Bigger, less-frequent transactions
If at any time you’ve paid close attention to the banking fee structure your bank uses to levy charges on transactions, one of the most glaring realizations that will come to the fore is that of how there tend to be certain brackets into which bank charges fall. You’re charged a certain fee for transactions falling within a set range of the transactional value, with larger transactions generally charged less.
So, in order to reduce bank fees from that point of view, try to complete fewer transactions, which would imply that the transactions you do complete would be bigger since they target more payments.
Use your debit or credit card
Oldest trick in the book by way of reducing your bank fees and as far as those bank charges associated with transactions in particular, using your debit or credit card at a Point of Sale (POS) to pay for goods and services as opposed to withdrawing cash from the ATM reduces the bank fees right down to zero. This applies even if you’re abroad and perhaps on holiday somewhere.
The fact that there are no charges on debit/credit card POS purchases may be a conspiracy of the financial industry to make things easier for themselves, but that doesn’t mean you can’t benefit as the consumer, in the best way possible of cutting down your bank fees.
Use your account’s savings pocket
The interest is extremely low, granted, but your savings pocket in your savings account can still be put to good use. All you need to do is think of it from the point of view of reducing your bank charges and you’ll realize that the meager interest rates offered could just about cover your banking charges such as your monthly account fee.
Savings pockets from different banks come with all manner of different features, but the important thing is to make sure you earn interest on any money you’re not going to use, even if only to cover your banking fees.
Use the appropriate account type
Too many consumers are effectively throwing money down the drain as a result of making use of the wrong type of account. It’s all about aligning your banking needs to the financial product best-suited to you and while there’ll definitely not be a perfect fit, there’ll always be a best fit. A transmission account offers much better banking fee rates than a savings account, for example, for someone who completes many transactions over a period of a month.
Reduce inter-bank transactions
This perhaps applies for those whose personal finances spill over a bit into the perusal of some business or entrepreneurial endeavor, in which case, within reason of course, try to minimize those transactions which require one bank to interact with a different bank. It is during these inter-bank transactions when the highest bank charges are levied and it seems to be a standard across all banks, bar one or two which are specifically targeting the so-called lower-range clientele.
Do business with clients or suppliers who use the same bank as yours, where possible.