Bank Charges to Avoid This Shopping Season

5-bank-charges-to-avoid-this-shopping-season

Most banking charges that we pay these days are avoidable and with a little effort and caution, we can avoid paying them. In fact, doing this can boost your shopping budget.

Five banking charges to avoid:

ATM charges: All banks provide customers with ATM cards so that they can withdraw cash whenever they want without having to visit the bank. However, most banks today provide only limited free ATM transactions, after which they charge a fee. These charges are easily avoidable if you keep a track of the number of times you have used the ATM.

Banks-statement fee: There are times when you need bank statements, such as for availing loans. These statements are free if you use your bank's app or online banking facilities. However, if you ask your bank branch to issue one for you, you have to pay for it.

Damaged credit score: Most of us today like using our credit cards for shopping. And while using a credit card is safe and convenient (eliminates the need to carry cash), if you do not keep a keen eye on your credit card limit, you can end up paying a lot of interest.

Withdrawing cash from a credit card: If you withdraw cash from an ATM using your credit card, banks often levy hefty charges, sometimes up to 30% of the total amount of cash withdrawn. These are easily avoidable. Do not use your credit card to withdraw cash unless it is an emergency.

Late fee: Though a credit card allows you leeway to pay for your shopping until the card’s due date, if you don't pay up on time, banks charge substantial late-payment fees. To avoid these charges, it is better to pay on time.

Shopping is best enjoyed when you have money to spare. Using the tricks mentioned above, you can save money by avoiding unnecessary charges, freeing up some well-deserved money for shopping.