I switched to an online bank and will never go back. here’s why

I used a local bank near my home for a long time. The people were helpful in my local branch and it seemed like a lot of hassle to make a change.

However, a few years ago I decided that I was fed up with some of my bank account conditions. And after some research, I realized that an online bank was much better suited.

Now I wonder why I waited so long – and I’m convinced I’ll never go back to brick and mortar banking. Here are some big reasons.

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1. Online banking charges much lower fees

My online banking is amazing about the fees. I have no monthly maintenance fees. And I don’t have to meet minimum balance requirements or direct deposit requirements to avoid getting charged. I also get reimbursed for ATM fees and my bank even sends me free checks.

Some local banks or credit unions can be good about the fees. But I haven’t yet found one as generous as my online banking. And that makes sense because it costs money to run local branches and serve customers in person.

For me, it was well worth switching to an online banking just to avoid those fees. I no longer have to try to time my ATM withdrawals when I am near a network machine. And I also don’t have to worry about keeping a few thousand dollars in my checking account to avoid additional bank charges.

2. Customer service tasks can be handled virtually

Any issues or questions I have had since switching to online banking have been resolved quickly and easily from the comfort of my computer. Easy to contact via online chat or phone and the customer support reps were very responsive.

There have been a number of times with my old bank that I have had to go to my local branch to resolve a specific issue or get questions answered. It was boring then and would be even more boring now during the ongoing pandemic.

Online banks do not have local branches. As such, they’re set up to provide digital service – and I’ve found that I much prefer that to a special trip to the bank.

3. I can deposit much larger checks

My local bank allowed me to use mobile check deposit. But there was a pretty small limit on the size of checks I could deposit over the phone. Once I went over the $ 2,500 I had to take the check to the bank.

My new online banking is going never forces me to come in because there is nowhere to go. I can deposit up to $ 50,000 through my phone and send checks for more than that amount.

Again, some local banks may have higher limits for mobile deposits. But they don’t tend to be as high as online banks that don’t have local branches.

Ultimately, there are many advantages to online banking. You can perform most of your banking tasks online without having to go to a branch. And you have the best chance of avoiding bank charges. If this interests you, you may decide that online banking is the best option for you as well. It is clearly the right choice for me, and I will never go back to traditional banks again.


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David A. Albanese

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