 TITLE: What Is a Checking Account? CONTENT: How to Choose a Checking Account\n--------------------------------\nWhen deciding where to open a checking account, there are a few things you should keep in mind:\n*   **Account types.** Many financial institutions offer several tiers of checking accounts, and they may push high interest accounts and free services that only apply to account holders who plan to maintain high account balances. If that's not you, ask about personal checking and be sure to find out what fees apply. If you're a student, ask about a student account; some institutions waive standard monthly fees for students (or anyone under age 24).\n*   **Office locations.** It may be convenient to pick a financial institution with locations near home or your workplace—but then again, that may not matter much once you set up your account and make your first deposit. If you arrange for direct paycheck deposit (and you should, if it's an option with your employer) and use online banking to monitor transactions and pay bills electronically, you probably won't need to visit the bank in person very often. Note that a growing number of financial institutions offer \"nontraditional\" offices in grocery stores and other retail locations—sometimes with longer hours than in freestanding branches.\n*   **ATM access.** Using a debit card or contactless payment is more secure, but sometimes you just need cash. ATMs are often the most convenient way to get it—and they may be the only option outside of normal business hours. While your debit card may work at wide variety of ATMs, most financial institutions charge fees to ATM users who aren't account holders, so if you plan on making cash withdrawals often, consider choosing a bank with lots of ATMs.\n*   **Overdraft protection.** You obviously shouldn't make payments that exceed the amount of cash in your checking account, but mistakes happen. If you do so, overdraft protection will cover your overage (up to a certain amount) so your payments will clear. The bank will likely charge you a fee for overdrawing your account, but you'll be spared penalties your payee might charge for processing an insufficient payment.\n*   **Fees.** If you can, find a checking account that doesn't charge fees. Some accounts charge fees if you allow your average monthly balance to dip below a certain amount, or if you exceed a certain number of electronic transfers each month. All financial institutions will charge a fee if you overdraw your account, but some are more severe than others, and you may want to seek out a more forgiving institution.\n*   **Consider a credit union.** When comparing candidates for opening your first checking account, take a look at credit unions as well as banks. In many cases, they offer lower fees and minimum balance requirements than banks, and some will even pay you back if other institutions charge you ATM fees, up to a certain dollar limit per month. END