When looking around for a bank you may have heard talk, that if you sign with one bank, they will give you $200 in your account. This is what is known as a bank-signing bonus. However, getting the money that was promised does come with some fine print. Therefore, today we will be discussing bank-signing bonuses in more detail.
Why Banks Use Signing Bonuses
Banks use signing bonuses so they can stay on top of their competitors. They know individuals love money and feel like when they offer potential customers money in return for their business they will keep their institutions running smoothly.
Getting the Signing Bonus
We all have seen the $50 signing bonus for getting a Capital One 360 checking account. However, just opening up an account is not going to get you the $50. Instead, you have to make a specific amount of purchases within a set amount of days to get the signing bonus.
Each company has different stipulations behind their signing bonus. Usually, the higher the signing bonus the more that they require from you. Some of these bonus may be taxable so it’s important to research this ahead of time.
Therefore, you should not let the first or largest offer persuade you to join. Instead, you have to read the terms and conditions behind the bonus to make sure you can comply with them to receive the bonus.
Research the Different Offers
With so many banks offering signing bonuses, right now it can be hard to know which one to give your business too. The main thing to analyze is the reputation of the financial institution and their bonus guidelines. You have to make sure that the company is trustworthy and will actually pay the bonus. You also want to make sure that you will not have to spend more than the bonus amount with the company to receive the bonus. Lastly, it is ideal to shop around to see which financial institution has the highest bonus, with the most reasonable amount of tasks to obtain it, and provides you with the features that you want from your bank.
Finding a bank is already hard enough. However, things get harder when you have to select a bank while also factoring in the signing bonus. Making a smart decision will take you a lot of time. However, it is something that must be done since you will trust the company with your hard-earned money and possibly require other financial services from them down the line.