Your banking "style: bank/credit Union, online?, use lots of ATMs, is local branch important?

[MinivanDriver]

Originally Posted by selhars

Help. I ask because once again I'm rethinking my banking style and needs.

I like having access to lots of ATMS, as I'm always on the go. I also like having a local branch. I'm an old head....I hardly ever go into the branch, but I like know it's there -- if I want to.

Also do you like having ONE bank (or credit union)...or prefer having more.
I've always had more than one...I've had up to FOUR banks at a time...down to three now. Just moved so will cut that down to two.

One bank has lots of ATMS....but my credit union has better rates. However its branches are not at all convenient. Although it does do shared banking with all other credit unions, and no ATM fees.

So I have one for ATM convenience, the other for branch convenience.

Also your thoughts on online banking.....would you ever do ALL your banking online?

Thanks

I have been a small business owner for almost 30 years. My wife and I have multiple banking relationships, from business checking to money markets, mortgages, car loans, safe deposit boxes, you name it.

With that in mind, I like having a relationship with our banker. To me, it's more than a box where I keep our money.

[selhars]

Anyone who could really benefit from wringing that last 1/2 or even whole 1% (in raw numbers)
c/should be putting that excess/reserve cash hoard into even better return investments.

............

Anyone who doesn't or can't have enough liquid in the fixed asset side of their portfolio to cover
that need for EF Cash ... well, I still don't see a better plan than simple laddered CD's.

After a little bit of time they'll have 4-8 two year CD's coming to maturity on a 3-6 month cycle.
Where the bank is that holds them is largely immaterial. Citi

^^And have to keep up to date with the CD renewals.
I'm more likely to just put the EF in a Cap One, Amex, or other online MMA making 1.5% and leave it alone.
It's there and I don't have to worry about how much is coming due for renewal and how much do I need. It's all in one spot, and all handy.

I hate that my local bank, that I do like....has NO competitive rates on any account products.
So the checking is one place, the first-tier EF (savings) is some place else. The MMA (EF is someplace else).

That's not exactly the most consolidated system....three banks and I haven't even gotten to taxable investments and IRAs yet.

I'm just wrapping my mind around that simplified banking won't get you the best rates. Darn it!

[MrRational]

Originally Posted by selhars

^^And have to keep up to date with the CD renewals.

Do you really see that as some sort of onerous task?
Leave them with a standing order.

But if your responsible enough to really trust yourself enough...
that you won't ever be tempted to dip in short of real need then the MMA is fine too.

Most aren't responsible enough to really be trusted...
and quite frankly THAT is the reason laddered CD's are advised so frequently.
(just don't tell them so)

[selhars]

Did anyone see THIS, a new post entered today....

More thoughts on banking strategy....
Q: If your checking account is local....how would you feel about having everything else in a credit union or bank that's either not near you or online only?

I'm re-reading this thread.....Wondering about whether I should start chasing interest rates -- or not.
I suppose in my own mind I'm not sure changing things to get 1.4% instead of .30% is worth it. (But I sure like that 1.4%)

To do that would mean ONLY a local checking account and everything else either a non-local credit union or online bank.

And I'm re-thinking how many accounts I should have -- what kind and where.

I have a 2-tier emergency fund strategy. Does anyone else go this route?

Right now for temporary reasons I only have a checking account with one local bank, and my EF in an MMA at a brick and mortar that's not convenient.

But before now I've always had that 2-tier EF system.

1) A checking, a local savings (with more in it -- say 5K). Call that local small-time emergency fund.
-- AND an MMA for my REAL emergency fund (in a non local place)

The alternative is just have ....
2) a checking, (NO local savings account) -- and everything else in the MMA emergency fund
But for my "on-hand comfort level" that would mean upping the amount in a checking account earning NO interest.

If I don't want to keep more than needed in the checking account, and don't want to touch the REAL emergency fund, then by default I sort of feel I should have a mid-tier savings account of some kind.

The problem is I'm not even sure myself how I feel about not having that mid tier money local with a brick and mortar place.

[Thatsright19]

I do everything online. I go to an atm or a branch one or two times per year when I need to replenish my token cash balance.

I use multiple banks and credit unions to maximize the best deals and features. They get zero loyalty beyond the value they create.