10 tips to avoid bank fees

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Maintenance, transfers, overdrafts, having credit and debit cards…these are all commissions that banks charge for having a checking account. Here are 10 ways to avoid paying fees.

At over €250 per year, that’s how much you can save in bank fees if you choose wisely and know how to avoid the fees that most entities charge their customers.

Avoiding bank commissions includes knowing how to choose the type of account you need and avoiding certain habits when using banking services, including debit or credit cards.

How to avoid bank fees? These are the most effective tips to avoid paying even one extra commission.

Meet bank conditions

The best way to avoid maintenance fees is to not provide the bank with a reason for the fee. In other words, you can have a commission-free account if you meet the conditions.

almost All banks allow you to avoid commissions in exchange for some level of contact with entities.The most common request is Provide wages, pensions or receipts as a self-employed person, According to the case.

from there, It is also common to request a direct debit receipt and household supplies such as electricity, telephones or neighborhood communities, and Use credit or debit cards as little as possible.

A step appears Contracting additional products Examples include home insurance, car insurance or investment products such as investment funds or pension plans.

Calculate your retirement age

Is it always recommended to comply with all conditions of the bank?this golden rule It’s simple: don’t hire someone you don’t need just to avoid a commission. If you’re considering doing this, grab a calculator and run the numbers to see if it’s worth it.

Take advantage of an online account with no maintenance fees

More and more online banks No account maintenance fees And there is no connection. This is the case, for example, with Banco Sabadell, Openbank, BBVA, ING or Banco Santander.

Some even add debit and credit cards for free.

You don’t pay maintenance fees with this type of account, but they may include other fees, such as transfers or overdrafts.In addition, many They are only available to new customers. If you are already a customer you will not be able to contact them or you will have to negotiate.

Limit the number of bank accounts and banks you use

How many bank accounts and banks do you need?In most circumstances Just two accounts and one or two banks are enough. One account is for daily expenses and the other is for an emergency fund, which can be a paid account or a savings account.

Funds for investments and retirement planning must later be added to both accounts.

As for the number of banks, one may be enough for both accounts, although it’s normal for you to need more than one financial institution to invest your savings.

What can you do if you have more accounts? Review and harmonize.

Please do not pay by credit or debit card

many entities They now offer credit and debit cards for freefor discharge and maintenance.

It’s true that they’re usually not the cards with the best associated insurance or the best for traveling abroad, but for everyday use they’re more than adequate.

Check what type of credit card it is

Not just to avoid commissions, This tip will help you avoid falling into a debt spiral. A large portion of credit cards are activated through: Stir Pay monthly.

Under this formula, you’ll pay a fixed monthly fee to repay the credit you use. This will make you pay more in interest, and depending on how you use the card, you may not even be able to pay off all the debt you incur month after month. Avoid this method and use deferred monthly payments where you’ll pay your total credit amount every month.

Check which ATM you are using

All banks allow you to withdraw funds from their own ATMs without commission, but they will charge a fee if you withdraw funds from another entity’s ATM. Local banks, like those old savings banks, allow you to withdraw money multiple times a month with no commission.

In any case, in order to avoid this fee, you must consider the conditions of the account and the card itself. Many credit cards charge you a fee to use an ATM machine, but debit cards do not.

Make arrangements via online banking

How to avoid transfer fees? Planning and using online banking.

More and more banks are giving priority to electronic banking, reducing or even eliminating transfer fees. You can also avoid this fee by using a service like Bizum, for example.

In addition to this, some of the best commission-free online accounts already include commissions for transactions made in the office, or if you visit their offices for transactions that can be completed online, maintenance commissions will be activated directly.

There is always money in the account

This advice will help you avoid account overdraft fees, which are often charged when you run out of funds and are charged a direct debit bill. If you have money in your account, this will never happen.

What if you don’t have money or expenses? Can they charge you 0 account commission? Most entities will not charge a specific commission for having a zero account. However, maintenance costs may increase, which will result in the account ending up with a negative balance, which in turn incurs overdraft fees and collection fees if they have to remind you to deposit money.

Get rid of the fear of negotiation

Although it is hard for you to believe, All entities are willing to negotiate terms of their accounts. Banks have a wealth of information about their customers and the value each customer brings.

If you have been with your entity for a long time, you have never been overdrawn, your account balance is good and all operations are carried out with the same bank, you will be able to negotiate account conditions and get commissions removed.

Regardless, you should never be afraid to negotiate with your bank.

Change bank

Finally, if your bank charges you fees that you don’t agree with and they don’t want to cancel them, you can always Find an entity that does this.

Today, there are countless options for owning a checking account at no extra cost, whether it’s a traditional bank or a neobank.

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