Easy Tips to Avoid Exorbitant Bank Overdraft Fees

However, that was what the scenario in 2011. As per recent conditions, certain tips can help a customer avoid such exorbitant overdraft fees to accumulate in his/ her deposit account. One of the easiest ways is to forget about the money that is in the account. While it might sound silly, over the time, the customer would find himself forgetting about a portion of the money and thus, always avoiding overspending. One can put some additional money in the checking account without it being listed in the checkbook.

It’s the same strategy as keeping some extra dollars in the wallet and forgetting about it, only to use it when you are otherwise out of cash. Such a tactic with the checking account will not only help the customer in keeping the balance amount well above zero, but also maintain the necessary minimum balance to avoid the low balance fees. For customers using Internet banking to keep a tap on their checking account, the best way is to check the account every morning to see whether a withdrawal amount that has been already posted tends to overdraw the account. If so, measures can be taken by transferring some additional funds to the account immediately.

If there is any overdraft pending in the account, the customer should transfer some money by the end of the same day. If the customer has a savings account with the same bank, transferring money online to the checking account becomes easier. He or she can also visit the bank branch physically and deposit the money in the account by the end of the day to avoid significant overdraft charges or low balance fees. Another way is to use a credit card instead of checks while keeping a tap on the spending. The customer can always check online to see whether any credit card payment is causing the checking account to go on an overdraft.