7.3 C
London
Tuesday, October 27, 2020

Checking Out Checking Rewards

Consumer affairs expert Rebecca De La Rose explains the merits of using checking rewards accounts

Opening a new banking account should provide you with somewhere safe to store your money and allows you to access it whenever you please.

 

Typically, on the other hand, people turn to rewards credit cards to take advantage of the rewards offered for making purchases, whether they are paying bills or buying a new outfit or electronic device.

 

These rewards credit cards may be ideal for some, but you could also make the most out of your money by opening a rewards checking account.

 

What is a rewards checking account?

A rewards checking account is different from a rewards or cashback credit card. Your credit score is not factored in when opening this type of account and you won’t need to pay interest on money spent. In short, you earn rewards for making purchases on your debit card using your own money.

 

Typical perks

With a rewards checking account, you don’t accrue debts of any kind. Instead, you earn points and rewards for any purchases you made using your debit card.

 

There are numerous perks that you may qualify for with these types of checking account. For reference, the typical perks that come with rewards checking at LetMeBank include:

 

– Sign up bonuses.

– Reimbursements for ATM fees.

– No monthly fees.

– Airmiles.

– Cash back on purchases.

– Low minimum deposits.

 

Qualifying for rewards checking accounts

Each financial institution offering a rewards checking account will have different qualification requirements, which you will need to understand before opening an account. General requirements include:

 

– 5 to 15 transactions every month.

– Direct deposit minimums.

– Opting in for E-statements.

 

You may be required to fulfil one or all requirements when signing up for an account, so be aware of the stipulations that go along with your rewards checking account. Before signing up, ask if you would be able to meet requirements each month or year.

 

The benefits of rewards checking

Rewards checking accounts can be beneficial, especially if you want to stay away from credit cards and debt. Some of the benefits you can look forward to include earning cash back, avoiding overspending, and managing your account online.

 

Earn cash back

Cash back for making purchases with a debit card can be utilised immediately – which makes spending seem a bit more pleasant. With most rewards accounts, you will earn a percentage back on all purchases made with the account. There will likely be a cap on the amount of money the percentage is applied to, but this reward option allows you to receive large sums back each month.

 

Purchase reimbursements can be used for any purpose you like – pay bills, go on a date, add to your emergency fund, etc.

 

Avoid overspending

Credit cards are mostly known for offering cash back programmes, but individuals that don’t have good credit may not qualify for many rewards. If you happen to overspend, the charges that are accrued for rewards can lead to debts with high interest rates if you have a high APR, or annual percentage rate.

 

A rewards checking account makes it difficult to overspend because you won’t be able to charge your card at an ATM – all the money you spend is money that is already in your account. You pay for items immediately instead of paying off your balance on a monthly basis.

 

Bank and budget on the go

Typically, any rewards checking account you open will provide you with the option to manage your account using a mobile app or an online portal. On these portals, users are able to check their balance, transfer funds, pay bills, and more. Budgeting apps and software can also be linked to these accounts, allowing users to budget their finances and spot trends in spending.

 

There are many advantages of rewards checking accounts, so you’ll have plenty of options when choosing which is best for you. Not every account is the same, so compare checking accounts to make sure that you are satisfied with the perks offered. You should also take other information into account, such as the terms and features of the account along with any associated fees.

 

Rebecca De La Rose is a writer and consumer affairs expert.

 

Facebook: @TheSteepleTimes

Instagram: @TheSteepleTimes

Twitter: @SteepleTimes

 

1 COMMENT

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular

Randy & Mucky – Time to Face The Music

Things are about to get a hell of a lot worse for ‘Randy Andy’ the Duke of York and the mucky madam Ghislaine Maxwell – just as her feudal family crawl out of the woodwork and a silver-haired, Savile Row suited socialist PR man tries to get her out of the clink.

Schofe Banned

As Phillip Schofield’s book is banned from sale in Wales, we ask: “Did the temperamental telly host ‘Schofe’ have another meltdown as...

Starve a Kid to Save a Quid

‘Starve a Kid to Save a Quid’ goes viral in the wake of the government’s disastrous attempt to starve poor school kids whilst Tory MPs deservedly get banned from shops and restaurants.

Mucky Madam Maxwell Unsealed

Matthew Steeples selects some of the most telling and cringeworthy remarks from the newly unsealed 2016 Ghislaine Maxwell deposition.

Feeding Brueckner

As Scotland Yard suggest Christian Brueckner will likely never be charged over the ‘disappearance’ of Madeleine McCann, Matthew Steeples argues that the British government finally put a stop to funding this pointless search and instead feed hungry children.

Outing Randy Andy

Will ‘Randy Andy’ the Duke of York erupt in anger with the outing of the depositions of Ghislaine Maxwell this morning? Could this be the non-sweater’s last stand?

Wally of the Week – Phillip Schofield

Tempestuous television presenter Phillip Schofield bizarrely claims to have been murdered in a past life because of a debt.

Filthy Natalie

Wife of ‘Naughty Tory’ turned replacement MP Natalie Elphicke turns to talking about filthy water (but avoids the topic of her jailbird hubby’s bottom groping).

Get Menendez Out of The Hole

As Erik Menendez is undeservedly thrown in ‘the hole’ in the most ludicrous fashion in California, Matthew Steeples suggests it is time both him and his equally abused brother Lyle were finally released.

Going Bonkers For A Bin

Auctioneers Christie’s sought to sell five waste bins for £230; they ultimately went for the astounding sum of just under £34,000.

Junk the Junk Mail

Instead of banning people from enjoying themselves, the government should should do something useful and ban a genuine disease spreader: Junk mail.

Picture of the Week – A Red Squirrel Riot

Images of a red squirrel fighting a pheasant for hazelnuts and bird seed are proof that both creatures can be quite feisty.

A Pyrotechnic Pad

Mansion in controversial compound in The Boltons, SW10 for sale for £50 million; the setting has seen court cases and pyrotechnic parties involving a self-declared “Relentless” multi-millionaire.

Muddled McCann

As Christian Brueckner’s lawyer justifiably suggests he cannot have been present when Madeleine McCann was allegedly kidnapped, Matthew Steeples argues that other developments will also likely lead nowhere.

A Metropolitan Mess

Though Darren Grimes is frankly nothing but an irritating Brexiteer brat, the Metropolitan Police investigation into his conduct as an interviewer is nothing but ludicrous.

Randy Andy’s Last Stamp

As the Queen stops selling postcards featuring Prince Andrew, an online card printer has started selling ones of the late Jeffrey Epstein’s friend ‘Randy Andy’ with a rather controversial caption.

Weather Now

London
clear sky
7.3 ° C
9 °
6.1 °
81 %
4.1kmh
2 %
Tue
13 °
Wed
13 °
Thu
13 °
Fri
16 °
Sat
14 °