The Ultimate Do You Really Need a Bank Account Quiz

Staff

Why would someone put money in a bank account?

A bank account provides protection for your money. If you keep your money at home and it gets stolen, you are unlikely to get it back. But if you keep your money in a bank, firstly it is unlikely it will be stolen and, in the U.S., the Federal Deposit Insurance Corporation (FDIC) insures your money up to $100,000 in each account.

What is a perk of having a bank account?

If you put your money into a savings account you can earn interest on it. If you have money that you aren't using, why not let it earn you more?

How is a bank account useful if you are working?

Getting paid is simple with a bank account. Have your employer do a direct deposit and forget about carrying around paychecks or cash.

Why would a financial adviser recommend a bank account?

Getting bank statements keeps you up to date with how your finances are holding and helps you to budget.

If you have a bank account, what feature saves you carrying wads of cash around?

You can pay for purchases using a debit or credit card, rather than carrying around a lot of cash.

How can a bank account protect you from overdue bills?

You can set up a standing order to pay your regular bills, protecting you from forgetting and ending up with overdue bills. Online banking makes paying your bills even easier, since you can do it from your home computer.

What has been happening to bank fees over the years?

One reason people may not want to have a bank account is because of all the bank fees. Banks charge fees for almost everything and over the years the fees have been increasing. There is also often a general feeling of distrust when dealing with banks, which is only made worse with all the fees they charge.

Approximately how many families in the U.S. do not have bank accounts?

About 8.7 percent of families in the U.S. prefer to do without a bank account.

If you don't want to send cash in the mail and you don't have a bank account, how can you pay someone?

You can send money to people using money orders or wire transfers. You can buy money orders at most post offices, gas stations, some grocery stores and at check cashing centers for a small fee. They will give you a slip that looks like a check and you fill out the details of the person you want to pay. When the payee receives the money order they cash it in. Wire transfers are useful for paying bills. You need to go to a cash office for a wire transfer to be made.

Where can you cash a check if you don't have a bank account?

You can cash a check at a check cashing center or at the bank that the check is drawn from. You will most likely have to pay a fee to do this.

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About This Quiz

You work hard to earn your money and want to know where is the best place to keep it safe. Most people keep their money in a bank account, but there are both perks and drawbacks to having a bank account. Take this quiz to help you make an informed decision as to whether you really need a bank account.

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