a bank or credit union. With this type of account, you into the account and leave it there in order for it to earn interest. You can, of course, out of the account, but that defeats the purpose.

A savings account is a great way for some people to save money and to earn some interest off of that money. It is especially useful for those individuals who have limited amounts of cash to put away. Young people, especially younger married couples, often find that opening a savings account is the best way for them to save money. The reason for this is simple. Unlike some other types of investments which demand a certain be deposited or maintained at all times, a simple savings account allows you to deposit whatever you like, whenever you like.

Another reason a savings account is handy for those with limited funds is that the money you deposit into the account can be withdrawn immediately if you need to get it. Again, some other types of savings or investments instruments are not this fluid. Most allow you to use the ATM as well, which offers even greater access to your money should an emergency arise. This is simply not the case with other types of accounts such as or .

Savings accounts are also safe for your money in two ways. No one should keep large amounts of cash at home; that is simply dangerous to do. The money could be stolen or if there were a fire, the cash could be destroyed. In both cases, you would completely lose your money with (probably) no way of getting it back.

The second safety feature that savings accounts have is that money that is deposited into a bank is protected by the Federal Deposit Insurance Corporation (FDIC) for up to $100,000. If the bank is robbed or the bank burns down, you will still have your money. Even if the bank files bankruptcy, your money is safe.

When you are ready to open a savings account do some homework first. You want to find out which banks are offering the best interest rates and deal with those banks. If you belong to a credit union, you may want to ask them what their rates are. Credit unions are more competitive today with their savings account rates than they were some years ago, so it is worth asking as they may offer a higher rate than the bank. You should also look into the minimum amount of deposit required to open a saving accounts. Some banks and credit unions require a certain amount be deposited the first time in order to set up the account. Peter Kenny is a writer for The Thrifty Scot, please visit us at http://www.thriftyscot.co.uk/Banking-Savings/bank-charges.html and http://www.loansubmit.co.uk/debt-consolidation-loan/ ]]> Choosing A Saving Account http://www.artwoo.com/article/choosing-a-saving-account http://www.artwoo.com/article/choosing-a-saving-account#comments Mon, 11 Dec 2006 02:27:40 +0000 high interest savings accountssavings accountinterest rateinvesting moneyhigh interest saving accountsmake moneybanks http://www.artwoo.com/article/choosing-a-saving-account savings account is one way of so a person who wants to try this method should make sure he gets the most benefit from it through a high .

Saving Accounts are, for some of us, the most important financial background and security, can prove to be a very wise choice when selecting an account.

The high interest saving account can supply a wise investor with a very nice profit in the end of a long term investment, this is particularly true when talking about the small investors that are looking for a reliable plan to put their money in and hopefully make a little more by getting a reasonable interest rate.

A person who has some money stashed away somewhere in the bank is lucky. Having some savings may be one of the most sought after conditions of every person but it is usually difficult to achieve because of the regular and unexpected expenses a person is faced with everyday.

Anyone who has extra money would be better off having some savings account in any bank. This means he has something to hang on to when the going gets rough for him financially.

The proper budgeting formula should be income less savings equals expenses. However, the economy has become so bad these days that people follow a different formula and that is income less expenses equals savings.

are the most sought after type of savings account because this is how people out of their savings. However, the very basic savings account can only yield an interest rate of less than four percent of the total amount deposited.

This is good for people who have meager amounts stashed in their savings accounts. A person who has more money in his hands should take advantage of a savings account that has a higher interest rate and this is offered by some under a limited withdrawal scheme.

There are banks that offer as much as six percent interest rates for their savings provided the depositor do not withdraw from such funds for a certain period. However, this option is open only to individuals and not to corporations or business with higher amounts to deposit. Most transactions involving high interest savings account are however made online. Thus, a person who saves his money in such an account should do prior research on the bank and make sure that the bank has a good online facility.

When thinking about taking a step towards some financial planning it is always recommended that you choose from a few offers, and that you study the market and the competition thoroughly, do not give away your money too quickly and too soon, make sure you understand everything there is to know about the saving account you choose. Saving accounts can be an extremely good way of keeping your moneys worth. Learn about how to set up your High Interest Saving Account at http://savingaccount.advice-tips.com ]]> Choosing A College Savings Plan http://www.artwoo.com/article/choosing-a-college-savings-plan http://www.artwoo.com/article/choosing-a-college-savings-plan#comments Fri, 07 Mar 2008 16:30:00 +0000 educational savings accounteducation savings accountscoverdell educational savings accountcoverdell education savingscoverdell education savings accounts529 college savingscoverdell accounts http://www.artwoo.com/article/choosing-a-college-savings-plan educational savings account and the 529 savings account. Each has advantages and disadvantages depending on the situation of the individual family.

plans allow parents, and in some cases grandparents and other family members, to contribute tax-deferred money to a savings account earmarked for college. The money gains tax-free interest and there is no tax assessed on the principle if it is withdrawn to cover eligible college expenses. The current tax rules will be in effect until 2010, but even if Congress does not reauthorize that section of the tax code, tax will still only be applied to the earnings on the account, not the principle.

Every state now offers a 529 plan and some offer more than one type. For example, some states like Florida offer prepaid plans that lock in today's tuition rates and also offer traditional savings plans. It is a misconception that signing up for a state-run college savings program requires your child to attend college in that state. All states have reciprocal agreements allowing participants to choose from a huge number of colleges all over the country. If you have chosen a prepaid plan, however, your child will only receive tuition at the rate you agreed to when you signed up regardless of what college they attend.

Coverdell work in a similar way to Roth IRA accounts. Parents can deposit after-tax income into an account to save for college or private school (one of the unique benefits of a Coverdell account). Any interest on the account is tax-free if withdrawn for eligible educational expenses. However, unlike 529 plans, are capped at $2,000 per child. Even if the child has accounts established by grandparents or other family members, the total invested in the child's name cannot exceed $2,000. For this reason, many families choose both a 529 plan and a Coverdell plan.

Also, since Coverdell accounts are held in the child's name, any funds not used for college will eventually be distributed to your child, not back to you. This is the opposite of 529 college savings accounts which are held in the parent's name and can be transferred to other family members.

Finally, the rules covering 529 plans are easier to understand than those covering Coverdell accounts. Families considering opening a Coverdell account should consider consulting with a tax professional to be sure they understand all the rules and tax implications. Jonathon Hardcastle writes articles for http://ifinancecentral.com/ - In addition, Jonathon also writes articles for http://irealestatecentral.com/ and http://letstalkaboutbusiness.com/ ]]> Choosing A College Savings Plan http://www.artwoo.com/article/choosing-a-college-savings-plan http://www.artwoo.com/article/choosing-a-college-savings-plan#comments Tue, 05 Sep 2006 16:28:04 +0000 coverdell education savings accountscoverdell accountcoverdell education savings529 college savings plansroth ira529 planstax free http://www.artwoo.com/article/choosing-a-college-savings-plan
allow parents, and in some cases grandparents and other family members, to contribute tax-deferred money to a savings account earmarked for college. The money gains tax-free interest and there is no tax assessed on the principle if it is withdrawn to cover eligible college expenses. The current tax rules will be in effect until 2010, but even if Congress does not reauthorize that section of the tax code, tax will still only be applied to the earnings on the account, not the principle.

Every state now offers a 529 plan and some offer more than one type. For example, some states like Florida offer prepaid plans that lock in today's tuition rates and also offer traditional savings plans. It is a misconception that signing up for a state-run college savings program requires your child to attend college in that state. All states have reciprocal agreements allowing participants to choose from a huge number of colleges all over the country. If you have chosen a prepaid plan, however, your child will only receive tuition at the rate you agreed to when you signed up regardless of what college they attend.

accounts work in a similar way to accounts. Parents can deposit after-tax income into an account to save for college or private school (one of the unique benefits of a ). Any interest on the account is tax-free if withdrawn for eligible educational expenses. However, unlike , Coverdell accounts are capped at $2,000 per child. Even if the child has accounts established by grandparents or other family members, the total invested in the child's name cannot exceed $2,000. For this reason, many families choose both a 529 plan and a Coverdell plan.

Also, since Coverdell accounts are held in the child's name, any funds not used for college will eventually be distributed to your child, not back to you. This is the opposite of 529 college savings accounts which are held in the parent's name and can be transferred to other family members.

Finally, the rules covering 529 plans are easier to understand than those covering Coverdell accounts. Families considering opening a Coverdell account should consider consulting with a tax professional to be sure they understand all the rules and tax implications. Jonathon Hardcastle writes articles for http://ifinancecentral.com/ - In addition, Jonathon also writes articles for http://irealestatecentral.com/ and http://letstalkaboutbusiness.com/ ]]> Choose The Most Beneficial Bank Account Option http://www.artwoo.com/article/choose-the-most-beneficial-bank-account-option http://www.artwoo.com/article/choose-the-most-beneficial-bank-account-option#comments Sun, 02 Dec 2007 01:20:02 +0000 banksbank accountscash inflowopen a bank accountatm facilitymoneyfreedom to choose http://www.artwoo.com/article/choose-the-most-beneficial-bank-account-option freedom to choose our friends and the kinds of games that we play. However, as we become older, we begin to associate independence with other things. It is at this time that independence and begin to form links.

As we become earning members of the family, we come to realize that we need to make our money grow. So we look forward to either investing our money in stocks and shares or depositing it in a bank. There is great joy to be gained in watching the money grow in multiple folds every year.

It is for the same reason that we listen to the advice of friends and family members when we are to . Most often, we choose to open an account with a leading bank which offers various services. However, we should remember that these services are not freebies. As a result, we should look out for that charge the lowest rates for these services. For instance, a number of banks charge an additional fee if we ask for things like locker facilities or a greater number of check books. However, this may not be seen for most banks. In fact, several banks willingly offer the same services at no extra cost.

It is always better to open an account in no more than one or two banks. You might be tempted to go and get a few more , but this would be highly avoidable. What happens if you do this is that you may lose count of your . This takes place especially if you are in the habit of operating all the accounts simultaneously. As a result, the savings in each diminishes at the same time. This is not a healthy way to operate a bank account. These days most bank accounts have the ; so we can draw cash in case of emergency.

Before opening an account with a bank, we must think hard about whether it is going to be useful or not. If we are working on a project and our client has an account with a particular bank, it makes sense to have an account there. This will enable the client to transfer funds to you immediately through that account. If there is no such purpose, you would only be locking up your funds in an account that will probably not be used.

Some banks also have the facility of automatically transferring your funds into a fixed deposit if you have not operated the account over a long period of time. This means that you earn more on the money in that account. In such a case, your gamble would have paid off.

Bank accounts need to be overseen daily. Some banks charge a fee if the account is not operated every so often. Such minor details may have major impacts on our finances, and we cannot afford to neglect them. Best Bank Accounts at http://www.thriftyscot.co.uk/Banking-Savings Online Saving Account at http://www.thriftyscot.co.uk/Banking-Savings/regular-savings-accounts.html Compare Current Accounts at http://www.thriftyscot.co.uk/Banking-Savings/basic-current-account.html ]]> Opening Online Savings Accounts http://www.artwoo.com/article/opening-online-savings-accounts http://www.artwoo.com/article/opening-online-savings-accounts#comments Tue, 01 Jul 2008 07:22:24 +0000 federal deposit insurancebest online savings accountsonline savings accountsfederal deposit insurance companybanking institutionsvacation dreameducational funds http://www.artwoo.com/article/opening-online-savings-accounts online savings accounts because online banking is more convenient and cost effective. People have learned about online banking opportunities from the people that handle the financing of their credit cards. Opening online savings accounts is easy because all personal information is already in the databases. People just need to log into the online branch of their regular banking institution. Saving money is quite a bit easier with this streamlined form of banking and customers are free to use the extra time to enjoy hobbies.

Some banking customers will open an online savings account to save money for a specific purpose. Some people might want to save money for a luxurious vacation that will not be jeopardized by emergencies at home that could make that disappear very quickly. Most land-based lenders will not be willing to loan money if they knew that vacation funds were left untouched. Online savings accounts can be established under any name and then the money can be used when it is needed.

Some parents will establish online savings accounts for their children to have money for college. Opening online savings accounts for is easy and tax deductible in most cases and no taxes will be paid on that money until it is used. Online are great about safeguarding any monies placed in savings and checking accounts. The are fully insured against loss by the Company. Many banking customers know this banking insurance method as simply FDIC.

Some people open online savings accounts and match the banking conveniences with an online checking account. People who participate in online banking services are eligible for all the services that are granted land-based banking customers, and some of the other services outshine those offered by land-based banking institutions. Interest rates on checking and savings accounts are higher in the internet-banking world because banks do not have costly overhead to pay for such as rent, property taxes or high priced land and building leases.

The most common services that are offered in both banking environments is credit services. People can select an online bank's credit card or choose to use the debit card provided by that online banking facility. People can perform many online banking transactions with a debit card because it will bear the credit card emblem on the front. People love the convenience of using debit cards for paying bills online because no annual fees are charged to have them, and some online banks will reimburse online banking customers for any fees charged by an automated teller machine.

Opening online savings accounts is good business sense because funds for business use can be established for one of the online savings accounts that are opened. Some online banking companies will offer cash rebates on all items purchased for business use and at the end of the year, the business owner can revel in the amount of money that was saved just by using the business account credit card. People have also found that they can transfer money from land-based banks to online banks with no difficulty which ensures that monies are available through various banking sources.James Brown writes about Everbank promotion code, ING DIRECT promotion code and ShareBuilder 401(k) promotion code]]> How To Keep Banking Simple http://www.artwoo.com/article/how-to-keep-banking-simple http://www.artwoo.com/article/how-to-keep-banking-simple#comments Sun, 22 Oct 2006 08:27:08 +0000 banksbasic bank accountsdigit pin numberdauntingmoneydebit cardatm http://www.artwoo.com/article/how-to-keep-banking-simple banks, accounts and cards on offer can make the task of starting to bank a one. However, the basics of banking are quite simple, and once you know them you will be on your way to all types of monetary products. Here are the basics of banking and how they can help you look after your :

Why get a bank account?

Using banks and having a bank account has become an essential part of society. Once you start working or have incoming and outgoing money, you really need to get yourself a bank account. Banks are an easy and convenient place to store your money, and allow you to access it various places. Although there are alternatives such as credit unions, banks are the easiest and most readily available tools to store and access your money.



To get started with banking you will need to open a basic bank account. Deciding which account and bank is right for you can take some research, but once you have decided this you need to open an account. Basic accounts usually issue you with a chequebook and a . If you have regular income then you may also be entitled to a credit card, but at first it is best to stick to the basics.

How to get an account

To get an account you usually apply at your local bank, and they will ask for forms of identification as well as checking your credit report to see if you have mishandled bank accounts in the past. Getting a bank account is usually not very hard, and as long as you have identification and can pay some money into the account you should be able to get one.

Using at

Once you have an account open you will be issued with a cash or debit card, which you can use in an ATM or cash machine. This card is protected with a unique 4-. You will be issued with a number to start with, but you can change this at any time. To take cash out you simply place your card in the machine, type in your number and then follow the instructions. You can also buy items with your card in shops or online by quoting your card number or entering your PIN in a machine.

Using a chequebook

You may also be given a chequebook with your account. A cheque is something you can use to pay for items and also to pay other people. You right who the cheque is payable to, and the amount, and then that person can put the cheque in their account. This will usually take a few days to clear so it is a good way to spend money if you are low on cash right now but will have money in your account in the next day or two.

Savings accounts

In addition to a normal 'current' account, you might want to open a savings account. Money that you put into a savings account is not as easily accessible as a current account, but will make you money by adding interest to your savings. Over time your money will grow, which is good for money that you don't immediately need. Having a savings account is basically like getting paid to store your money safely. Whatever account you open, make sure that you shop around and get the accounts for your needs. Peter Kenny is a writer for The Thrifty Scot. For additional articles and the latest financial news, please visit us at http://www.thriftyscot.co.uk/Banking-Savings/ and http://www.thriftyscot.co.uk/Banking-Savings/Current_Accounts.html ]]> Offset Mortgages Can Save You Thousands http://www.artwoo.com/article/offset-mortgages-can-save-you-thousands http://www.artwoo.com/article/offset-mortgages-can-save-you-thousands#comments Sun, 30 Sep 2007 19:19:57 +0000 mortgage accountmortgage balancecurrent account mortgageoffset mortgagemortgage repaymentsmortgage interestoffset mortgages http://www.artwoo.com/article/offset-mortgages-can-save-you-thousands Offset mortgages offer an attractive alternative to traditional mortgages and can save you thousands over the long term.

Buying a home is an exciting time, and it is the biggest financial purchase that most people undertake. The majority of homebuyers cannot afford to buy a house outright and it would be impractical to save up the full amount of the house before you bought it, because you would need somewhere to live in the meantime. Therefore, the usual practice is to take out a mortgage =96 a loan secured against the property you are buying.

In the United Kingdom, there are different types of mortgages to choose from, which include a mortgage that is a big success in Australia, from where it originated. It is called an offset mortgage. Basically, use the interest earnt from your savings accounts and current accounts against your ; and as a result this reduces your overall .

With offset mortgages, your runs alongside all your other accounts, and the net balance for all the accounts is calculated, normally on a daily basis. The interest is then worked out on the overall total you have in your accounts. All the interest you have earnt from your savings and current accounts goes straight into your mortgage account.

As with most mortgages there are variations around this theme, such as a (CAM). Your salary is paid directly into your mortgage account where it immediately reduces your . You can then draw against the account for your normal spending as you would with an ordinary account. The mortgage balance and interest is calculated daily, so even if money were left in your account for a short period, it would still have some positive impact on the cost of your mortgage.

Offset mortgages are very efficient. They will enable you to dedicate the bulk of your savings to reduce your mortgage, which can save you thousands of pounds from the mortgage cost, and allow you to pay off your mortgage early. You would still have the flexibility to divert your savings to other uses, however you would give up some of the savings made on your mortgage.

The drawbacks to offset mortgages, is that the mortgage interest rates can be higher than the deals you could get on other types of mortgages, and there are often no special offers, such as low discounted rates for the first few years. If you tend to keep a low balance in your current account and have little in the way of savings, the benefits you get from combining the accounts may be too small to outweigh the extra cost of the offset mortgage. You also need to be efficient with keeping track of your financial outgoings, especially in the case of a CAM where you have just a single account for both your mortgage and current account.

You do not necessarily need an offset mortgage to pay off your mortgage early. You could have an ordinary mortgage and a completely separate savings account. Then, occasionally you could use your savings to pay off a chunk of your mortgage, which could end in you paying off the mortgage early. However, unlike offset mortgages, you would have to pay the tax that was earnt in the savings account.

An offset mortgage could be the right mortgage choice for you, if you are good with your finances, generally have a high current account balance, have reasonably high savings and you are a taxpayer, particularly a higher rate taxpayer. In the United Kingdom, an increasing number of financial lenders are offering offset mortgages because of the benefits they offer to the customer. Donnie Kemble wrote the article on `Offset Mortgages Can Save You Thousands' and recommends you visit http://www.offsetmortgagecentre.co.uk/offset-mortgages.html for more details of offset mortgages. ]]> Open Your Doors To Flexible Bank Accounts http://www.artwoo.com/article/open-your-doors-to-flexible-bank-accounts http://www.artwoo.com/article/open-your-doors-to-flexible-bank-accounts#comments Fri, 23 Nov 2007 23:30:00 +0000 decide what kindtake some timeopening a bank accountfront deskchecksmoneysavings account http://www.artwoo.com/article/open-your-doors-to-flexible-bank-accounts money.

For many, it does not even matter whether they have access to it or not. However, before one opens a bank account, one must take certain precautions and steps to ensure he is approaching the right bank. The services and benefits offered must suit their needs; else they will end up locking up their finances and will be unable to enjoy the benefits of having one's own money. Research and are always required. For everything you get. Certainly for something as important as a bank account.

It is not really that one bank is bad and another good. It is more that one bank might be good for you. You can go always along with the choice of a friend or who already has a functioning bank account. You need to , and understand that is a big step. It will involve a lot of paper work. There will be paperwork and some checks before the account is finally opened.

Here are some pointers on how you could go about opening a bank account:

1. Who to bank with? What type of account to get? - When choosing a bank you could go along with the general market standards. Alternatively, you could take the advice of people who you value. You should be looking at identifying a bank that you would like to be associated with. Having done this, you would need to of an account you would like to open. The basic choices are between a general and a current account. If you have an idea of how much money you will transact in the bank account and whether it will primarily be about deposits or withdrawals, then you should know what account to get.

2. Make a visit - Make a visit to the bank, and approach the to learn about whom you should approach to open an account. Once you do this, meet the person in charge to learn more about the different kinds of accounts that the bank offers. Opening an account can be all about documentation. Make sure you know what it will take.

3. The steps to actually getting the account going - Once you have gathered all the necessary documents, such as photographs, address proof (your telephone bill or social security card) and identity proof (driver's license or passport) , you can walk into the branch of the bank closest to your residence or into some other bank that suits your convenience.

You will then have to fill out the various forms that are mentioned by the executive, giving accurate information pertaining to your age, address, employment or educational details, and your social security number so that you comply with the regulations. At your mailing address, you will get some preliminary documents. From that point on, you are free to operate your bank account. Get a Bank Account at http://www.thriftyscot.co.uk/Banking-Savings/ Get a Saving Account at http://www.thriftyscot.co.uk/Banking-Savings/regular-savings-accounts.html and Current Accounts at http://www.thriftyscot.co.uk/Banking-Savings/basic-current-account.html ]]> A Regular Savings Plan For Top Interest Rates http://www.artwoo.com/article/a-regular-savings-plan-for-top-interest-rates http://www.artwoo.com/article/a-regular-savings-plan-for-top-interest-rates#comments Mon, 08 Sep 2008 13:15:18 +0000 http://www.artwoo.com/article/a-regular-savings-plan-for-top-interest-rates The flip side of the current mortgage famine is that banks and building societies are now so enthusiastic about attracting new deposits that rates for savers are more attractive now than they have been for quite some time. And while interest rates on savings accounts are good, however, interest rates on regular savings plans are even better.

There is no restriction on the number of regular savings plans an individual can maintain, so it is possible to keep several accounts in different banks and building societies.

If the rates of return are so attractive, what are the drawbacks of regular savings plans? They are not so much drawbacks, or catches, as points to keep firmly in mind before committing yourself to the plan. The first of these is that the "regular" means just that. Once you have agreed the amount you wish to deposit each month, that amount must be maintained month in and month out, for the agreed period of the plan. If you miss a deposit, then a penalty is often imposed by a reduction in the rate of interest earned. Most plans also have an upper, maximum limit on the size of the deposit that can be made each month, so the option of adding any unexpected windfall to your savings plan is precluded.

A regular savings plan, therefore, may be something you wish to consider, but is not especially flexible. The plans are also relatively short-term and typically run for a year, so it is necessary to decide whether you will be able to maintain the commitment to regular monthly savings for that period. To get the best rate of interest, you should also expect the plan to be relatively inflexible when it comes to access to your savings during the agreed term. Any withdrawals, for example, are likely to attract penalties in the form of big reductions in the rate of interest applied to the remaining balance.

At the end of the savings plan period, you are free to withdraw the savings in the account or, by default, the proceeds are likely to be switched to the bank's or building society's standard savings account (at a considerably reduced rate of interest). So you may wish to keep this end date firmly in mind and think about shopping around for another, new regular savings plan if you want to maintain your savings at an attractive rate of interest.

When calculating the actual return you should expect from a regular savings plan, it is important to remember that the sum being saved is growing relatively slowly on a monthly basis. In the initial months of the plan, therefore, the rate of interest is applied to a reasonably small level of savings and it is only towards the end of the plan that the rate is applied to the accumulated savings to date. This seems a quite obvious and straight forward point to make, but it is nevertheless something that has led to some savers believing that their regular savings plan has failed to deliver all that they had expected.Confused.com is one of the UK's biggest and most popular price comparison services. Confused.com helps consumers save money on everything from Savings to Mortgages.]]> Save Online, Try The Online Savings Account http://www.artwoo.com/article/save-online-try-the-online-savings-account http://www.artwoo.com/article/save-online-try-the-online-savings-account#comments Thu, 13 Apr 2006 19:00:05 +0000 traditional bankssavings accountsmoneyelectronic bank transferwithdrawalswriting a checkliquid assets http://www.artwoo.com/article/save-online-try-the-online-savings-account
are normally maintained by commercial banks, credit unions, loans and savings associations, and some mutual savings bank that are offering interests that can never be used as . However, the account may be utilized by .

These accounts allow customers to use parts of their , which may be used for any transactions. But before a savings account is used, the balances in the savings account must first be transferred to checkable deposits or transaction deposits or currency. But due to the simplicity of transferring the saving accounts, they are often termed as "money".

Though the use of checks is often not allowed, are still easier when done using the savings accounts. The Money Market Deposit Account or the MMDAs on the other hand may restrict you on a limited number of transference of accounts and withdrawals.

With the advent of the Internet comes the development of a new system of banking- the direct-to-consumer banking system. This particularly addresses online savings accounts. Direct-to-consumer system allows direct access to savings accounts from the traditional bank online where money naturally transfers by means of . There are two types of banking institutions that create and allow this form of transaction- online-only banks and the .

Online-only banking is the answer of the entrepreneurs to the growing consensus of the general public of who usually make banking transactions through the internet. These banks tried to accomplish what real banks have done. They offered almost the same spectrum of products that traditional banks have but offered them on consumer-friendly deals- high interest rates and low fees.

Online savings accounts often offer significantly higher rates of interest as compared to the contemporary savings account. This deal may be attributed to the fact that lesser expenses during online processing and that online market is naturally rate-sensitive.

Sadly, the majority of the consumers are not yet prepared to this new treatment in banking. This in effect, brought down most of such banks.

But by the end of year 2000, ING launched an optimized form of online-only banking. This was rather successful and brought great increase in the online banking industry. They created a much simpler savings account transaction that pays higher rates than the traditional banking. But this does not permit the use of ATM cards, checks, and other services. It was only intended as an account for which your money may be safely guarded.

For almost three years, ING had no other rivals in this system of banking. But recently, many other banking institutions have followed suit. Some were the pioneers of the online-only banking who eventually died down during the course yet returned to beat the market share ING has. Some of these banks offer the same services with that of the ING programs. Most have the same principle of high interest rates and no unnecessary frills.

One notable new entrant is the VirtualBank. This targeted the high-end techy society yet they offer much lower rates as compared to the ING Bank. Thus they gained some consumers.

Eventually, the industry expanded sometime in 2003 until 2004. And by the year 2005, savings account virtually revolutionized banking by means of online-only banking. About The Author: Robert Thatcher is a freelance publisher based in Cupertino, California. He publishes articles and reports in various ezines and provides saving account resources on http://www.your-saving-account.info ]]>