How Can I Avoid Common Bank Fees? A Simple Guide
Last Updated: October 3, 2025
Bank fees exist to help reduce risk and encourage smart financial behavior. On average, Americans spend about $167 each year just on checking account fees.[1] The good news is that with a little planning, you can avoid many of them.
By knowing what triggers these costs and how to prevent them, you keep more cash in your accounts. Learn about some of the most common banking fees, why banks charge them, and the steps you can take to avoid them.
1. Monthly Maintenance Fees
Many banks charge a monthly fee for keeping your account open. These can range from a few dollars to $15 or more. Some banks may waive this fee if you meet certain requirements, like keeping a minimum balance or setting up direct deposits.
You may be able to avoid monthly maintenance fees if you:
Choose an account with no monthly fee.
Enroll in direct deposit through your employer.
Maintain the minimum balance required to avoid fees through your account.
Centier offers various checking accounts with different options to avoid maintenance charges.
2. Overdraft Fees
An overdraft happens when you spend more money than you have in your account. The bank may cover the transaction, but you’ll pay a fee for the service. These can be $35 or more per incident.
If you want to avoid overdraft fees:
Keep track of your balance with online or mobile banking.
Set up low-balance alerts to keep track of insufficient funds.
Opt out of overdrafts so transactions are declined instead of covered.
If you keep funds in your savings account, enroll in overdraft protection.
If you’re working toward better money management, our savings vs. investing guide can help you plan ahead and avoid running short.
3. ATM Fees
Using an out-of-network ATM can lead to two charges: one from your bank and one from the ATM owner. These can add up fast if you use ATMs often.
To avoid ATM fees:
Use fee-free ATMs in your bank’s network.
Withdraw more cash at once to limit multiple charges.
For more ATM tips, learn how to withdraw funds from your bank account.
4. Paper Statement Fees
Today, many banks are charging for paper statements to encourage online banking. This is a small, simple way to help protect the environment.
You can avoid paper statement fees when you enroll in eStatements or “paperless billing.” Switching to eStatements not only saves you money but also helps protect your personal information.
If you have concerns about keeping your records safe, store your statements in an encrypted digital storage system.
5. Excess Transaction Fees on Savings Accounts
Federal rules once limited certain savings account withdrawals to six per month. While these limits have been relaxed, some banks still charge if you make too many savings account withdrawals.
To avoid excess transaction fees on savings accounts:
Limit the number of transfers you make from savings to checking.
Keep a cushion in your checking account to avoid moving money too often.
Consider a Money Market Account (MMA) with debit card access in place of savings.
To explore common money practices, find out how much money to keep in your checking account.
6. Inactivity Fees
Some banks charge if you don’t use your account for a set period, usually six months to a year.
You may be able to avoid inactivity fees when you make at least one transaction every few months. Alternatively, consider using an inactive account for automatic payments or small purchases.
Even small monthly deposits can keep your account active and safe from inactivity fees.
7. Early Account Closure Fees
If you close a new account within a certain period (often 90–180 days), you might be charged a fee. And, certain types of savings accounts, like CDs, are meant to be open until maturity. Closing them early can also lead to added fees.
To avoid early account closure fees:
Be sure you want to open the account before signing up.
Keep the account open until the fee period passes.
It’s always smart to read the account terms before you open it to avoid surprises later. To learn about account lifecycles, explore how long you should keep money in a Certificate of Deposit.
8. Account Research Fees
If you need old statements, check copies, or special account research, banks may charge by the hour or per page.
To avoid research fees, save your own records. You may choose to print files and keep them in a secure location or store them in a safe online folder. You might also be able to use online banking to download past statements for free.
Maintaining your own digital records is an easy way to skip this cost entirely.
Let Centier Help You Avoid Excessive Fees
Bank fees can seem small, but over time, they can add up to hundreds of dollars a year.
The best way to avoid them is to:
Understand the rules of your accounts.
Keep track of your balance.
Use your services wisely.
If you want to explore fee-friendly banking options, Centier offers accounts and tools that make it easier to keep more of your money. From high-interest savings to CDs and IRAs, you’ll find choices designed to fit your financial goals.
Take the next step. To open an account that works for you, schedule an appointment today.
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