Questions to Ask a Bank
Questions for comparing banks and credit unions: monthly fees and how to get them waived, savings rates against high-yield accounts, ATM coverage, overdraft rules, how fraud claims are handled, deposit insurance limits, and whether the accounts connect to the apps you already use.
The questions
Open any question for the note
What are the monthly maintenance fees on the accounts I would open, and exactly what waives them?
Why ask it
The waiver conditions matter more than the fee. A direct deposit requirement is easy to meet and a minimum balance requirement is not, and staff often quote one while the account documents require both.
What is the current rate on your savings account, and is it a promotional rate that expires?
Why ask it
Introductory rates that drop after a few months are common, and they are rarely volunteered. Ask what the rate has been for the past year rather than what it is today.
How many fee-free ATMs can I use, and what does it cost if I use another machine?
Why ask it
There are usually two charges, the bank's and the machine owner's, and staff often mention only the first. Ask whether they reimburse the second, and up to what monthly limit.
What are your overdraft fees, and can I refuse overdraft coverage entirely?
Why ask it
Declining coverage means transactions are rejected instead of charged, which is what most people want. If the answer is that you cannot opt out, or that they will not put the fee schedule in front of you, that is your answer about the bank.
How long is a deposited check held before I can spend the money?
Why ask it
Ask about a large check and a check from an unfamiliar payer, not the routine case, because hold policies change with amount and history. This is the question that catches people out after selling a car or receiving a settlement.
If money leaves my account without my authorisation, what is the process and how long until I am made whole?
Why ask it
Every bank says it takes fraud seriously. The useful answers are whether funds are returned provisionally while they investigate, and how long the investigation is allowed to take.
How is my money insured, and what happens to any balance above the insured limit?
Why ask it
Coverage depends on ownership category rather than on the number of accounts, so joint and individual balances count differently. If someone tells you all your money is covered without asking how it is held, they are guessing.
Are there minimum balance requirements, and what is the penalty for dropping below?
Why ask it
A minimum that resets daily is much stricter than one measured as an average, and the fee is often charged the same month you can least afford it. Ask which measure they use.
What does it cost to open and to close an account, and is there a fee for closing early?
Why ask it
Closure fees within the first months are common and easy to miss. Knowing them now means you can leave without penalty if the account turns out not to suit you.
Do you offer joint accounts, and what can each holder do without the other's consent?
Why ask it
Usually either holder can withdraw everything and neither can remove the other, which surprises people at exactly the wrong moment. Ask what happens if one holder dies or the relationship ends.
What can I do in the app, and what still requires a branch visit or a phone call?
Why ask it
The gaps are the point: mobile check deposit limits, sending wires, disputing a charge, changing an address. A demonstration on a member of staff's own phone is more informative than a feature list.
What security controls can I turn on, and are card and transaction alerts free?
Why ask it
Ask specifically about locking your card from the app, alerts on every transaction, and whether text messages cost anything. Being told the bank monitors for fraud is not the same as you being able to see activity yourself.
How do I reach a person when something goes wrong, and what are the hours?
Why ask it
Test it before you open the account by calling the number and timing how long it takes to reach a human. A promise of round-the-clock service often means an automated system overnight.
What are the foreign transaction fees on the debit and credit cards, and do you charge for cash withdrawals abroad?
Why ask it
There are usually two separate charges and both should be quoted as percentages. If you travel at all, this single answer can outweigh every difference in monthly fees.
Do you limit transfers out to other banks, and how long do they take to arrive?
Why ask it
Low daily limits and multi-day timings make it awkward to move money to a higher-paying account elsewhere. That friction is a design choice, and it is worth knowing before your savings are inside.
What loans and mortgages do you offer, and are they serviced here or sold on?
Why ask it
Whether the loan is kept in house decides who you deal with for the next thirty years. Ask about current rates, but ask about servicing too, because that is what you will actually experience.
Can I connect my accounts to budgeting apps and accounting software?
Why ask it
Ask whether the connection uses a proper data feed or requires handing over your login, since the second breaks often and raises real security questions. Naming the specific app you use gets a clearer answer than asking in general.
What investment or retirement accounts do you offer, and how is the person selling them paid?
Why ask it
Branch staff who advise on investments may be paid on what they sell. Asking about their compensation directly, before hearing any recommendation, is entirely reasonable.
What do you offer a small business, and does it need a separate relationship?
Why ask it
Relevant if you have any self-employed income. Business accounts often carry fees consumer accounts do not, including charges for cash deposits and per-transaction limits.
Which fees have you changed in the past two years, and how do you notify customers?
Why ask it
The best guide to how you will be treated in future is how terms have moved in the recent past. A bank that cannot answer, or that notifies only by a line in a statement, has told you what to expect.
Choosing the right bank
Practical guidance for the conversation itself
Decide what you are optimising for
- If you carry a small balance and use cash, prioritise fee waivers and ATM coverage over interest rates.
- If you hold a large cash balance, the savings rate matters more than anything else on the fee schedule.
- If you need a branch for deposits, notarisation or a safe deposit box, check the opening hours of the specific branch rather than the bank's policy.
- If your income is irregular, ask about hold times and overdraft rules first, because those are what will bite.
Warning signs
- Vague answers about fees, or a refusal to hand over the printed fee schedule and account agreement.
- Waiver conditions that require a balance you would not realistically keep in a low-interest account.
- A promotional rate quoted without a mention of when it ends.
- An app with poor reviews for outages and check deposits, whatever you are shown in the branch.
- Being steered to an investment product before your original question about a checking account is answered.
Switching without a gap
- 1Open the new account first and leave the old one running.
- 2Move direct deposit, then wait for one full pay cycle to confirm it landed.
- 3Move the automatic payments one at a time, starting with the largest, and keep a list of them.
- 4Keep the old account open for one to two months to catch annual charges and forgotten subscriptions.
- 5Download statements and the full transaction history before you close anything, since access usually ends the day the account does.
Credit unions and online banks
- Credit unions require membership through an employer, area or association, so ask whether you qualify before comparing anything else.
- Deposits at a credit union are insured by a different agency to a bank, at comparable limits. Ask which one covers you and confirm the institution is a member.
- Online-only banks often pay more and charge less, but have no way to accept cash. If you handle cash at all, ask how you would deposit it.
- Some people keep a local account for cash and paper checks alongside an online account for savings. Ask about transfer limits before assuming that arrangement will be smooth.