{"id":942,"date":"2016-02-01T07:00:59","date_gmt":"2016-02-01T15:00:59","guid":{"rendered":"http:\/\/www.checkworks.com\/blog\/?p=942"},"modified":"2016-02-15T14:36:07","modified_gmt":"2016-02-15T22:36:07","slug":"banks-and-fees-dont-get-ripped-off","status":"publish","type":"post","link":"https:\/\/blog.checkworks.com\/index.php\/banks-and-fees-dont-get-ripped-off\/","title":{"rendered":"Banks and Fees &#8211; Don&#8217;t Get Ripped Off!"},"content":{"rendered":"<p><a href=\"https:\/\/www.checkworks.com\/blog\/wp-content\/uploads\/2016\/01\/bigstock-Old-bank-sign-engraved-in-ston-92873369.jpg\" rel=\"attachment wp-att-943\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-943 size-large\" src=\"https:\/\/www.checkworks.com\/blog\/wp-content\/uploads\/2016\/01\/bigstock-Old-bank-sign-engraved-in-ston-92873369-1024x683.jpg\" alt=\"Old bank sign engraved in stone or concrete above the door of financial building concept for finance and business\" width=\"625\" height=\"417\" srcset=\"https:\/\/blog.checkworks.com\/wp-content\/uploads\/2016\/01\/bigstock-Old-bank-sign-engraved-in-ston-92873369-1024x683.jpg 1024w, https:\/\/blog.checkworks.com\/wp-content\/uploads\/2016\/01\/bigstock-Old-bank-sign-engraved-in-ston-92873369-300x200.jpg 300w, https:\/\/blog.checkworks.com\/wp-content\/uploads\/2016\/01\/bigstock-Old-bank-sign-engraved-in-ston-92873369-768x512.jpg 768w, https:\/\/blog.checkworks.com\/wp-content\/uploads\/2016\/01\/bigstock-Old-bank-sign-engraved-in-ston-92873369-624x416.jpg 624w\" sizes=\"(max-width: 625px) 100vw, 625px\" \/><\/a><\/p>\n<p>Depositing money\u00a0in a bank is safe, right? But did you know your money\u00a0can be eaten up by fees in no time. Avoid Bank\/Credit Union Fees!<\/p>\n<p><!--more--><\/p>\n<h3>Avoid\u00a0the Low Balance Fee\u00a0(aka Minimum Balance Fee, Monthly Service Charge)<\/h3>\n<p>This fee is charged by financial institutions on customers they feel will cost them. If you have a low balance they have to pay for systems and people to maintain your account, with no return for that &#8220;investment.&#8221; They assume you won&#8217;t take out a loan, you use multiple institutions,\u00a0and it will cost them more to have you as a customer. The fee they charge helps them to cover\u00a0that extra cost.<\/p>\n<p>You could bank elsewhere, but\u00a0many institutions also offer &#8220;free&#8221; accounts. You just have to\u00a0use certain services, or interact with them &#8220;X&#8221; times per month. This brings non-interest income to the financial institution, so they don&#8217;t mind your low balance.<\/p>\n<p>&nbsp;<\/p>\n<ul>\n<li>Use direct deposit (even just $100)<\/li>\n<li>Use\u00a0online <span class=\"scayt-misspell-word\" data-scayt-lang=\"en_US\" data-scayt-word=\"billpay\">billpay<\/span><\/li>\n<li>Receive <span class=\"scayt-misspell-word\" data-scayt-lang=\"en_US\" data-scayt-word=\"eStatements\">eStatements<\/span><\/li>\n<li>Use\u00a0a debit card &#8220;X&#8221;\u00a0times per month<\/li>\n<\/ul>\n<p>Don&#8217;t assume opening a &#8220;fee-free&#8221; savings or money market accounts is a way to avoid these fees.\u00a0<a href=\"http:\/\/www.federalreserve.gov\/boarddocs\/supmanual\/cch\/int_depos.pdf\" target=\"_blank\" data-cke-saved-href=\"http:\/\/www.federalreserve.gov\/boarddocs\/supmanual\/cch\/int_depos.pdf\">Regulation D<\/a> limits the number of pre-authorized withdrawals and transfers from both savings and\u00a0money market accounts. Exceed the maximum of 6\/month? You&#8217;ll\u00a0be hit with a whole other kind of fee.<\/p>\n<p><strong><span style=\"font-size: 12pt;\">Avoid Bank Check Fees<\/span><\/strong><\/p>\n<p>No one is safe from this fee. You need checks to pay your mortgage, bills etc. The banks know this and have taken steps to profit from it by charging $30-$60 for a standard single box and even double that for their business who have additional uses for checks (i.e Payroll,vendor and supplier payments). They contract a printing company and then add a middle man fee to the actual check price often as high as 100% so that they receive a commission from your purchase. You can avoid these fee&#8217;s entirely by shopping at an independent check printer like <a href=\"http:\/\/checkworks.com\/\" target=\"_blank\">Checkworks.<\/a><\/p>\n<div>\n<\/div>\n<h3>Avoid the Stop Payment Fee<\/h3>\n<p>Whether you&#8217;ve lost a check, canceled a transaction, or \u00a0sent\u00a0out a duplicate payment, this type of transaction is going to cost you. The <a href=\"http:\/\/www.mybanktracker.com\/news\/stop-payment-fee-comparison-top-10-us-banks\" target=\"_blank\" data-cke-saved-href=\"http:\/\/www.mybanktracker.com\/news\/stop-payment-fee-comparison-top-10-us-banks\">average stop payment fee<\/a> is $32.40. That&#8217;s bad enough, but that stop payment is only good for six months, then <span style=\"font-size: 10pt;\">your<\/span> check may be considered stale dated, but there&#8217;s <a href=\"http:\/\/www.nytimes.com\/2010\/07\/25\/your-money\/25haggler.html?_r=0\" target=\"_blank\" data-cke-saved-href=\"http:\/\/www.nytimes.com\/2010\/07\/25\/your-money\/25haggler.html?_r=0\">no rule saying a check can&#8217;t be cashed<\/a>. That decision is left up to the bank being asked to cash the check. So after six months you can place another stop payment, and continue to do so every six months. That&#8217;s going to add up!\u00a0Your best bet is to weigh the cost. If the check amount is actually lower than the cost to stop the payment, let it go. If the check has been lost, what are the odds it&#8217;ll be found? It may be better to just take the risk.<\/p>\n<h3>Avoid Balance Transfer Fees<\/h3>\n<p>This is a tricky one, and usually a guaranteed charge with a new credit card. Do your shopping. There are many institutions \u00a0offering $0 Balance Transfers. There is usually a time limit to transfer the balance, but some offer no transfer fee, ever! Try sites like <a href=\"http:\/\/www.nerdwallet.com\/balance-transfer-credit-cards\" target=\"_blank\" data-cke-saved-href=\"http:\/\/www.nerdwallet.com\/balance-transfer-credit-cards\">nerdwallet.com<\/a>, <a href=\"http:\/\/www.creditcards.com\/balance-transfer.php\" data-cke-saved-href=\"http:\/\/www.creditcards.com\/balance-transfer.php\">credit.com<\/a>, and <a href=\"http:\/\/www.cardhub.com\/credit-cards\/no-balance-transfer-fee\/\" target=\"_blank\" data-cke-saved-href=\"http:\/\/www.cardhub.com\/credit-cards\/no-balance-transfer-fee\/\">cardhub.com<\/a>\u00a0for a list of zero cost transfer cards.<\/p>\n<h3>Avoid\u00a0Overdraft Fees<\/h3>\n<p>This is an easy one to avoid all together. Make certain you know your balance, and any payments scheduled. But accidents happen, and emergencies arise. Knowing your options can save some if not the entire fee.<\/p>\n<p>Some\u00a0student-checking options come with an &#8220;<span class=\"scayt-misspell-word\" data-scayt-lang=\"en_US\" data-scayt-word=\"Ooops\">Ooops<\/span> Policy&#8221; that allows for a certain # of overdrafts per year, or free automated transfers from a savings or credit line. Most banks\/credit unions will also waive the fee if it&#8217;s your first time. Just call as soon as you see and and politely explain what happened. It will not be as easy a second time (or a third).\u00a0\u00a0Also, if you bounce one check, they draw out the fee, and then cash the next check and charge another fee, etc. etc.\u00a0Some have a maximum allowed on # of items, $ amount of fees, or other limits. Just know your bank.\u00a0If you overdraft\u00a0(no <span class=\"scayt-misspell-word\" data-scayt-lang=\"en_US\" data-scayt-word=\"judgement\">judgement<\/span>, just know your type), be aware of these fees. Opt-in for overdraft to prevent yourself being caught short, but also look into\u00a0a line of credit or back up account to cover you. Transfers from those options are usually lower than the average\u00a0overdraft fee ($10 &#8211; $38).<\/p>\n<h3>Avoid ATM &#8220;Balance Check&#8221; Fees<\/h3>\n<p>You use an ATM to check your balance before making a purchase. You&#8217;re responsible, you want to make sure you have enough. You agree to the ATM fee and select &#8220;check balance&#8221;. But they get you in the end. Your institution may charge\u00a0a fee for balance checks.\u00a0Solution? Use your institution&#8217;s mobile app.\u00a0It&#8217;s free, and you can check balances and so much more!<\/p>\n<p>With increases to regulations, comes a decrease in banks&#8217; and credit unions&#8217; ability to earn money. Fees are on the rise. Shopping for your best options\u00a0is time well spent.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Depositing money\u00a0in a bank is safe, right? But did you know your money\u00a0can be eaten up by fees in no time. Avoid Bank\/Credit Union Fees!<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[62,30],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/posts\/942"}],"collection":[{"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/comments?post=942"}],"version-history":[{"count":4,"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/posts\/942\/revisions"}],"predecessor-version":[{"id":967,"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/posts\/942\/revisions\/967"}],"wp:attachment":[{"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/media?parent=942"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/categories?post=942"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.checkworks.com\/index.php\/wp-json\/wp\/v2\/tags?post=942"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}