Preston never opened his bank statements, so he was surprised to see that he had incurred a service charge, because his balance went below a required minimum balance. In addition, he did not earn interest for this month. What kind of account does Preston have?

The answer is: Interest earning checking account

Explanation:

An interest earning checking account is a checking account that pays you interest. Usually checking accounts don't pay any interest, that is why banks require a minimum balance.

The advantage over savings accounts is that you don't have any limit over how many payments you can make every month.