Managing your finances can be tricky, but did you know your chequing account could be a hidden gem? Many Canadians overlook features that could help save money. This post will uncover lesser-known benefits, including cashback rewards and travel insurance.
What Makes a Chequing Account Valuable?
Not all chequing accounts are created equal. Beyond the basic ability to deposit and withdraw money, some accounts offer perks that can ease financial stress.
Cashback Rewards on Purchases
A few chequing accounts now offer cashback on everyday purchases. Whether you’re buying groceries or gas, this feature can help offset costs.
Why It Matters
- Savings on Daily Expenses: Cashback rewards typically range from 0.5% to 2%.
- Ease of Use: Automatically applied to your account balance.
For example, the Tangerine No-Fee Daily Chequing Account provides cashback on select transactions.
Complimentary Travel Insurance
Travel often? Some chequing accounts include basic travel insurance. Coverage can include trip interruption, lost luggage, or even medical emergencies abroad.
How It Saves
- Reduced Travel Costs: You might avoid purchasing standalone travel insurance.
- Peace of Mind: Coverage is often automatic, as long as you meet minimum transaction requirements.
Other Hidden Gems in Chequing Accounts
You may be familiar with no-fee banking, but let’s dive deeper into what else you might be missing.
Overdraft Protection with No Extra Fees
Overdraft fees can quickly add up. Some accounts offer overdraft protection at no additional cost, helping you avoid costly penalties.
- No NSF Fees: Avoid non-sufficient fund charges.
- Flexible Spending: Helps in tight months.
Learn more about how to avoid these fees in our guide on Understanding Bank Account Fees.
Discounts on Loans or Credit Products
Many banks reward loyal customers. Maintaining a chequing account with a financial institution can lead to discounts on loans or credit cards.
- Lower Interest Rates: Often available on personal loans.
- Exclusive Access: Pre-approved offers for better terms.
Our post on How to Qualify for a Personal Loan details similar benefits.
Fraud Alerts and Enhanced Security
Some chequing accounts offer advanced security features like real-time fraud alerts or temporary account freezes.
- Immediate Action: Freeze your account via app or phone.
- Added Security: Quick response times help mitigate fraud losses.
How to Find the Best Chequing Account for You
With so many features, how do you decide? Here are steps to evaluate your options:
- Identify Your Needs: Cashback, insurance, or no-fee overdraft.
- Compare Banks: Look for institutions offering bundled perks.
- Read the Fine Print: Ensure you understand the terms and conditions.
A Few Questions to Ask
- Does the account offer rewards or perks you’ll use?
- Are there minimum balance requirements?
- How accessible is customer service?
Wrapping It Up
Chequing accounts are more versatile than many think. With the right features, they can save you significant money annually. Take a moment to assess your account—are you leveraging all its perks?
