Getting Rid of Bank Fees has been published on Minimalist Finance
One of the worst wastes of money is banking fees. Nobody actually wants to spend money on banking fees, but unfortunately most think that they are stuck paying them. Some people pay upward of $20/month just to have a checking account. Fees typically go up if you surpass the amount of transactions allowable under the plan you have, or if you don’t have the minimum balance required. If you have overdraft protection or if you’ve ever bounced a check, bank fees can become a big budget eater. This is actually something that many people don’t include in their budgets, either. Because it’s automatically deducted from your bank account each month, it’s usually not as painful as having to physically pay a bill, so it’s frequently forgotten. You don’t have to have bank fees, though. There are a few ways to avoid them.
Get the Free Plan
Most banks have a very basic plan that is free. It might only afford you 5 transactions per month, but you can work around that by making one of those transactions the withdrawal of cash. There is no transaction fee on using cash for everything.
Open an Account with a No-Fee Bank
There are more and more banks that are opening up that go with a no-fee structure for a checking account. Consider switching banks to one of those. Credit unions also are less likely to charge a fee for every-day banking.
Never Go Into Overdraft or Bounce a Check
This sounds obvious, but many people don’t practice this piece of common sense. Many people bounce checks because they forgot about them and forgot to transfer the money, so try to set up a system where you are reminded (perhaps in your calendar or set up a reminder on your phone) when the check or payment will come out. Don’t fall victim to costly bank fees. Take these tips and use that money for something you’ll actually enjoy.