A checking account for the college student in your family
Kids need a lot of things when they head off to college. A checking account is often one of them.
Helping your son or daughter choose the right financial institution is important.
Ken Tumin, consumer banking expert at DepositAccounts, says a credit union - especially one that caters to college students - could be your best bet.
"Credit unions typically have fewer fees and better rates then banks,” he said.
Make sure the checking account your college student chooses is free – with no minimum balance and no monthly maintenance fees.
And skip the overdraft service.
That way, the bank or credit union will block a debit card purchase or ATM transaction if there's not enough money in the account to cover it. By doing that, there's no overdraft fee.
"If you decide to opt-in for overdraft protection then the bank will cover you in those cases and then you will be hit with a overdraft fee every time you overdraw the account,” Tumin explained.
College students should also find a financial institution that provides free access to a nationwide network of ATMs and offers mobile banking.