5 Most Important Financial Accounts

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Important Financial Accounts

Everyone has multiple financial accounts these days because they are necessary. Honestly, who can get by easily without a checking account or a savings account? Some people do, but the majority of us cannot. There are other accounts that everyone should have to ensure their financial stability. Luckily, all of these accounts are easy to open and fairly easy to understand. Keep your finances flourishing by opening and maintaining the following accounts right away!
Checking Account

Without a doubt, a checking account is the most important financial account in existence today. Checking accounts are nearly a necessity for writing or cashing checks, paying bills, purchasing items online, and so much more. In fact, some people use debit cards with their checking accounts in place of physical cash to do everything. There is even talk of paper money disappearing within the near future, which would make checking accounts the only way to do anything with your money each day. Anyways, plenty of people have checking accounts and they are fairly simple to obtain. The average person will use their debit card each day, write/cash checks regularly, and pay bills each month – all with their checking account.

Checking Account Providers

  • Bank of America
  • Chase
  • Wells Fargo
  • Local Banks
  • Local Credit Unions

Savings Account

Obviously, the saving account is a necessity. There are plenty of people without them, but these people aren’t setting themselves up for a stable future. Saving as much money as possible is the best idea, and you will be earning interest on your savings. At any time, these funds can be used for emergencies, special purchases, and more. For the most part, however, you won’t want to be touching your savings account unless you absolutely need to. Savings accounts are too important for a person to not have one and they are extremely easy to open with little money for an opening deposit required.

Savings Account Providers

  • American Express
  • Bank of America
  • Capital One
  • Chase
  • Discover
  • Local Banks
  • Local Credit Unions

Credit Card Account

Plenty of people refer to credit cards as the absolute evil when it comes to finances, but this is completely untrue for a financially intelligent individuals. Without doubt, credit cards can play an extremely important role in a person’s financial life. You need to build credit in order to purchase a home or obtain a loan, and credit cards are a great way to do so. Fortunately, you can get a credit card or two and just use them for small purchases each month. Pay the bill in-full right away, and everything will be fine. Credit cards are extremely useful in times of need, especially when you don’t have enough money to take care of things. On top of this, having a good credit score will get you so many benefits for loans and other things that you’ll appreciate owning a credit card or two.

Credit Card Providers

  • American Express, Discover, Mastercard, Visa
  • Banks
  • Department Stores
  • Gas Stations

Individual Retirement Account

Individual Retirement Accounts are just known as IRAs normally, but not enough people actually know what they are or how useful they can be. Obviously, these accounts help you earn some money to retire with later in life. You can invest the money in a typical savings account-type setup, in stocks, or in CDs. Luckily, the choice is yours. You can contribute a maximum of $5,000 per year into these accounts, but that money will add up over the years. Retiring at 60 or 65 can be pretty great when you have tons of money from an IRA. Fortunately, these accounts are easy to open and simple to understand. Investing your IRA funds into stocks will yield the biggest gains but can be dangerous if your picks lose values. CDs and Money Market funds are the safest options, yet they yield less money.

IRA Providers

  • Banks

Stock Account

Okay, many people are terrified of investing in the stock market because of the recent crash and more. A lot of people think that you have to be a genius to make money off the stock market, but that isn’t so. In fact, stocks are a fairly good source of money and potentially regular income. Picking companies to invest in isn’t difficult, and you only need to invest a few hundred dollars each year to get off to a good start. Without a doubt, one of the best options is to invest in stocks that yield dividends each year because you will continuously earn dividends each year as long as you hold those stocks. It isn’t too difficult to invest in the stock market and keep your investments at a steady or growing pace.

Stock Account Providers

  • Banks
  • E-Trade
  • Sharebuilder

Note: All “Providers” lists are not total lists. You will be able to find these accounts at plenty of other companies/financial institutions.

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