What Is Personal Banking?

Personal banking is a broad term that encompasses all the products and services offered by banks to individuals and families. This includes deposit accounts such as checking, savings and money market accounts, along with some loan products like mortgages, auto loans and credit cards.

Bankers who specialize in personal banking are often known as community bankers. They work in retail banking branches and assist customers with various needs, such as opening a new checking or savings account or getting a mortgage.

They also help their customers with financial planning, including retirement and college savings. They offer a wide variety of investment products, such as certificates of deposit (CDs), money market funds and traditional and Roth individual retirement accounts.

Online banking is a great way to manage your personal finances. It’s quick, convenient and usually free. Many banks also have apps you can use from your smartphone or tablet to make transactions.

Internet banking offers many benefits, from the ability to access your account anytime and anywhere to the security of online banking. Banks take a lot of precautions to ensure the security of your online banking, including encryption, timed log outs and extensive authentication processes.

In addition to the convenience of banking online, you can do things such as pay your bills and transfer money between different accounts. You can even receive electronic versions of your billing statements and check how much cash you have in your bank accounts at any time.

You can even send money directly between friends or family using a service called Zelle. This service is available from many banks and credit unions, and it’s a great way to save time and money.

Your banking relationship can be a positive one if you choose the right bank for you and your goals. You’ll want to choose a bank that offers the types of banking products you need, has a strong customer service reputation and is in your area.

If you live in a large city, you might prefer a large financial personal banking institution with a big branch network and a long history of serving the community. However, if you live in a small town or rural area, you might be more comfortable with a local bank that is focused on the needs of your community.

A good personal banker knows their customers’ financial needs and can advise them on the best investments for them. This requires an understanding of the customer’s objectives and a willingness to listen to their concerns.

The banker will then provide advice on the most suitable financial product, such as a CD or money market fund. These are conservative investment vehicles, and they typically offer returns guaranteed by the Federal Deposit Insurance Corporation.

Personal banking also provides a more comprehensive selection of investment options than a typical Wall Street firm. This includes conservative investment vehicles such as CDs and money market accounts, as well as more aggressive options such as mutual funds.

Most people don’t have the knowledge or expertise to make wise investments on their own, and a personal banker can help them determine their financial priorities and recommend a suitable investment strategy. They also offer services such as investment analysis and portfolio management to assist clients in making informed decisions about their investments.