A savings account is one of the simplest types of bank accounts. It is a deposit account opened at a bank of your choice in which the deposit accumulates interest. A savings account can be used to deposit your money in a safety deposit and lets you use the funds as and when required. However, banks can limit the number of withdrawals from your savings account. They may also charge you if you fail to maintain the minimum balance per month. Having a savings account is more effortless now through the use of technology and can be maintained online as an Online Savings Account. The first question that we will address is what is the difference between the two and how does a person open an online savings account.
An Online Savings Account is similar to a traditional savings account. The only difference is that it is managed online. There are many benefits that come with an online savings account. The foremost being that it can be accessed anytime and anywhere as and when funds are required. It has become more user-friendly for people to have a suave user-friendly experience which is just a click away. Also, it is characterized by higher interest rates as compared to the traditional ones.
Prominence Of Online Savings Account
What do banks actually do? You deposit your money with the bank, they take it and lend it to other clients in the form of loans. At the same time, it offers you interest on the money deposited. That is core of a savings accounts. With the advent of the internet, everything has been made accessible online and this is not an exception to this trend. If you want to save money in a prudent and convenient way, you should definitely opt for an online savings account.
Online Savings Account
Banks that offer Online Savings Account can either have physical branches or they may be an online-only bank. These have no physical branches and are only available for online service. This doesn’t make the process of depositing and withdrawal any harder. Instead, there is just a special process that needs to be followed for the same. In banks with branches, the money for savings account can be deposited simply through cheques. For the online accounts, they can deposit through ACH transfer, mailing in a cheque, or direct deposit. In the case of withdrawal, a customer can stick to ACH transfer into another account. Alternatively, they can ask for a cheque from the bank itself for the amount that needs to be withdrawn.
Due to rising interest rates, Online Savings Accounts are becoming more and more preferable. This allows for an emergency fund for circumstances beyond your control.
There are companies that work on collecting and maintaining credit information of consumers. These are known as credit reporting agencies (CRAs). There are three such major CRAs in the country, namely Equifax, Experian, and TransUnion. Apart from these, there are other smaller-scale agencies too that specialize at the job. If you’re worried about “where to get my credit score?,” the larger CRAs are the most reliable bets.
These major CRAs obtain information from companies that you hold business and transactions with. People or companies that lend you money regularly report to these CRAs on your repaying status. There is also detailed information on the amount you are indebted and whether you have ever defaulted on your payments. Aside from the reports obtained from lenders, these companies also tally your general records based on certain other aspects. Some of these aspects are your public records from the local and state judiciary. These include your tax records and bankruptcy information. This information makes up an important chunk of your credit score and its report.
Equifax
Present in 24 countries, Equifax is an agency that offers consumers protection against identity theft and credit fraudulence. They also sell credit reports and credit monitoring assistance to businesses.
Experian
Experian started off in London and is now a trusted agency in 39 different countries. It provides you with a credit score, credit report, and even credit tracker on subscription. The agency uses FICO 8 system of credit score calculation. Experian was a part of Forbes’ “World’s Most Innovative Companies” in 2018.
TransUnion
Based across 30 countries with a database of over 1 billion consumers, TransUnion is another CRA giant. The agency, like the other ones, will provide you with your credit score and your credit reports. In case you decide to freeze your TransUnion credit report, it will also go the extra mile to notify Equifax and Experian, which frankly is a big help especially in case of identity theft and credit fraud.
So, the next time you are sat wondering “where to get my credit score?,” think of these three giants that provide you with an annual credit score and credit report for free once each year. However, if you are looking for more frequent updates, you can subscribe to their services and receive your monthly updates.
Did you know that you have more than a single credit score? Agencies calculate your credit score based on the data in your credit reports. If you are wondering, “where to get my credit score?,” there are three main credit reporting agencies. These can have different credit scores for you if your information on each of their credit reports is different. Also, these agencies charge a fee to reveal your credit score.
Recently, it has become easier to track and get hold of your credit score without paying any fees. You can get it from your credit card company, your loan provider, and even from a non-profit counselor. Here are a few tips you can use to check your score.