Don’t Let Surprise Fees Break Your Bank
June 6, 2008
By Mukesh Chatter
We’ve all experienced the different fees banks charge, whether it be ATM fees, minimum balance fees, or annual fees. Certainly, we can understand how there are some fees that banks must collect in order to make a profit, but there are also some simple ways to avoid being surprised by random bank fees. I've been reading up a bit on reducing fee frustration and thought I'd share some of my findings with you all.
1. Read all bank correspondence – I know we are all very busy and reading through every piece of collateral you receive from the bank isn’t high on a list of things to do, but by just keeping an eye out for updated fee schedules or new terms and conditions we can become more aware consumers. Be sure to watch for unmarked mail – banks often send important announcements in unimportant-looking envelopes.
2. Review your bank statement – Paper bank statements are vanishing as many consumers move to online banking. But regardless of how you receive your bank statements, you shouldn’t neglect them. Keeping up-to-date on statements is crucial for sound financial planning. Tracking statements will not only help you understand bank charges, but will give help you guard against the possibility of fraud or ID theft.
3. Call a bank representative – Sitting on hold for 10 minutes isn’t the best use of anybody's time, but you can quickly learn about all of the fees associated with your account when you finally do get a customer service representative live. If you ever see a random fee on your statement without a detailed description, this may be the only way to find out what the fee is.
4. Look in to other options – It is somewhat of a hassle to switch banks, but you’ll enjoy your banking experience more if you are at a place where you aren’t befuddled by the exorbitant amount of fees. Research all of your options – national banks, community banks – before taking your money elsewhere. If you have some extra disposable income, look into other financial tools to build your portfolio, including IRAs, 401ks, certificates of deposit, high-yield savings accounts, stocks, bonds, etc.
The bottom line is this: You work hard for your money, make sure your money sticks around long enough to work hard for you.
Similar Posts (bank rates)
FDIC: A Reliable Friend
Add a Comment