Bank Fee Soars With Decline Of Free-Checking Offers

The average maintenance monthly fee related to checking non-interest accounts is $5.48. This was a 25% hike compared to last year’s situation. Similarly, the fee for overdraft is also at a record all-time high. With fees going up, free checking is gradually becoming an extinct service. All the indications point out that this trend is going to continue for the time being.

Today is miniscule 39% major U.S. banks are offering a non-interest checking account having no fee. This is a miserable figure from staggering 76% just three years back. In 2011, it was 45% and from then on words there is an ongoing steady decline.

The Reasons:

This is a result of the federal regulations, which reduce bank revenues from debit card swiping fees and overdraft fees, and the bankers are responding to this. Free checking account is simply a casualty of new banking regulations and customers have nothing to do but bear the situation.

Avoiding The Fees:

In order to get a free account one can go for direct deposit signups. This is the commonest string and a comparatively low hurdle, which anybody can clear. In order to waive the related fees, many banks require at least a minimum balance and it can even reach thousands of dollars. Another option is moving the money around. It is necessary to find an appropriate financial institution including online or community banks and credit unions. These offer a free checking whether no qualification requirements.

Future Planning For Cash:

In order to avoid paying fees it is a good idea to go for personal bank ATMs and those, which are present within the network. Purchasing with credit/debit card is also a money back proposition. There are no fees in such situations.

Avoid Fees For Overdraft:

Overdrawing on account can be a big mistake for account holders. It is necessary to monitor individual accounts for automatic payment of bills, cash withdrawals, and charges for debit card. Those who want can easily check balance on the web and even use the phone. Instead of paying a hefty overdraft fee, it is a good idea to connect the checking and saving accounts. It is easy to tap it in case of overdrafts.