Managing account balances in an Online banking world.
With the proliferation of online banking, the question is no longer “Can I manage my account balances?” Now the question is “What is the best way to manage my account balances?” My short answer is: it depends on what your online system will allow.
I have some experience with other online systems, but I know Financial Center Online the best. So I’ll be focusing on using the features of Financial Center Online to maximize account balance management.
There are really only three essential tools in balance management:
- Balance Monitoring/Alerting
- Transaction Monitoring/Alerting
- Transfers – One-time and Reoccurring
Through a series of posts, I’ll illustrate how these tools can be used together to manage the balances in an account with a savings, checking, and money market. Our test member uses a savings as a short-term savings vehicle and a money market account as a longer-term savings vehicle. The use of multiple accounts is to provide discipline in the management of funds. Simply put, since the money is not all in one checking account the member needs to think about purchases before they are made, providing a level of discipline in spending habits. Also this segregation of funds requires timely record keeping to prevent unexpected balance short-falls.