Online Banking: A Bank of America Alternative!

Maintenance fees are now common for people who own checking accounts. Banks are now charging for something that is free a decade ago. This is because limitations in the financial regulation system causes them to have restrictions on obtaining revenue so what banks do is to look for ways on how they can generate profit with these limits. Unfortunately, charging fees on checking is one of them.

Bank of America is one of the banks that started charging fees. They charge a fee if the consumer has a balance below the minimum or they are not opted in direct deposit. Customers should maintain a balance in order for them to avoid the fee or have their employer directly deposit their checks to their account to have the fee waived.

The main point why banks require these things is because firstly, they need an amount of money that they can work with so it would bring them profit, in this case, the minimum balance. Secondly, they need activity on the account so they are sure that money is circulated in the firm, so they prefer direct deposit because it ensures them that there is activity every month or even bi-weekly.

So, what about those people who have employers who prefer checks being given out to them manually or people who are contractors who have income for just a period of time or those who are unemployed? They will definitely be charged a fee. So, as a solution, Bank of America suggests e-banking. When you go online banking, there is no minimum balance and no maintenance fees. As long as you do your account updating and deposits through their website and do withdrawals in ATMs, then you will no longer be charged a fee for it. This also covers your statements. If you opt in receiving paper statements, this will cost you a fee so better stick with paperless communication and statements with your bank. This can be sent to your personal email or to your own account online.

If at one point you really need to do a transaction in a branch, it will cost you that fee. It is $8.95 a month but for that month only that you had to do it in the bank. So, if you incurred that fee because of a transaction, just make your other transactions for that month to be over-the-counter because you will still have that fee anyway.