Debt Management ? Watch Out for Bank Fees!

During the last twenty years, banks have offered a number of improvements in the area of being customer-friendly. The old 9 AM ? 2 PM "banker's hours" are gone, replaced by a schedule that makes it easy for most people to visit when the bank is open. Automatic teller machines are ubiquitous, making it easier to obtain cash even when the banks are closed. And the debit card has made it easier than ever to pay for an item ? you don't even have to write a check anymore. Such conveniences come with a price, however, and banks are charging additional fees for all sorts of services. Some of them can be quite steep, and consumers should watch how they manage the money they have in the bank.

Banks have been talking for years about how convenient it is to use an automatic teller machine. You can use one 24 hours a day and the handy machines often make it unnecessary to interact with a teller. What many banks fail to advertise, however, is that they now charge a fee for any transaction that involves a teller. Most people probably wouldn't care to pay a $3 fee to walk into a bank to deposit a check, but since many banks charge such a fee, consumers should check their bank statements carefully. Automatic teller machines are certainly convenient, but their use is now mandatory at some banks for no-fee transactions.

Something else consumers should watch out for is overdraft fees. Many banks now offer overdraft protection; you can use your debit card or checkbook to make purchases that exceed the balance in your account. In years past, the bank would have returned the check or denied the debit purchase; now they let the purchase go through. This comes at a cost; the average fee for an overdraft charge is $25. Should you exceed your balance by a mere $10, the $25 charge amounts to a 250% interest rate on the short-term loan of ten dollars. The overdraft business is a good one; banks nationwide earned about ten billion dollars last year on overdraft charges alone.

There are many other situations that banks use to tack on fees, and some of them aren't all that obvious. In order to make sure that your bank isn't charging you more than you'd like for your business with them, make sure that you read your statement carefully. If not, the "convenience" of banking could come at a high price.

©Copyright 2005 by Retro Marketing. Charles Essmeier is the owner of Retro Marketing, a firm devoted to informational Websites, including End-Your-Debt.com, a site devoted to debt consolidation and credit counseling, and HomeEquityHelp.com, a site devoted to information regarding home equity lending.

---

10 Quick And Cheap Ways To Cut Your Heating Bill

When you received an energy (heating) bill last winter, were... Read More

UK Graduates Looking Short-Term At Their Long-Term Financial Responsibilities

With almost two thirds of university entrants from England and... Read More

Succession Planning

Have you ever thought about what you are going to... Read More

Budget Planning - Its Elementary My Dear Watson

Does it feel like you have to be Sherlock Holmes... Read More

I Want to Buy a Home - Now What?

If you were to ask 100 women "What would you... Read More

How to Obtain a Non ChexSystems Bank Account Without Being Scammed

Predatory lending exists in the mortgage industry. It's typically when... Read More

Your Dry Cleaner?s Double Standard

Women are charged more for dry cleaning services. Don't fume,... Read More

One Income Source Is Not Enough!

My personal opinion is that in today's new economy, it... Read More

The Changing Shape of Family Finances

Super-mumsIt seems that the proof of maternal efforts is no... Read More

Money Matters - Really!

One of the biggest challenges facing black RELATIONSHIPS today are... Read More

How to Choose the Right Bank for Your Online Business

You should thoroughly consider your business needs when selecting a... Read More

Identity Theft ? More Tips on How it Can Be Avoided

Recent security breaches at several credit card companies continue to... Read More

How to Save for A Down Payment

Saving for a Down Payment is hard work, so it's... Read More

Save Money on Groceries: Part I

One universal of humanity, no matter who you are or... Read More

More Money? My Cup Runneth Over...But Im Still Thirsty

Most of us, especially those of us who have debtor's... Read More

Money Saving Tips. Maximize Savings on Everyday Items!

Frugal living is more than a lifestyle. It's a passion.... Read More

Planning Your Financial Future

Millions of people give a lot of thought to financial... Read More

Financial Readiness: Preparing for BRAC (Base Realignment And Closing)

The recommendations for military base closings have been released and... Read More

Personal Finance - Have Consumers Had a Belly Full of Personal Debt?

For months, we were trigger-swipe happy, putting our groceries, clothes,... Read More

Budgeting Made Easy

Well, dang! From what I've heard and read, it looks... Read More

How to Balance Your Checkbook ? Get a Calculator and Pencil and You are Ready To Go!

Despite how easy it is to balance a checkbook, very... Read More

The Magic Of Compound Interest

Christians are called to be good stewards of God's resources.... Read More

Financial Security

1) HOW TO LOOK FOR A JOBA) The Chronological Curriculum:1.... Read More

Are You Sick of the Financial Insecurity of Fluctuating Seasons and Income?

Finding a stable and secure income that will come year... Read More

Safely Save for Your Childs University Studies Using An Education IRA!

This investment retirement account (IRA) is useful to you as... Read More

How Check 21 Affects You

The Check 21 Law is the new federal law for... Read More

10 Money-Saving Tips

1. If you have your haircut every 3 weeks, try... Read More

7 Simple Ways To Save Money

Each of us knows how to spend money, but do... Read More

5 Ways to Absolutely Destroy Your Finances!

Ben Stein has a book called How to Ruin Your... Read More

Five Secrets for Long-term Financial Success

Future financial success is not a guarantee that any one... Read More

Should You Borrow From Your 401(k) Account?

If you have a 401(k) account, it can be very... Read More

Single Mother and Learning how to Save

Saving may seem easier if you were saving for a... Read More

The Benefits of Banking Online

How many drawers did you have to look through to... Read More