How to Prevent Unnecessary Debit Card Fees

Debit cards are a convenient way to pay for purchases and they make it easy to access your money from a checking or savings account. The downside of debit card use is the fees which many of us are not aware of until after the fact. You can prevent many of the unnecessary debit card fees simply by practicing a few safeguards.

Instructions

1. Read and understand your cardmember agreement. Be aware of all fees associated with the use of your debit card. Know if there is a monthly fee, a transaction only fee or if your financial institution charges both.

2. Shop around for financial institutions that offer the lowest user fees. Different banks offer different service plans. Many have packages that can reduce your debit card fees if you keep a certain amount in your account or link other accounts to your main account.

3. Keep your account register up to date to prevent overdraft fees. Be sure to record every debit card purchase, cash withdrawal, electronic transaction, automatic bill payment and all bank fees.

4. Deposit additional money into your account immediately upon discovering you are overdrawn. This will prevent additional fees from accumulating on your debit card. Contact your financial institution to determine which charges are clear and which are still outstanding.

5. Get cash back when you make a purchase rather than using ATM machines to prevent unnecessary debit card fees. Many institutions charge fees when you use an ATM other than their own. There are generally no fees associated with getting cash back during a purchase.

6. Avoid ATM machines not affiliated with any bank since these generally charge the highest rates. Instead of using the ATM at the airport, casino, or bar, find the nearest bank and make your withdrawal there.

Tips & Warnings

• All financial institutions differ in their debit card fees. Always check with your own to be certain what charges you will incur when using your debit card.