Free checking accounts are very popular. However, while many checking accounts claim to be free, fees and other hidden charges mean there are very few absolutely "free" checking accounts available. While you might think you have a free checking account, odds are you do not. You might be required to maintain a certain balance or pay a fee for writing more than your monthly quota of checks, meaning that your account is likely not free.
The requirements to qualify as a free checking account are relatively minor. Under the Federal Truth and Savings Act, a free checking account can't have a minimum balance requirement and can't require a maintenance or activity fee. Banks that offer free checking accounts may be in fact offering a free account with certain fees. While the bank might not require a pre-check fee or a fee for writing more than your allotment of checks, there are a number of fees that a bank can charge and still claim to offer free accounts. Even if you have a free checking account, a bank can still charge you for nonsufficient funds, stop payments, check printing, dormant accounts and for closing your account.
Another form of fees might be attached to your debit card. Many banks throw in a debit card with their free checking accounts but many banks also charge a fee almost every time you use the debit card. Your free checking account might also have a few requirements you need to meet in order to qualify for the free account. Free accounts might require a minimum balance in the account, limit the amount you can withdraw from a bank in a 24-hour period or require a regular paycheck deposit.
You can usually determine if your bank is offering a truly free account. As with anything, read the fine print. When you apply for a checking account, ask for a copy of your bank's fee schedule. Compare the fees with those offered by other banks and see if there are any conditions attached to check writing, debit card usage and direct deposits. If you don't care for the fees, keep looking for a free checking account that has requirements and fees you can live with.
 | When you're choosing a bank, location and service should be your first considerations and minimizing fees should be a priority. By knowing what to look for, you'll discover that there's a real difference between banks and learn how to choose a bank that's best for you. |
Which banks are the safest banks? Banks always loan more money than they have in their coffers, but the safest banks know how to lend wisely so that they will not end up under water. |
How do you choose the best banks for your needs when the financial world is on a roller coaster ride? If you're entering the financial world right now, you'll want to do some research before you choose a bank. |
If you use a commercial bank, you may wonder what advantages there are compared to banking with other kinds of banks. As you'll see, not all banks provide the same services, especially if you are a business owner. |
Swiss bank accounts might seem like a shady place to hide money, but they actually have several advantages if you want to protect your privacy. |
