QUOTE(emartin74 @ Sep 30 2008, 03:58 PM)
Not sure if this topic is covered elsewhere, but was interested in getting peoples' opinions on online banks vs. traditional "brick and mortar" banks - I have accounts at both, and personally I love my online bank. My other bank, BB&T, has imposed so many fees and so many new rules regarding deposits, etc that I'm beginning to hate them lol. Easier to deposit checks there than to mail them to my online bank though. My online bank does have a "deposit at home" service, but you have to have some kind of credit line with them, such as a credit card or loan, to take advantage of it, and my husband and I don't.
There are valid pros and cons on both sides.
I would only advise someone to select an "online-only-bank" if the country, in which this online bank is placed, is stable and secure. The problem with the online bank, is that you, as a client show them a lot of trust. You can't really talk with anyone in person and you rely heavily on the internet and their systems to be OK and function, otherwise you kindda get stuck.
On the other side, online banks have fever expenses and often offer a bit better depost rates-%.
With regular brick banks, you get personal advice, you have an advisor, you can show up in person and things are maybe easier to cope with.
I personally prefer to have a regular bank that you can enter personally and meet your advisor.
If you start using offshore accounts or have an online business yourself, I would still recommend that you find yourself a physical bank.
So far, the only "major" differences in the online vs. physical banks are the depost interestrates and at times some of the fees associated with mortgages etc.,
I know this may sound like very important things, but there is one thing that is more important and that is TRUST and ACCESS to your money.
If the online bank suddenly "vanishes" into thin air, you'll have no place to refer to.
Select a traditional, established and functional bank to be on "the safe side". But maybe I'm just too conservative