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That are right now we bailed out a lot of those banks so how are they paying -- back.
Guess what are raising bank fees to record levels and joined by Greg McBride senior financial analyst with Bankrate dot com Greg good to see user.
-- -- -- I don't.
Why in the holy heck I mean we have given these banks sell much money and now -- penalizing us why.
Well me and the fact is these these are the going up for a long time and you know it's right up there with death and taxes -- -- -- you know that these fees are going to be there.
And we know they're gonna continue to escalate year in year out I think the main point though is that these are avoidable and plenty of consumers are doing just that.
I think that's another contributor to why the -- keep keep rising here.
-- -- it -- when you look at checking account fees.
Those aren't necessarily avoidable anymore I mean everybody's putting him back in place because they they can't do some of the -- they did in the past right.
-- that was the big -- we saw this year yes free checking has declined in terms of its availability why.
The two revenue streams that really helped underwrite that over the years overdrafts and -- -- income that banks get when you like -- debit -- Both of those are being restricted by recent regulations that's why we're seeing a decline in free checking and it's gonna continue over the next several years but it's not gonna go away entirely.
Garnett are able -- what the average fee -- -- checking account these days.
-- -- interest checking account because the average monthly fees thirteen box -- avoid that you've got to keep get this.
An average of 3800 dollars in the -- to avoid that fee yeah.
And no interest.
800 dollars that's particulate I think it's a bad idea to have one of those.
One of those accounts because I the end of the day you pay less money every month and a seven -- -- -- And checking account.
Exactly and that's really the better path for most people look for a -- -- interest checking account Y 65%.
Of them are free.
We found another 23%.
Of total 88% of non interest accounts we surveyed either are free or can become free you have something like direct deposit.
Or other accounts at the bank.
So that's really -- your way to avoid fees also you're not gonna be hamstrung by hideouts requirements and -- monthly -- -- -- more efficient use of your money.
Any other fees to watch out for your -- if you're making a point that you an avoid most of them.
Well -- almost side that overdrafts have been in the news a lot lately however.
You can overdraft -- -- -- your count just as easily with a checkered online payment and if the.
Is higher than ever.
So be sure to keep accurate tabs and your balance signed up for email text alerts you know those are really the -- -- and then request the link between your checking and savings account that's going to be the way.
Your lowest cost -- the -- a way to stay away from those overdraft the overdraft fees were supposed to go away.
But now they were going away what went away was the ability for a consumer overdrawn their -- With small dollar transactions ATM cards debit card transactions without providing their consent to the financial institution itself.
Even if you didn't give that consent.
If your balance is running that well.
Well in the check you wrote yesterday for the car payment not gonna clear.
Online payment yet scheduled for tomorrow isn't -- -- go through and you can trigger those overdrafts and those fees now on average over thirty bucks a pop out.
Okay ATM -- that's going up as well.
I -- -- and deal we seem to -- here first is defeated the ATM owner charges in nine customers known as the surcharge.
Year and year out it goes up 2010 certainly no exception that the other -- that we see is that the that you -- bank charges if you go outside -- network.
And this -- has not gone straight up over the years I mean it's it's kind of gone -- -- sometimes -- there you know they're they're willing to let their customers go outside the network without a fee.
But -- that what we're seeing that come to come back around now fewer banks have that policy in place and if they do it only pertains to certain accounts.
So -- think makes sense to use community banks and credit unions instead of the big.
Brand name banks but 'cause of this issue with the -- Well if you're looking to get away from fees if you're looking for free checking in particular.
That I think online banks community banks and credit unions will remain fertile ground for free checking so by -- means look at that I mean let's let's be honest.
The growth of free checking in recent years.
You know you saw that the regional banks in Nashville next jumping on the bandwagon last.
They're now the first to jump off the free checking bandwagon it's the online banks the credit unions a smaller community banks that are likely to retain that in their product lineups.
Great thanks for being with us today great seats are and I hope you feel better -- felt like he got a little prodding your current.
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