Article by susan ennis
Tips on how to Save Fees within Banks
Most of us assume that depositing money into a bank is a very secure and smart style of saving. It can be, if we are aware when dealing with banks. Banks, even credit unions, are not charitable institutions, they are profit driven corporations that charge various levels of fees and have a large assortment of fee structures created to increase their profitability. During a credit crunch we need to save, not spend. Over the course of a year you can save some substantial money of a percentage basis if you use the following tips:
Be aware of the Opportunity Costs
What factors are effecting your money inside of your bank account. Are you being charged fees by the bank for simply giving them the opportunity to hold your money, which they make a profit off of by lending to other banks in the overnight lending market. Logically you shouldnt be paying to make them money. Does your bank require a minimum balance within your account? And if you are under that balance are you charged an additional fee? You may be interested in some of the other options that are available to you. You should be aware of the opportunities that you are forgoing by holding your money in a straight bank account. You may be interested in comparing your current terms vs the terms of other banks. You may be able to find a lower cost option. Also, if you present research to your bank rep they will likely meet or exceed the other banks rates, which obviously will lower your own bank bill at the end of the year.
Balancing Your Books
Always make a point to keep your checkbooks balanced at the conclusion of each and every month. Fees coming from stops and NSF fees can add up quickly. The average fee for getting hit with an NSF cheque is now $ 35 and up. Some see an NSF here or there as no big deal but they can quickly add up. Let
Related articles: