Have you ever asked yourself, do I need a bank account? The answer is yes. Banks are financial institutions where one can deposit and lend money. A bank account is necessary for you and for the economy. Banks are like our emergency friends with whom we can deposit money safely and use it as and when required. The money is safe and it even generates interest.

Bank accounts are more or less needed for any loan application, credit card, or mortgage deal. When your spare money is in the bank, managing it is easy. The benefits of opening a single bank account are manifold.

Things you need to know before opening a bank account
One cannot survive or even do any transaction without a bank account. FDIC (Federal Deposit Insurance Corporation) guarantees to insure your bank money up to USD 100,000. Checking or savings account is the most basic and preferred account. A checking account is used for day-to-day transactions. One can do a transaction with the help of a checkbook and a debit card.

Before opening a bank account, it is advisable to visit the bank personally as officials do some general inquiry and have some forms to sign.

The banks issue important information and FAQS (frequently asked questions) with necessary papers once your account is opened. You will find the answer to important questions such as minimum withdrawals, maintaining a minimum balance, monthly account maintenance fee, debit card charges, and other important information.

The documents and other important information necessary for the banks for verification include – photo identity card issued by DMV, official address proof such as bills, driver’s license, or others. Your social security number or your taxpayer identification number is a registered proof that you are a citizen of the United States.

After verification, your account will be opened and the bank will give your account information along with the necessary documents. These papers contain information such as your four-digit PIN number for purchases made through debit card, and your bank account number. After receiving these papers, store them in a secured place and make sure this information does not go into wrong hands.

If you suspect, your personal information related to the bank is stolen then you need to report to the bank immediately to freeze your account. Once your bank account is activated, you can deposit your paycheck, cash, or any other checks, and even withdraw money from your account through ATM machines by entering your four-digit PIN. ATMs are located at all convenient locations and even in the bank.

A single person can have multiple accounts in different banks. Everyone needs to have a bank account as it offers the easiest way to manage your transactions.