Despite its many challenges, the Philippines has made many remarkable strides in reshaping its economy and expanding its middle class. So much so that some experts even think that the middle class will comprise the majority of the population as early as the year 2040.
Still, even as Filipinos become more prosperous as a whole, individuals who want to start raising children will inevitably face many financial hurdles. The cost of quality education, healthcare, and homeownership all continue to increase, and anyone who wants to become a parent must build good financial foundations to keep their family well-cared for.
If this sounds relatable to you, it may be time to reexamine your bank account. We’re not just talking about the cash you have in it, either. The banking services you enjoyed when you were single may no longer be as helpful when you start raising children. Opening a savings account Philippines-based families can trust is a good way to ensure that more of the money you earn in your career goes towards the benefit of your family, and not just your bank.
With so many banks now catering to the growing Philippine middle class, it can be especially difficult to land on a savings account that truly works the way you need it to. Follow these practical tips so that you’ll have a savings account that really works for your family:
Have a Good Grasp of Your Family’s Financial Goals
Before committing to your next savings account, identify your family’s financial priorities. Are you saving for education, a home, or long-term investments? Depending on your values and advantages in life, these can be very different for each family. Understanding your specific needs should help you narrow down your choices and avoid products that unnecessarily limit your financial flexibility.
Prioritize High Interest Rates
When in doubt, go for whichever bank offers the best interest rates. Even small rate differences can make a significant impact on your savings over the years because of compounding interest, and you’ll feel it especially if you want your savings to benefit not just you, but your family members. Just be sure to watch out for hidden fees, as many banks use these to offset the costs of offering high interest.
Consider Initial Deposit Requirements
Up until recently, high-interest savings accounts required substantial initial deposits to offset the bank’s risks. Fortunately, this is no longer universally the case, and you will find plenty of banks that offer good rates even with smaller deposit requirements. If you have a tighter budget, opting for a lower minimum deposit can be a better choice, since it will make starting a savings habit for your family more accessible.
Be Wary of Minimum Balance Requirements
Choose an account with a manageable minimum balance that won’t strain your family’s finances. While there are banks without a minimum maintaining balance, don’t leave out those with reasonably small maintaining balances if the other core benefits make sense for your family.
Look for Easy Access to Funds
Though savings accounts are geared towards preserving and growing wealth, they should still offer reasonable access to your hard-earned cash. Make sure the banking product you choose offers modern accessibility through online banking as well as through sufficient numbers of ATMs close to your home and workplace.
Check Your Prospective Banks’ App Reviews
These days, the bulk of your banking interactions are likely to be done over banking apps. For that reason, banks with good app experiences should be put ahead of your shortlist. Make sure that the majority of the things you need to do, like account management, transfers, and balance checks, can be accomplished over the app with no issues.
Check for Unique Features and Rewards
Some savings accounts come with added perks, such as accelerated access to credit, discounts on partner establishments, or access to financial advisory services. Some even offer access to pet insurance and other things relevant to modern Filipino families. If you have a tough time choosing between similar banking products, compare their perks to see which ones most closely align with your family’s lifestyle.
Explore Joint Account Options
For dual-income families, joint savings accounts can simplify financial management and allow resources to be pooled more transparently and effectively. Find a bank that offers flexible joint account options alongside good basic features so that it can actually protect your family’s collective funds. Discuss how the account will be used, and set clear boundaries to ensure that all family members are aligned on their contributions and savings goals.
Rethink and Reinvent Your Family’s Finances
Generally speaking, the savings accounts you started earlier in life may not be what you need when you start raising the family. Picking a savings account from a bank that is sensitive to your needs as a parent can secure your family’s financial security in ways that your first bank account probably couldn’t.
If your current savings account isn’t meeting expectations, it’s probably time to rethink your options. Explore better alternatives that offer higher interest rates, greater flexibility, and perks that match your household’s needs. When you’re ready to switch banks, take all the time you need to explore your options so that you can make the best decision for your family’s financial stability.
Related Articles:
– Effective Tax Management: A Guide for Freelancers and Small Businesses
– 10 Things to Know Before You Retire
– 7 Tips for Moms Launching Their Own Online Businesses
– The Work Visa: A Comprehensive Guide for the Global Workforce
