Introduction
Are you tired of waiting in long lines at the bank and dealing with all the paperwork just to open a new account? Well, what if we told you that it doesn’t have to be that way? With online banking becoming increasingly popular, opening a new bank account has never been easier or more convenient. In fact, you can now open an account in just a matter of minutes from the comfort of your own home. To help you navigate through this process, we’ve compiled our top picks for the best online banks of 2020. So sit back, relax and let’s get started!
What to Consider When Opening an Online Bank Account
When it comes to opening an online bank account, there are a few things you should consider before making your decision. First, take the time to research different banks and their offerings. Look for ones that offer low fees or no fees at all and high-interest rates on savings accounts.
Next, make sure the bank has a user-friendly interface and mobile app. You want to be able to easily access your account on-the-go and have a seamless experience when managing your finances.
Security is also crucial when choosing an online bank. Make sure they use encryption technology to protect your personal information from hackers or cyber threats.
Another thing to consider is customer service. Does the bank offer 24/7 support? Do they have helpful resources available online? Good customer service can make all the difference in resolving issues quickly and efficiently.
Think about any additional features or perks that may come with opening an account such as cashback rewards or ATM fee reimbursement programs. These small benefits can add up over time and enhance your banking experience overall.
The Best Online Banks of 2020
When it comes to online banking, there are several options to choose from. However, not all banks offer the same features and benefits. To help you make an informed decision, we have compiled a list of the best online banks of 2020.
First on our list is Ally Bank, known for its high interest rates on savings accounts and CDs with no monthly maintenance fees. It also offers free ATM access and reimburses up to $10 in ATM fees per statement cycle.
Next is Capital One 360 which provides competitive interest rates across different types of accounts including checking, savings, and money market accounts. It also has a user-friendly mobile app that allows customers to manage their accounts easily.
Discover Bank is another excellent choice as it offers cashback rewards on debit card purchases along with competitive interest rates on savings accounts. The bank also doesn’t require minimum deposit requirements or charge monthly fees.
Chime stands out as well as it doesn’t charge overdrafts or monthly maintenance fees while providing early direct deposit services for paychecks arriving up two days earlier than traditional banks’ policies allow.
When choosing an online bank account provider in 2020 consider reviewing your preferences carefully based on factors such as account perks like zero-fee ATMs and potential convenience issues regarding locations before making any final decisions.
How to Open an Online Bank Account
Opening an online bank account is a simple and convenient process. To get started, you’ll need to choose a reputable online bank that meets your needs. Once you’ve found the right bank for you, follow these steps to open your account:
Visit the website of the bank and navigate to their “Open an Account” section. You will typically be required to provide some basic personal information such as your name, date of birth, address and contact details.
Next up is verifying your identity using a valid ID card or passport. This step usually involves uploading scanned copies of your identification documents.
Once you have verified your identity, it’s time to fund the account by transferring money from another account or setting up direct deposit with your employer.
Confirm all the information provided before submitting everything for review and approval. Typically within minutes (sometimes seconds) after application submission; most banks will approve new accounts instantly without any need for further verification.
Opening an online bank account can take as little as 5 minutes in today’s fast-paced digital world!
FAQs
Questions are an inevitable part of any online banking experience, and understandably so. Here are some frequently asked questions about opening an online bank account:
1. Is it safe to open an online bank account?
Yes! Online banks use high-level encryption technology to protect your personal and financial information.
2. What documents do I need to open an online bank account?
It varies from bank to bank, but generally you will need government-issued identification such as a driver’s license or passport, proof of address (such as a utility bill), and your social security number or tax ID number.
3. How long does it take to open an online bank account?
Most banks allow you to complete the application process in just a few minutes. Approval times may vary depending on the institution and the complexity of your application.
4. Can I access my funds immediately after opening an online bank account?
Again, this depends on the individual policies of each specific institution. Some may require a certain waiting period before granting full access to funds.
5. Are there any fees associated with opening an online bank account?
This also varies by institution, but many offer no-fee accounts or waive fees for meeting certain criteria such as minimum balance requirements or direct deposits.
Remember that while these answers provide general guidance, always refer directly to each respective institution’s policies and procedures for more specific information regarding their services and offerings.
Conclusion
After reviewing the best online banks of 2020 and providing tips on how to open an online bank account, we hope this article has helped you make an informed decision. Opening an online bank account can be a convenient option for those looking to manage their finances from the comfort of their own home. It’s important to consider factors such as fees, interest rates, and customer service before choosing an online bank that best fits your needs. With so many options available, it’s worth taking the time to research and compare different banks before making a final decision. Happy banking!