Written: June 11, 2019 - Rejected
Different Fees to Evaluate With Checking Accounts
A checking account is a great tool for managing money and in keeping your savings safe but easily accessible. This advantage comes with fees and charges. There are banks and credit unions that charge fees upon owning a checking account and it can range from 4-20 dollars. Depending on which bank and account type you hold, the fees can go higher.
Before opening a checking account, you may want to ask your preferred bank for a printed copy of the various fee schedule. Some banks have a long line of fees that will make you think twice about maintaining a checking account.
These fees also change from one bank to another and it changes from year to year. Here are some of the most common fees associated with checking account:
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l Abandoned Account - There are different laws for this case, but dormant accounts are turned over to the state after the bank deducts a huge fee.
l Account Maintenance - Most banks charge a monthly fee for checking accounts whatever the balance is.
l Early Account Closure - Usually, an account closed within 90-180 days after opening are charged a fee.
l Account Reconciliation - If there is a discrepancy between your records and the bank, the bank often charges a minimum of one hour for a per-hour account reconciliation fee.
l ATM Charges - If you linked an ATM from another bank to your checking account, you will be charged a fee by your bank and the bank from where your ATM comes.
l Check Printing - Most banks charge for check printing.
l Counter Checks - If you forgot your checkbook or run out of checks, your bank can give you several complimentary but more than that, there is a fee.
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l Debit Cards - Purchases made through debit card connected with your checking account will be deducted from the main account, but banks today are charging a fee for each purchase.
l Deposit Item Returned - in case your deposited check in your checking account bounces, you will have to pay a fee.
l Inactive Account - a monthly or quarterly charge is assessed by banks when there is no activity in your account for a certain period of time. Some banks charge accounts which became inactive for 90 days and beyond. You may avoid these fees if your balance is kept at a specific level.
l Cashier’s checks and Money Orders - there are fees charged for these types of services, but usually, a cashier’s check is more than the cost of money order.
l Monthly Service Fees - Some banks charge accounts when they go beyond a certain balance set.
l NSF or Non-Sufficient Funds - If you issue a check without sufficient funds and it bounces, you will pay one of the highest per-item fees that a bank charges.
l Overdraft - this service happens when you overdraw from your account and the bank paid for the check or debit. Your check will not bounce, but you will pay a fee that the bank charges for this.
l Stop Payment Order - Your bank may also impose a fee when you issued a check for something then changes your mind and ask the bank to cancel the check.
Checking Account Without Fees
There are many ways to avoid fees that comes with checking accounts, one of the best way is to open an account that in banks that offer free checking accounts. Find online banks that offer these services for free along with better interest rates, higher returns and without much effort on your part.
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