Benefits of Student Account
A student’s pocket is never quite as full as he/she wants. Certain necessities come up after starting school and also students want to have the same or better things than their friends.
One way to solve is to have a savings account which can provide monetary support when the time comes. The good news is that almost all banks are now offering student account besides regular savings accounts specially-made for the students.
A regular account can serve the purpose of a savings account but doesn’t provide any special benefits for the students. It has long-term savings plans while students need short-term schemes. Today’s banks provide these schemes in a student account. These accounts are usually offered to full-time regular students.
The key benefits of these accounts are
- Unlimited debit transactions
- Little or no monthly account fees
- No requirement for a minimum balance
Some banks even come up with free online statements and record keeping. These offers are sometimes made available only for the students from 13 to 16 years of age.
What are the benefits of a Student account over a regular account?
There is a special kind of student account as offered by many popular banks. This is designed for those who have enrolled in a four years university degree. These accounts give educational loans with a minimum rate of interest. This offer is even extended after the graduation period without additional fees or interests and with the amount being lower than the regular personal bank accounts.
A student is given up to 10 years to pay these debts. This might help the students who can’t afford to enroll in an expensive course. Some banks have collaborations with universities so that the students can pay their tuition fees directly from their bank accounts in a secure way.
There is another special benefit for the students. Some local banks offer credit cards/ debit cards for them with extra privileges. These cards usually bear no annual fees and have some minimum expenditure plans. Students are allowed to use these cards for free when they use more than a certain amount.
Some accounts have finance tracker embedded which helps the students to monitor their account activity and manage their monthly expenses wisely. Banks like Scotiabank, CIBC, TD Canada Trust, Laurentian Bank, etc. have their own optimized schemes for students.
Moreover, accounts specially designed for the students to relieve them from the tension of financial management. Thus, they can focus fully on their studies and perform well enough.
In 2017, a new Canadian mortgage law specified that every Canadian who was applying for an unsecured mortgage at a federally regulated financial institution had to pass a mortgage stress test. Even a hefty down payment was not a sufficient reason for waiving the test....