Many people would be interested in lowering their bank fees. Here are some strategies that would let you do just that.
If you’re looking for strategies to lower your bank fees, you’re not alone. With certain banks announcing that they would be increasing the fees they charge account holders, many clients have been left dissatisfied. But there are some concrete steps that you can take to minimize the fees that you pay to the bank. Here are some of them:
- Choose the banking package that’s right for you
When you open a free checking account at a Massachusetts bank or anywhere else, you would be offered several different banking packages to choose from. These different packages have different limits on the quantity of transactions that you can make each month. Some packages may also offer unlimited transactions, such as deposits and withdrawals. You would want to evaluate your banking needs, then choose a package that suits your needs based on the amount and type of transactions you make most often.
- Know what the bank charges you for and how much
When you open an account, the bank gives you a document detailing fees that they charge for certain kinds of operations. It would be in your best interest to examine this document and learn about the different charges, some which you may not have been aware of. For example, certain banks may charge fees to receive wire transfers, clear a check drawn on a foreign bank, or charge you relatively high fees for each transaction if you use your debit card in another country, such as Canada or Mexico. Being aware of these fees is the first step that you can take in order to avoid or minimize them.
- Be aware of overdraft charges
Many banks would still honor a transaction up to a certain amount even if you overdraw your checking account. But they would then charge you a high fee, up to $40 in some cases. This means you should keep an eye on your balance to avoid overdrawing your account. Alternatively, you may sign up for your bank’s overdraft facilities, where for a certain monthly fee, you get an overdraft limit that you can use, although you would also pay some interest charges if your balance goes below zero.
- Contact your bank and negotiate
If you were charged a fee that you genuinely weren’t aware of, or if you notice that the packages offered by your bank don’t really suit your needs to well, don’t hesitate to contact your bank, either in person or by phone. Depending on the relationship you have with your current bank, such as the amount of funds you keep in your account and the length of time you’ve done business with them, they may be willing to waive a certain fee on a one time basis, or provide you with banking options and packages that may not be advertised or available to all customers. There is no guarantee, of course, but it never hurts to try.
