Getting Rid of Overdraft Fees

Category: Credit Solutions | Date Posted : June 03, 2016

Every year consumers pay billions of dollars in overdraft fees. If you have contributed to this number, it would probably be worth your while to spend some time getting your day to day finances under control.  And it doesn’t have to take a lot of time or effort.

Here are five tips on how to take control of your accounts and avoid paying any more of your hard-earned money to overdraft fees.

Pad Your Account

It’s always a good idea to keep a little extra in your account. Things happen – deposits get delayed, mistakes occur in your calculations, and unexpected costs arise.

Take Advantage of Banking Tools

Staying on top of it all will help you develop better spending habits, and allow you time to head off possible overdrafts. And it’s never been as easy to monitor your accounts as it is today. Most banks, including FBFC, offer Online, and Mobile banking. Monthly statements are electronically available and many financial institutions still have automated telephone systems available. These tools are a great way to keep track of your daily balance, transactions, and bills. Best of all – you can choose whichever one best suits your lifestyle.

Take Control of Your Payments and Withdrawals

For some, manually paying or initiating payments and withdrawals, instead of setting up automatic payment withdrawals, is a smart move. Whether you write your own checks, or manually trigger your payment in Online Banking, you will control when and how much money leaves your account.

Joint Account Holders – Get On the Same Page

Not everyone handles money the same way. If you share an account with someone, be sure you both understand how the other spends and keep the lines of communication open. You might consider setting individual budgets, making a commitment to communicate before spending over a certain dollar amount, or decide to turn your joint account into your bill pay account – opening your own accounts for individual expenditures.

Call for Back-Up

For some, linking your account to a back-up account or line of credit is the way to go. This is often accomplished by authorizing your bank to transfer money to cover an overdraft and can provide peace of mind for those that qualify.

At FBFC, we’re here to help! We offer many tools to help you take control of your finances. Ask us today!

Date Posted : June 03, 2016