Financial Dictionary - Online account
An online account is a type of bank account that the customer opens online using the bank’s website or app. The contract between the customer and the bank is signed over the internet.
Many financial institutions offer online accounts with very low fees, and even sometime zero-fee online accounts
You can use online accounts for the same things as with other accounts: making deposits, arranging to have your salary paid into your account, paying bills, withdrawing cash from an ATM or making transfers.
There are many different types of online account, and they are becoming very popular. The most common types of online accounts are savings accounts, current accounts and interest-bearing current accounts.
Online account requirements may vary depending on each financial institution. However, the most common requirements are that the institution may require you to pay a bill by direct debit; or to make a minimum use of an associated card; or to carry out transactions exclusively over the internet or by phone.
One of the main advantages of online accounts is that they are available 24 hours a day, 365 days a year, so we can use them at any time of the day and from anywhere.