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Spotting Hidden Fees In Your Checking Account

Did you know that some checking accounts can have as many as 30 to 50 individual fees? Plus, many banks still don’t provide a comprehensive list of fees and charges to a customer before they sign up for the account in question. That’s why it’s so important to do your homework to really understand what fees you are going to be responsible for before you sign up for any new account. You may have to ask for some information, but a well-informed consumer is always the smarter consumer. Here are a few ways to help find all those hidden fees in your checking account.

Fee Schedule

Ask your banker for a complete fee schedule for your bank account. In fact, ask any banker for any bank account you may even be considering. You can then sit down with a full, comprehensive list of all the fees associated with each bank account option to find the account that will work best for you. Keep in mind, these schedules can be long and very tedious to read, however, if you want to save money in the long run, it’s worth trying to decipher the legalese to know where all your money is going.

Think About Behaviors

Many fees are only triggered with certain behaviors. For example, most banks charge an overdraft fee of anywhere from $25 to $50 per overdraft item. If you’re not the type to ever overdraft their checking account, then this isn’t a concern for you. On the other side, if you tend to overdraft your account a lot (or even a little) this is one area you’ll want to find solutions for, like overdraft protection or an attached savings account. Think about your own spending behavior and you’ll be able to spot which fees will even impact you at all.

Be Totally Sure

You may be tempted to sign up for a checking account quickly, assuming you can just close it should you find a better deal. However, many banks require you to keep your account open for a specific amount of time, or else face even more fees. Some banks charge as much as $25 or $50 for closing an account within 90 days. To avoid that fee, be sure that you have the account that works for you before you sign on that dotted line.

Paper Fee

Yes, even paper has a fee these days. One fee that is often overlooked is the statement fee, which many banks charge for you  to receive a paper version of your monthly statement. On the other side, some banks offer a discount to opt out of receiving paper statements. You could save as much as one or two dollars a month just by telling your bank to email your monthly statement. Sure, it’s only a buck or two, but that adds up over time, and it’s better in your pocket than if you have to spend that money in additional hidden fees.

Human Fees

If it wasn’t already frustrating that you’re charged a fee for getting a paper statement, most banks these days charge you for talking to a teller for some transactions. Many banks have ATMs that offer simple transactions like deposits, withdrawals or account inquiries. If you opt to use a teller to make those easy transactions instead of the ATM, you may be paying a fee for that service. Instead, if you’re the type of person that prefers to do face-to-face business, then check to see if the checking account you’re seeking has the ability to consult a teller for free with other checking plans. It may not be a free account, but you may end up saving money in those hidden fees.

Deborah Flomberg is a theater professional, freelance writer and Denver native. Her work can be found at Examiner.com.

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