Choosing a Bank

Like everything else you shop for, you want to get the best deal you can when choosing a bank. More often than not, that means finding the closest bank with the lowest fees for the services you'll be using the most. In choosing where to do your banking, you'll want to consider these three things:

Convenience: Is there a local branch or one of the bank's ATM machines nearby your home or office?
Products and services: What services are offered and is the bank's service department customer friendly?
Cost: What are the fees that the bank charges for its services?

Types of banks

You'll probably be able to choose among a variety of banks.

Large national and regional banks	Offer many branches, the most ATMs, and may have the greatest variety of services Most offer online banking as well as conventional banking locations
Local banks	Typically have a number of branches within a specific county or adjoining counties Sometimes are open longer hours than larger banks Savings banks and savings and loan associations are usually local banks, and despite their names, offer a full range of banking services
Online banks	Typically offer some but not all banking services Often provide links to your conventional bank accounts May pay higher rates on deposits, and charge lower rates on loans
Credit unions	Not-for-profit organizations that offer banking services Range in size from having a national presence to a single office that's open only a few hours a day
Certain financial services companies	May offer banking services, though their primary business is in another area, such as brokerage or insurance services

Each type of institution has its own advantages and disadvantages, including special deals for new customers. You should be able to find information about what a bank offers and what fees it charges by visiting a branch office and its website. The more questions you ask, the more you can find out.

Consumer Resources

TIP

Be sure to ask about all the types of accounts a bank offers. Most banks offer at least one very economical account that may provide all the services you need for very little cost. Young people, seniors and other groups may be eligible for reduced rates or other discounts.

This content is provided as educational material only and is not intended to solicit you for any product or service. These materials are not a recommendation by HSBC for any product, service or financial strategy. The suggestions and recommendations contained within are general in nature, and may or may not apply to your particular circumstances. Securities, annuity and insurance products are not FDIC insured or insured by any federal government agency of the United States; subject to investment risk, including possible loss of principal invested. All decisions regarding the tax implications of your investment(s) should be made in connection with your independent tax advisor. Should you need further assistance, HSBC strongly recommends contacting an independent attorney, tax professional or financial consultant.