We all are using banking services, but still are unaware of the common mistakes we are making every day. This needs to be corrected. Here are the mistakes and the solution to avoid them:
Having A Single Checking And Saving Account
Savings imply that you have kept an amount aside for some special event/phase of your life and this should be left untouched. Isn’t it? But if you keep this amount in the same account from where you are making all your other transactions, you may be playing unsafe. This may derail your big plans.
How to avoid it? Look for another bank to save your money, this will be more beneficial. They may offer you higher rate of interest. Doesn’t that sound really good? As they say, save and then spend. Don’t spend and then save.
Cheque Book/ Pass Book
In the times of internet banking we do not pay much attention to our passbooks and cheque books. This is another grave mistake. What if it gets into wrong hands? You may lose your hard earned money. Please do not let this happen.
How To Avoid It? Keep your cheque book and pass book safely and check them periodically.
Bank Charges And Fees
If you wish to close your account or even if you want some document, do inquire beforehand about the charges they are making.
How To Avoid It? Check their website, if it confuses you, call the bank in case you cannot visit it, in person. This way you can save yourself from any smart tactic from the banks management. One more thing – cross check your swift codes before pressing enter. Do go through the list of international swift codes.
Changing Banks In Pursuit Of Higher Interest Rates
Not good. You may lose what you otherwise may have gained in the current bank you are dealing with. Also it is not certain that the bank you are going to open the account will keep the same interest rate for long. What if they change it within days of you opening an account with them.
How To Avoid It? The best bet is to find a bank that suits you in terms of your needs and be a loyal customer. This will in itself reap huge benefits for you.
Don’t Sign Overdraft Protection
By signing this you get the benefit of spending money even when your account is empty. The bank may pay your bills, but you will have to pay it back with surcharge.
How To Avoid It? Don’t go for it. Live in your budget. If you have signed it, cancel it immediately.
Always Pay Your Bills On Time
When you fail to pay your bills and your check gets bounced, an overdraft fee would be charged. This is how the banks make profit.
How To Avoid It? Be regular, keep reminders so that you don’t forget to pay your bills.
Forget To Log Out
When you do not log out, you leave loopholes for a thief to steal money from your account in case you lose your tablet or phone. Though the bank apps do log you out automatically within some time but if within this time somebody logs in, you have a lot at stake.
How To Avoid It? Always remember to log out of your account.
Update Your App Periodically
Banking apps are updated periodically like other apps.
How To Avoid It? Don’t forget to update yours. Doing so will protect you from any vulnerabilities whatsoever.
Remember them when banking next time!