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Are You A Good Candidate For Online Banking?

Alexis Raskin

Are you considering switching from brick-and-mortar banking to an online bank? If you have been recently considering making the switch to an online financial service such as MoneyLion, there are several factors to consider beforehand to determine if you’re a good candidate. Keep reading to find out if you’re a good candidate for online banking.

You’re Looking To Save Time And Energy

If you’re looking to be more efficient with your banking, then going digital is a great idea. Not only will you spend less time banking, you can do it from anywhere. The beauty of technology is that it's not bound between the walls of a typical brick-and-mortar bank. Take you banking anywhere you go, whether its during your lunch break at work, or from the comfort of your couch. No more depositing a check at an actual bank, when you can instead just take a picture of a check and be done with your deposit within seconds.

You Want To Avoid Unnecessary Fees

With several free online banks, there are financial services that offer accounts with zero ATM fees.

For example, MoneyLion is a money-saving service that keeps your money in your account. MoneyLion is available through more than 55,000 fee-free ATM’s across the globe, meaning no ATM fees. With online banking, you can also avoid other fees such as security fees, and general bank maintenance fees. Investments fees will also accumulate from central banks. While traditional financial advisors from brick and mortar banks will charge anywhere from 1% to 3% of your portfolio, robo advisors are essentially free. You can get fees as low as 0.15%, which is significantly lower.

You Don’t Have A Steady Income

If you’re worried about fulfilling a bank minimum, then online banking could be a great alternative for you. Several free online banks have no minimum requirement for your balance, taking off the pressure to open an account without a steady income currently.

You Love To Travel

If you’re one to travel, then online banking can save you hundreds of dollars in international banking fees. Many online banks will not charge transaction fees for using your debit card overseas. Charles Schwab Bank’s (NYSE: SCHW) High Yield Investor Checking is a great option if this sounds like you. Schwab is a traditional bank, but has a mobile bank option as well, with mobile checking deposits compatible with Apple Pay and Google Pay.

You Are Comfortable With A Robo Advisor

Customer service through online banks are often run through robo advisors, meaning less in person human contact. If human contact is important to you, this may not be the best option for your banking. However, online banking does usually have very strong customer service, accessible 24/7 so you will have someone to talk to about any potential problem. But, it is not the same as an in-person teller. There is the possibility that there is a problem and the application crashes, or the customer service line is busy.

MoneyLion has entered into a compensation arrangement with Benzinga under which MoneyLion pays a fee for marketing and advertising services. MoneyLion does not have editorial control over the content of this material. MoneyLion does not adopt, endorse, or guarantee the accuracy of content posted by Benzinga, and such content does not represent the views of MoneyLion.

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