Choosing the right bank account for your needs can be tricky. There are mainly two kinds of accounts: checking and saving. The difference between these two types is that a checking account allows unconditioned withdrawals and deposits, while a saving account is more restrictive.
For starters, you have a checking account also known as current account. The checking account is a transactional deposit account that is intended for daily needs. This type of account allows unlimited number of transactions. Withdrawals can be done through checks, ATMs, over the bank’s counter, etc... This form of account provides its holder with checkbooks, as well as debit cards to grant access to the account balance for electronic debits in stores.
Lebanese banks offer a varied selection of current accounts that caters to different needs. Current accounts come in various types: business, students, joint accounts, etc... Some banks also allow overdraft limits on some current accounts.
Moreover, Lebanese banks offer many financial packages. Conditions, terms and offers vary from one institution to another. For a fixed monthly fee, the current account bundle is a package where the customer benefits from an array of free or discounted services, such an electronic card, a checkbook, and electronic payment of utility bills. Other packages are also available, some target special fields and services. The most common packages are Internet accounts, payroll accounts, wedding accounts and youth accounts. Depending on the bank and package, these types of bundles can be extremely beneficial for the targeted customer, however they might become disadvantageous to clients who don’t need various banking services.
The second type of account is the saving account. This deposit account earns interest. Unlike the checking account, saving accounts are considered an investment, and are not intended for use on day-to-day transactions.
A saving account is considered a liquid investment. The account-holder has the option of choosing between different types: Some types of saving accounts, such as the Sight Saving accounts allow holder to write up checks, amongst other limited number of transfers and transactions, enabling funds to be transferred restriction-free from one account to another and withdrawals made without prior notifications.
On the other hand Term Deposit accounts vary from one bank to another and are subject to terms and conditions. Deposits made into these accounts are subject to a fixed term. Withdrawals are allowed by giving prior notice or at maturity.
Before heading to your local bank, visit bnooki.com to compare and choose between the different accounts offered by Lebanese banks.