How to make the most of your current account
How to make the most of your current account
Most people will have a current account as it is the securest way to store money. However, some people may not be making the most of it.
In this guide, we will take a look at what you can do and what features you can use to make the most of your account, as well as looking into whether it’s worth changing it.
How to use your current account
To make the most of your current account, the first step is to find out all the features that are available to you and learn how to use them. Here are some of the most common features usually available.
1. Use mobile banking
Whether this is online banking or via a mobile banking app, this is the easiest and quickest way to manage your finances. You can check your balance, make transfers, edit Direct Debits and so much more anytime, anywhere.
2. Enable notifications
Setting up your app/online banking to alert you, either by text, email or via the app, when you have made a purchase or if a bill is due, is an ideal way to keep on top of your account. It can give you real-time updates so you are always aware of how much is in your account or what actions have been or need taking.
3. Find out the interest rates
Being aware of the interest rates is a good way to see if you have a good deal with your account. You may have opened your account with a high interest rate on your balance, but this may have lowered over the years. If it has, it could be worth seeing if you can get a better rate elsewhere. This also includes the interest rate on your overdraft. If you have too many bank charges, it also might be time to see which other accounts can get you a better deal.
4. Set up direct debits and standing orders
Direct Debits and standing orders are a great way to organise regular payments, especially for rent and bills. Setting these up to automatically make the payments each month is not just an easier way to pay your bills, but it also helps to prevent missing them.
5. Keep on top of your balance
Keeping track of your balance is the easiest way to stay on top of your finances, avoid any bank charges and budget for the month. There are so many easy ways to do this with most accounts, including logging in to your online banking/app, checking at a cash machine, asking over the phone, setting up text alerts, and checking your statement.
6. Check the benefits
You may be paying additional fees for your account to gain extra perks, like insurance or breakdown cover. Make sure you make the most of these benefits, or check to see whether you need them at all. If not, you could save money by switching to a different account.
What payments should I make with my account?
Having a bank account helps making payments, including monthly bills, one-off payments and spending in shops, easy and manageable.
You can also make these payments in a variety of different ways, including:
- Debit/prepaid card
- Direct Debit and standing order
- Bank transfer
- Withdrawing cash from a cash machine
- Writing a cheque
How do I transfer money?
Transferring money, whether that’s to another one of your own accounts, someone else’s account, or a business is quick and hassle-free. You will just need a few details of the other account, including the name on the account, sort code, account number, and reference if necessary.
If it’s the first time you have sent money to this account, there may be an additional security check before the payment can be made. Each provider will have a different way to conduct this security check. However, one of the most common ways is with a one-time passcode sent to your mobile number or email address to verify it is you setting up the payment.
Should I switch to a different type of current account?
If you feel like you can’t make the most of your current account or it doesn’t offer enough to benefit your situation, then it could be worth shopping around to find a new current account that does. There are many types of current accounts available, even for those who have bad credit.
If you are looking at different types of current accounts and want to switch your account, first think about what features you need which you could make full use of. Here are a few reasons that could make switching an option for you:
- You want a better overdraft deal or no overdraft at all
- You want a higher interest rate on your balance
- You want to gain from a switch incentive
- ou want a better digital service for 24/7 access to your account via an app