When you apply for a personal loan , the amount taken is deposit in a bank account in your name. This account must be current. Ask questions about borrowing using other types of bank accounts.
Is it possible to get loan in a savings account?
You cannot use a savings account to take out a loan or, for example, to have a checkbook. Also, in this type of bank account there is no overdraft limit. This means that it is only possible if you use the maximum balance in your account.
And the salary account?
The salary account only allows the receipt of salary, retirement, pensions or the like. This type of account does not support other types of deposits other than credits made by the paying entity. In addition, the salary account is not movable by checks.
With these rules, it is not possible to take out a loan using a paycheck account.
A college account is a form of checking account and can be accepted for borrowing. However, in some institutions this account may have restrictions. You need to check with your bank.
How to open a checking account?
Opening a checking account starts with choosing the bank. There are even options now for digital accounts, which does not require customers to go to an agency to open their checking account.
After choosing the financial institution, the customer should choose the type of checking account that exists. One of the options is the electronic account. It has no fees because it is aimed at customers who use only the bank’s electronic channels (internet, ATMs and mobile). However, in this basic account, the customer will only be entitled to a debit card and no check sheets.
If you opt for a checking account that includes non-electronic services (telephone, cashier, etc.), a monthly fee will be charged by the bank for the services.