What Is Personal Banking?

Personal Banking is a branch of the banking system that caters to individuals rather than corporations. This form of banking offers a variety of services, including checking and savings accounts, credit cards, mortgages, and online banking.

The term “personal banking” is not standardized across the industry, but it generally refers to bank products and services that are targeted toward consumers or families. These include brokerage, retirement planning, and insurance services.

A personal banker is someone who works in a retail banking branch to help customers manage their finances. They typically sit at large, L-shaped desks near the lobby and are responsible for helping customers with a wide range of needs.

They help customers open new checking Personal Banking and savings accounts, obtain home and auto loans, and invest in a variety of banking products–certificates of deposit (CDs), money markets, and other commercial banking products. While a business degree is helpful, the most important skill for a personal banker is the ability to build relationships within a local community.

Unlike investment bankers, who work in large offices with a focus on Wall Street clients, personal bankers spend most of their time in the local branch. They also have to be familiar with local politics, business trends, and the financial needs of their customers.

To do their job successfully, personal bankers must be able to communicate clearly and confidently with customers about financial products. This includes explaining terminology such as interest rate swaps, credit default swaps, and collateralized debt obligations.

Some of the most common financial products a personal banker can offer are:

Checking Accounts

These accounts are the backbone of every financial plan. They allow you to keep track of your bills, pay them on time, and maintain an even balance between income and expenses. They also have features such as overdraft protection and a round-up option, which puts excess change in a separate savings account.

Savings Accounts

These are essentially mini-savings accounts that offer some interest on your funds. They are a good place to stash your extra cash while you are working on big-picture goals and for emergencies like job loss or health problems.

In today’s world, many people are using internet banking to manage their accounts. This service is available through most banks and provides a lot of benefits to the consumer.

It can be done through any computer or mobile device. It has made the whole process of banking more convenient.

Earlier, to open an account, you had to visit the bank and fill multiple forms. But with netbanking, this entire process can be completed in a matter of minutes.

Transactional Services: These include fund transfer, auto debit through netbanking, and bill payment.

These services are extremely useful for people who have to make several transactions on a regular basis. They are also a great way to save on the cost of fees. In fact, some of these services can be free! For example, you can set up a standing instruction to automatically withdraw your money on a specific day. You can also set up auto-debit for your credit card bills.