Are you opening your first bank account? Perhaps you’ve had your existing account for a long and want to start a new one. In any case, you should be aware of the prerequisites for opening a new bank account.
What Are the Bank Account Opening Requirements?
The documentation you’ll need is the same whether you open an account in person, at a branch, or online from the convenience of your own home. Take hard copies of your papers with you if you visit a bank or credit union location. If you open an account online, be prepared to provide images of the necessary documents.
To begin, you must be eligible to open a bank account. Banks and credit unions examine the following factors:
- Consumers must be at least 18 years old to open their own account. Accounts for children must be opened in the name of a legal parent or guardian who is 18 or older.
- Credit: Your credit score is important, but it is not as important as actual stuff on your credit record. Banks and credit unions check to determine whether you have any negative balances or accounts that have been closed at other financial organizations. You may be unable to open a new account if you owe money to another bank or credit union.
- Fraud: If a consumer’s behaviour is recognized as potentially fraudulent, they may be unable to open a new bank account elsewhere. Banks and credit unions want to safeguard themselves against financial loss.
What You will need to open an account
- Full legal name
- Date of birth
- Physical address — not a P.O. Box
- Bill displaying your name and address
- Phone number
- Email address
- Social Security number
- A secondary means of verifying your identity, like a birth certificate, a bill displaying your name and address or your social security card
- A government-issued identification card like a driver’s license or passport, which must include a picture of you and cannot be expired
- Money for an opening deposit, along with any applicable fees.
Some banking organizations demand a birth certificate or social security card to be shown. Others only require your social security number and a photo ID. You may or may not require a bill with your physical address on it. Before beginning the procedure, contact the bank of your choosing to find out what you need to open an account.
Tips for Opening a Bank Account in a Branch
The COVID-19 pandemic has altered the way many firms, such as banks, conduct business and operate. To be sure, call your bank or credit union ahead of time to confirm their hours of operation. Call ahead to your preferred bank or credit union before visiting a branch to open a new account.
Inquire about the papers required by the bank to start a new account. Some demand you to bring your social security card, while others may merely require you to provide your social security number. Having everything available during the account opening process guarantees that the process runs well. Otherwise, customers may be required to return with the proper documentation.
How to Open a Bank Account Online
After you’ve decided on a bank or credit union, go to the online application and fill up your information. Before you begin, ensure that you have all of the information from the list above so that you can complete the application promptly. If the page times out, you may have to restart.
Funding a New Account Online
When you visit a branch, you must fund your new account with cash. However, if you open your account online, it may be simpler because you will simply need to send a routing and account number to another bank for an automatic transfer – no cash required. It may take a few days for the transfer to be completed and the account to become active. This is still faster than shipping cash or a check, which may be unavailable at some banks and credit unions.
Your new bank account may be approved immediately. If that’s the case, congratulations! Your bank or credit union will inform you of the following steps. In their branches, certain banks provide instant issue debit cards. If not, a debit card will be mailed to you within a few weeks.
Consider any direct deposits, bills, or automatic payments that will need to be processed on the new bank account. Make sure to change any accounts’ routing, account, and debit card information, such as:
- Loan payments
Most banks and credit unions use email to communicate about new accounts. Check your junk mail or spam folders if you don’t see an email in your regular email inbox. If a welcome email from your new bank or credit union ended up in spam, mark it for the inbox instead so you don’t miss out on essential information.
Set Up Online and Mobile Banking
Online and mobile banking make it simple to manage accounts from anywhere, and most financial institutions provide the service for free with an account. The bank or credit union may offer sign-up instructions through email. If not, go to the bank’s website and sign up for online and mobile banking.
Consumers should anticipate supplying personal identity information that corresponds to the information provided during the account opening procedure. Customers that have two or more email addresses, for example, should utilize the one that was provided to open the account. The same can be said for phone numbers and addresses.
To allow access to online and mobile banking, the bank’s system matches this information to a new account. Consumers may be sent a code via email or text message to confirm that they are the correct individual.
Opening a new bank account may be a thrilling experience, especially when customers find a bank or credit union that meets their specific financial needs. Opening an account should be very simple after doing some research to find the proper financial institution with the greatest accounts or possibilities for you. It can be completed in as little as 10 minutes online or in a branch.