By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
IndebtaIndebta
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
9
Notification Show More
Videos
Stocks slide as Middle East tensions rise, energy shares gain, crypto portfolio tips
22 hours ago
Videos
Why 3D printed houses are on the rise
22 hours ago
News
Crown Castle Inc. 2025 Q2 – Results – Earnings Call Presentation (NYSE:CCI)
23 hours ago
Videos
What a trillion-dollar defense budget really means for veterans
2 days ago
Videos
The New Soap Operas Are Just 2 Minutes Long — The Power Of Micro Dramas
2 days ago
News
Microsoft poaches top Google DeepMind staff in AI talent war
2 days ago
Videos
Most Americans can’t answer basic retirement questions: Survey
3 days ago
Videos
How Airbus beat Boeing to become the world’s biggest plane maker
3 days ago
News
White Brook Capital Partners Q2 2025 Commentary
3 days ago
Aa
IndebtaIndebta
Aa
  • Banking
  • Credit Cards
  • Loans
  • Dept Management
  • Mortgage
  • Markets
  • Investing
  • Small Business
  • Videos
  • Home
  • News
  • Banking
  • Credit Cards
  • Loans
  • Mortgage
  • Investing
  • Markets
    • Stocks
    • Commodities
    • Crypto
    • Forex
  • Videos
  • More
    • Finance
    • Dept Management
    • Small Business
Follow US
Indebta > Banking > Despite crackdown on junk fees, this banking surcharge just hit a record high
Banking

Despite crackdown on junk fees, this banking surcharge just hit a record high

News Room
Last updated: 2023/08/30 at 11:57 AM
By News Room
Share
4 Min Read
SHARE

Contents
ATM fees rise while overdraft, NSF fees fallMonthly fees can be hard to avoid

eclipse_images | E+ | Getty Images

ATM fees rise while overdraft, NSF fees fall

“ATM fees are biting harder than ever,” said Greg McBride, Bankrate’s chief financial analyst.

The average ATM fee rose to $3.15, marking the 22nd record high in 25 years, Bankrate found, based on data from non-interest and interest accounts and the surcharges that go along with them. When factoring in the combined fees for using an out-of-network ATM, the average fee is $4.73, also a fresh high. 

On the upside, overdraft fees and non-sufficient funds fees are now significantly lower. The average overdraft fee fell 11% to $26.61 from last year’s average of $29.80, while non-sufficient funds fees hit an all-time low of $19.94, on average, according to Bankrate.

However, few banks have done away with them altogether: 91% of banks still charge overdraft and 70% charge non-sufficient funds fees, Bankrate also found.

Last month, the CFPB ordered Bank of America to pay more than $100 million to its customers and $150 million in penalties for double-dipping on overdraft fees, among other violations.

“Despite recent progress in addressing overdraft fees, the job is far from complete,” said Nadine Chabrier, the Center for Responsible Lending’s senior policy counsel, in a statement.

Monthly fees can be hard to avoid

While free checking accounts are widely available, many banking customers are encountering monthly service fees and rising balance requirements, Bankrate found.

More than a quarter of checking account holders, or 27%, are regularly hit with fees, which can add up to an average of $24 per month, or $288 per year, according to another survey from Bankrate. 

The average fee on an interest checking account is typically even higher, while the average yield is just 0.05%.

“Avoid accounts that require stranding a balance to avoid fees when you can get a free checking account and move your excess funds into an online savings account at a time when yields exceed 5%,” McBride said. (Here are a few more competitive options worth considering.)

“Consumers can almost always avoid other account fees by using direct deposit, maintaining a minimum balance or limiting the use of ATMs that are not affiliated with their bank,” said Mike Townsend, a spokesperson for the American Bankers Association. “If you must use an ATM outside of your bank’s network, consider a larger withdrawal to avoid having to go back multiple times or using the free cash-back feature on debit card purchases.”

Some banking interest groups also countered that offerings such as overdraft protection provide a much-needed safety net.

Without the option of overdraft protection, “people are more likely to turn to predatory lenders, hurting the same people the administration seeks to help,” said Jim Nussle, president and CEO of the Credit Union National Association, in a statement.

Subscribe to CNBC on YouTube.

Read the full article here

News Room August 30, 2023 August 30, 2023
Share this Article
Facebook Twitter Copy Link Print
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Finance Weekly Newsletter

Join now for the latest news, tips, and analysis about personal finance, credit cards, dept management, and many more from our experts.
Join Now
Stocks slide as Middle East tensions rise, energy shares gain, crypto portfolio tips

Watch full video on YouTube

Why 3D printed houses are on the rise

Watch full video on YouTube

Crown Castle Inc. 2025 Q2 – Results – Earnings Call Presentation (NYSE:CCI)

This article was written byFollowSeeking Alpha's transcripts team is responsible for the…

What a trillion-dollar defense budget really means for veterans

Watch full video on YouTube

The New Soap Operas Are Just 2 Minutes Long — The Power Of Micro Dramas

Watch full video on YouTube

- Advertisement -
Ad imageAd image

You Might Also Like

Banking

Swiss Banque Pictet Admits Conspiring With Americans To Hide Funds

By News Room
Banking

The Beginning Of The End Of Bank-Fintech ‘Partnerships’

By News Room
Banking

One Of America’s Longest-Serving CEOs Has Advice On Humor And Risk

By News Room
Banking

6 Resources Investors Can Be Thankful For This Holiday Season

By News Room
Banking

From Fintech’s Top Founders To Wall Street’s Best Dealmakers: 30 Under 30 Finance 2024

By News Room
Banking

One Part Tech, One Part Data, And Lots Of Human Curiosity

By News Room
Banking

The Evolution Of Bank-Fintech Partnerships

By News Room
Banking

Binance Dies, And Crypto Is Birthed

By News Room
Facebook Twitter Pinterest Youtube Instagram
Company
  • Privacy Policy
  • Terms & Conditions
  • Press Release
  • Contact
  • Advertisement
More Info
  • Newsletter
  • Market Data
  • Credit Cards
  • Videos

Sign Up For Free

Subscribe to our newsletter and don't miss out on our programs, webinars and trainings.

I have read and agree to the terms & conditions
Join Community

2023 © Indepta.com. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?