Banks make the most profit on checking accounts because they pay the lowest interest. They are handy because all regular occuring bills are paid automatically in full each month like my credit card. I put every purchase I can on my credit card. I also have direct deposit of my pension. All I need do is check on line and see how my budget is going. When I end up with an excess, I go to bankrate.com and find the highest yielding CD and write a check to buy one. Banks make a difference between "new money" and "old money." The introductory CD pays the most. When it comes time to roll over, I print up the bankrate.com sheet of rates for surrounding banks and ask if my bank will match the rate. 1/2 the time they do. Otherwise I cash out with a check and get a new CD at the bank with the highest rate. There can be a spread of 2% between banks. That would be $20 for every thousand dollars per year. Since they are all FDIC, it does not matter what bank I use.
