Tuesday, 02 December 2008 00:00

I'm sure you've seen many bank giveaways (I call them swag) to entice you into opening a checking account. This ad (shown below) popped up on my screen and reminded me how important the amount you "keep" in the bank matters for your loan approval.

Banks want to see you have enough cash flow to make payments on a loan and of course to see how much your entire account is worth to them (such as interest from your account). So, when National City offered $150 just to open a checking account, you can see it's important. Here's a tip: start looking at your bank statements and calculate the average amount you keep in the bank. It's one of the fields we ask for on MoneyPath and just as you'll need collateral to get a loan, another major factor is your deposits.