This article is reprinted by permission from NerdWallet. The investing information provided on this page is for educational purposes only. NerdWallet does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments. The starter homes of a banking relationship are your checking and savings accounts. But just as you might organize your home differently, or even move to a new home, the way you organize your bank accounts may require changes over time.
If you’re like me and still have accounts at the same bank as your parents, maybe enough has changed in your life to consider if a new bank would better fit your needs. Let’s determine both the right type of bank and best combo of accounts and tools for you.Which bank accounts are for me? You probably don’t need to think too hard on this one. Checking accounts are for spending, and savings accounts are for saving money and earning interest. But you might need additional or specialized accounts, so ask yourself:
Do I plan to share finances with someone? If so, you might want joint accounts.
Do I want some savings out of reach? Certificates of deposit are a type of savings account that do just that, and they can earn you a high guaranteed rate.
Do I want a higher savings rate or lower fees? Online banks offer high-yield savings accounts and high-yield CDs, usually with minimal fees and low opening minimums. The best rates are above 3%. These options might be supplemental to your primary accounts.
See: Brokered CDs pay more than traditional CDs — what are the risks and should you buy them now?How many bank accounts should I have …