The Importance of a checking account

This week in my business mathematics class, we learned about the importance of a checking account. Opposed to a savings account, a checking account is place for your money to not only be secure, but still easily accessible. Because of all of the benefits and the practicality of a checking account, along with a grade requirement, I have decided to write this blog to inform those who may not have advanced financial experience as to why they should get a checking account.

Firstly, Checking accounts are a much more secure method to store your money. Rather than being stored in large amounts of cash where someone could potentially steal it, money is much safer in a checking account, where it is much harder for thieves to get access to. Additionally, it enables you to look at your account total instead of having to recount all of your bills any time you forget how much you have. This will prevent financially threatening fraudulent claims or misunderstandings. While a savings account is a secure place to store your money over long periods of time, a checking account keeps your money secure as well as easily accessible

A checking account not only ensures security for your money, it also helps track your money more effectively. Instead of having to manually keep track of your cash every time you make a transaction, a checking account can provide you with a statement that shows every transaction you have made along with your current account total. This avoids miscounts and will save you from countless headaches. If you want to grow financially, it is essential to accurately track every dollar that comes your way.

Additionally, checking accounts are becoming the standard. Cash, although still king, is becoming less and less prominent as we enter more technology filled ages. A checking account will free you from having to carry around cash, and instead give you a card that will directly charge your account. The accessibility of a checking account enables you to spend your money as if it were cash in your hand. When something is easily converted to money you can use, we say that it is “liquid.” The more liquid something is, the less secure it tends to be. The only thing more liquid than a checking account is actual cash.

In conclusion, a checking account is more reliable, practical, and effective means of tracking your money than cash. If you have not already, I strongly recommend researching various checking accounts to see if one is right for you. Many checking accounts provide incentives to appeal to certain people. Although it costs money to have a checking account, it will ultimately save you more money than check-cashing companies and money orders.

I hope you found this enlightening, and I will be posting more information regarding business math for the next 5 weeks.