Banking Aspects
For security reasons, your personal finances need to be kept separate from
your hobby business finances. Do this by establishing a separate bank account near where
you live but not at the bank where you have your personal account. Find a bank that
offers online banking, free checking, debit card, and banking by mail.
When you find a bank which offers these features, and most do these days,
gather up $100. Go to the bank. Set up your hobby business account. Use your
name. Do not use a business name, ever. Be sure to order a "Deposit
Only" rubber stamp.
Why online banking? With a computer connected to the internet you will be
able to access your account to track deposits and withdrawals from eBay and
PayPal. Most eBay buyers pay with PayPal these days. PayPal is a good thing.
Learn to like it.
Why free checking? This is obvious.
Why banking by mail? You will not want to run to the bank to deposit every
check you receive. But you do need to promptly deposit checks you receive. Now
that PayPal is used by most buyers, you may not receive many checks. But when
you do, then stamp the back of the check with the "Deposit Only"
rubber stamp, fill out a deposit slip, and drop it all in the mail every few
days.
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