Think your checking account’s just a place to park your money? Not so fast. Some fees are obvious, others sneak in like uninvited guests at a dinner party. Before your balance starts vanishing into the fine print, let’s expose the most common traps—and show you how to dodge them with ease.
Monthly Maintenance Fees
Ever feel like you’re getting charged just for existing? That’s pretty much what a monthly maintenance fee is. Banks can charge $5 to $20 each month, depending on account type, but some let it slide if you keep enough money in the account or set up direct deposit.
Overdraft Fees
Overdraft fees, typically $27–$35 per transaction, are charged when spending exceeds available funds. Many banks provide overdraft protection, which links to a savings account to prevent such charges. In 2020, U.S. consumers paid more than $12 billion in overdraft fees, according to Bankrate data.
Non-Sufficient Funds (NSF) Fees
Unlike overdrafts, the transaction fails when your account lacks funds, and an extra NSF fee is processed. These fees can cost as much as $34. Want to avoid them? Keep an eye on your balance. Thankfully, as shown in CFPB reports, some banks are dropping these fees entirely due to customer pressure.
ATM Fees
Out-of-network ATMs charge $4 to $6, combining bank fees and ATM operator fees, just to let you withdraw your own money. It adds up fast. If you want a workaround, use the cash-back option at grocery stores instead. Same money, no extra cost.
Foreign Transaction Fees
Most banks charge foreign transaction fees of 1% to 3% when purchases are made outside the U.S. or in another currency. However, some banks and premium accounts remove these fees. You can also reduce costs by using credit cards that are built to avoid foreign charges.
Paper Statement Fees
Paper statements can cost $2 to $5 a month. But you can easily avoid this fee by opting into electronic statements through your bank’s website or app. As a bonus, a few specialised banks will plant a tree in your honor just for going digital. Save money and do some good for the environment!
Account Closure Fees
Leave too soon, and your bank might hit you with a $10 to $50 “breakup fee.” Closing an account within 90 to 180 days can cost you unless you’re just switching to another account at the same bank. Then, luckily, the fee often disappears.
Wire Transfer Fees
Wire transfer fees are generally assessed at $15–$30 for domestic transactions and $40–$65 for international ones. Some financial institutions may waive charges for internal transfers between linked accounts. Peer-to-peer platforms, including Zelle and Venmo, give alternative, lower-cost methods of transferring funds.
Stop Payment Fees
If you’re trying to cancel a check or scheduled payment, it will probably set you back about $20 to $35. It’s not easy to avoid unless you’ve got a premium account that covers it. On the bright side, with fewer paper checks around, you probably won’t need to do this often.
Returned Deposit Fees
Returned deposit fees typically range from $10 to $50 when a deposited check bounces. While the fee is common, certain banks may waive it if the bounced check is drawn from another account within the same institution. Many mobile banking apps now include verification features to help detect such risks early.
Inactivity Fees
Inactivity fees, typically ranging from $5 to $15 per month, are assessed when an account remains dormant for six to twelve months. Performing periodic transactions lessens this fee. Notably, in some U.S. states, long-term dormant accounts are eventually transferred to state custody under escheatment laws.
Unfair Fees
Got hit with a surprise fee? Don’t just accept it. Many banks will reverse charges, especially if it’s your first offense or you maintain a good history. Call customer service, explain the situation and ask for a one-time courtesy refund. It works more often than you’d think.
Card Replacement Fees
Replacing a lost or stolen debit card typically costs $5 to $25, with expedited delivery adding another $10 to $35. Many banks now offer temporary virtual debit cards to bridge the gap until the physical one arrives, which gives you immediate access to funds and reduces inconvenience.
Cash Deposit Fees
Certain financial institutions impose cash deposit fees, typically $5 per excess deposit, on business accounts that surpass defined thresholds. Personal accounts are usually unaffected, though exceptions exist. Fortunately, the shift toward digital transactions has greatly decreased the prevalence of cash handling and related service charges.
Additional Checks Fee
Need more checks? Your bank might charge $20 to $30 for a box, as if paper grew on gold trees. It seems unfair, but a simple and smart move can help you out. Skip the bank and order from places like Walmart, where prices are way less painful, and you’re good to go!
