Requirements

• To receive cash awards as a new customer, banks may require that you simply maintain the account for a minimum period of time. But service charges might apply during that time unless other conditions are met. An alternative requirement for receiving cash awards is often using direct deposit for your paycheck or having a minimum number of debit card uses per month. Meeting one of the requirements may also avoid service charges. Some banks require that you maintain a minimum account balance to receive a cash award or avoid service charges. The minimum balance may be required for both benefits.
  
  

Fees

• Cash awards for new customers may exceed service charges during a minimum time period for keeping the account. However, a long-term account relationship requires comparing banks for low monthly service charges or minimal requirements for avoiding service charges. In addition to recurring service charges, banks also have hidden one-time fees for new account services. Banks have fees of widely different amounts for special handling services, such as overdrafts.
  
  

Rewards

• Some banks provide other benefits to new customers in addition to cash awards. Some examples are immediate approval of a new credit card or an opportunity for checking customers to obtain low-cost investment products.