Bounce Energy Savings

Banks could be described as a necessary evil; we need them to save money and earn interest and at times, to get loans for large-scale purchases but bank fees can cost you. Bank fees aren’t as simple as you might think either and thanks to federal regulations, banks can infer fees in ways you may not realize can or will affect your account. This is especially true given the changes that will occur in 2012 and many banks will institute fees simply for having an account. Despite the inevitable fees, you do have a choice in many cases and you can effectively control how much you ultimately forfeit to your bank.

ATM Surcharges

ATM fees have been rising steadily, as banks scramble to make up for lost revenue due in part to a faulty economy. Unfortunately, many people don’t realize that simply taking money out of an ATM that isn’t affiliated with your bank is only half the problem, and cost. You’ll get charges both by the bank you take the money from and often, by your own bank as a penalty for going “out of network.” Fees can be as much as $5 now, so it’s possible to get money out of an ATM and end up paying $10 more on top of what you took out. These small charges, over time, can add up quickly.

Minimum Balance Fees

In another effort to offset losses, banks have instituted or increased minimum balance fees. These fees can vary according to the type of account your choose and each bank can choose the minimum amount required to avoid fees. It’s important to be aware of these fees, which can range from $5 to $10 a month and can add up quickly. Minimum balance fees should also be taken into account when you’re balancing your checkbook. If you live your financial life close to the edge frequently, a single minimum account balance fee can throw you into a negative balance, triggering even more fees for lack of sufficient funds.

Overdraft Fees

The United States Federal Reserve introduced changes in 2010 that required customers to opt-in for making purchases that would place your account in a negative balance. While many touted these changes as a boon for consumers, they may have actually inadvertently encouraged even more overdrafts. Consider that if you’ve opted in, you can make a purchase that will put your account over the proverbial edge into the negative. At that point, yes, that purchase has been covered but the negative balance has always triggered overdraft penalty charges. These charges will occur if any transaction occurs when your account is in the negative and can be as much as $35 each time an attempt is made to withdraw money. If you’re a diligent person who keeps track of how you use your debit card, you may be lucky but many people forget the bills that are paid from their account through automatic withdrawal.

Maximum Number of Transactions

Many people who found themselves unemployed in the recent past opted to get a debit card through a bank, and have their unemployment benefits directly deposited. Some banks however, have instituted a maximum number of transactions you are permitted with your debit card. After that point, usually averaging four transactions, your bank charges you for every transaction. While this can affect anyone with a debit card, those who are unemployed and living on a significantly limited income were shocked to find fees of $1 to $3 for each additional transaction. These fees can quickly add up, particularly if you tend to only take small amounts of cash out at any one time. If you have a debit card, it’s important to ask your bank representative about any fees that you might incur after a certain number of transactions. Ignoring these types of “hidden” fees risks overdrafts that can add even higher fees.

1. mike says:

   January 23, 2012 at 4:34 am

   Those who run banks and those who develop these fees for the banks have a special place in hell waiting for them. Especially those who have outsourced US jobs to India, China, Vietnam, Costa Rica, Estona, Ireland and a slew of other nations while sending perfectly good US workers to the streets.