what can happpen if i dont keep any money in my bank account?

Question

i am constantly receiveng money into my account but i use to take them all out every time.does it influence negatively and the bank dont like it.i friend of mine said that it is good to keeo at least 1000
o your account as permanent.is it true,does it increase my credit ?

Answer 1

You'll get more interest i should think....

Answer 2

Keeping money in your account does not affect your credit..If you were overdrawn and refused to pay it then yes it will be sent to collections which in turn can hurt your credit.

I believe it's good to keep some money in your account...you never know if you'll need the extra money, or you forgot that you made a transaction...I ususally like to keep at least 20 in my checking just in case...but if you have overdraft protection then I guess it really doesn't matter...

Anyways, I wish banking accounts helped credit scores...but keeping a steady amount in your checking account can help for example, if your leasing an apartment and you don't want them to do a credit check you can show them proof of your bank account and it looks awesome if you have a large figure in it for a long steady period.

Answer 3

if its a checking account you should keep enough to cover charges and the value of checks written by you and debit orders etc.keeping excess money in a check account is good for the bank ,not you.
some banks do require a minimum balance,but many do not.
if you have excess money you should invest it where you can get a better rate of return.if you do not have money in an account and a debit goes through you will be overdrawn and incur penalties and your good name could be adversely affected,not good for a business.

Answer 4

the bank might require a minimum account balance, but if they do not it is perfectly alright to take out all of the money in the account. it does not affect your credit. make sure to not take out more then you have in the account though, since that is overdrafting and you will be charged and that will affect your finacial standings.

Answer 5

In UK, MOST retail Bank account as totally FREE of charges IF you stay in Credit ... if you have one of those that's charging you whilst you are in credit, GO TO ANOTHER BANK .. Of course they all charge if you spend money you don't have .. all you can do is move to one with lower overdraft charges ..

Answer 6

You should read your account agreement. The answer to your question is in there somewhere. Generally, though, nothing special happens to zero-balance accounts, especially since your account is clearly active (i.e., there are deposits and withdrawals).

As to your "credit", you need to clarify your question. Are you talking about your credit score or your credit limit?

Answer 7

More import than your credit is your money in the bank is insured by the FDIC; therefore, if there's a fire or the bank gets robbed your money safe. If you keep it your mattress get lumpy and you may find it hard to sleep.

Answer 8

you should always have a specific amount of money in your account for emergencies. For example we always have $2,500 in ours to cover unexpected bills.. Hospital, car breakdowns, etc. this way you are not freaking out if you get an unexpected bill. Your friend is wise.

Answer 9

the anount of money in your account doesn't really do anything to your credit but keeping a zero ballance may cause the bank to close your account. my bank requires a minimum of 100.00 to keep it open.