Online versus offline banks, who’s better? That depends on who you ask. Offline banks offer convenience with somewhere to go if you have a problem. While online banks don’t provide this convenience, they often provide something else…

Free banking.

Yes, you can bank online with any bank, but that’s not what we’re talking about here. We are talking about banks that offer very similar services to offline (or brick and mortar) banks but have no physical locations to speak of.

Online banks often offer very low to no fees to keep your money with them. Why? They don’t have the same overhead that a traditional bank requires. There’s no building full of people waiting to serve you. They still offer full service; it will just be by phone or virtual meeting. Who isn’t used to talking to each other virtually these days?

Another consideration in deciding between an online bank and an offline one would be one’s preference in using plastic or cash. Most people (especially the younger generation) are very open to using plastic (and regularly do) these days, so this won’t affect most.

However, if cash is more your thing, you want to consider a couple of things. The first is whether the online bank you choose offers to reimburse the fees charged by the bank where you use the ATM. Most online banks will refund these fees but may not reimburse them from all banks. So, it’s essential to know where you can go to get your money to avoid these unnecessary fees.

With an offline bank, they may be less likely to reimburse fees obtained by getting your money from any place other than one of their branches. This is fine if they have plenty of locations available in the areas you frequent, but if they don’t, be prepared to pay anywhere from $2 to $6 in fees per ATM withdrawal transaction.

The biggest headache with online banks is having cash and wanting to deposit it into your account. There really isn’t a way around this. If you come into some money, hold onto it and use it for transactions you would typically use plastic for, as trying to find a place to make a cash deposit is more of a headache than it’s worth. Making check deposits remains just as easy as with offline banks, however, as most banks now allow one to take a picture of the check with your phone to complete the deposit.

It’s up to the consumer whether the convenience of an offline bank is worth the potential cost. According to Forbes, banking fees can run anywhere from $4.95 to as high as $12 per month. So to store your money somewhere, you must pay the bank to keep your money and for the convenience of talking to someone when you want to make a deposit or withdrawal (assuming you don’t just bank with the ATM).

If you are more of a plastic person, it can be wise to stick with online banks for savings in fees and convenience. If using cash is your preference, you may be better off with an offline bank. Just be sure to check out what fees they may charge and where you may get your money. It is possible to secure free banking with an offline bank. Just check the bank’s reputation and make sure you are comfortable with any restrictions placed on you to receive free checking (such as a minimum required daily balance).