Is Your Bank Account Keeping Up With You?

Significant life events trigger changes in our spending behavior. For the recent grad, jeans and tees make way for suits and dress shirts. A couple with a newborn may need a larger car to accommodate a car seat. And empty nesters might look to downsize to a smaller space.

So if our spending and savings habits change with life’s milestones, why don’t more of us make sure our banking services keep up? Findings from TD Bank’s Checking Experience Index show that just 12 percent of consumers have made a checking account change in the past two years. Experiencing a significant life change can be the ideal time to assess whether you’re in the right account and whether it’s meeting your needs.

Moving on Up

Hard work and time on the job can lead to more responsibility and potential income growth. Earning more can also present opportunities to access more banking features. TD Bank offers TD Convenience Checking, which requires only a $100 minimum balance to avoid monthly costs. But if earning power grows, the benefits of a premium account like TD Premier Checking make sense. Premium accounts, like TD Premier, often require higher minimum balances but offer benefits like paying interest on your balance and reimbursement for out-of-network ATM fees.

Love and Marriage

If income from one job isn’t enough to maintain the minimum balance for a premium account, how about the income from two jobs? According to TD Bank research, 82 percent of couples maintain joint accounts. Merging finances is a big step in a relationship, and couples should take the time to find the account that can grow with their evolving needs. If starting a family is on your horizon, it may be time to consider saving. Be sure you shop around, because the right account can help you find additional ways to save. For example, TD Bank offers TD Relationship Savings, which waives ATM costs and pays a higher interest rate for customers who link their TD Bank checking account with their savings. A smart account choice can make your money work harder.

Owning a Home

Taking the leap from renting to owning is the American dream for many of us. It’s also the largest purchase we’ll likely make. Being in the right banking relationship can bring us one step closer to making our dreams a reality. But surprisingly, research from TD shows that less than half (46 percent) of consumers get their mortgages from the financial institution where they hold their primary checking account. Home buyers should check whether financing through their bank offers benefits. TD Relationship Checking allows customers to waive monthly fees on their account based on the combined balance of their mortgage loan and checking account. TD also offers a .125 percent rate discount to customers who link a checking account and mortgage. That equals more than $9,000 of savings on a $250,000, 30 year mortgage! Getting your checking account and mortgage to work together can get you mortgage free faster.

Your bank account may not be the first thing you think of when you think of advancing in your career, getting married or buying a home. But once you settle in to a new stage in life, take the time to see what’s right for your current financial situation. Because when it comes to your banking, finding the right account can help you achieve your next big milestone.

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