Are All Checking Accounts Free?

If you’re considering opening a checking account, you may wonder if all checking accounts are free. Unfortunately, the answer is no, but you may be able to find an account that doesn’t charge a monthly fee just for storing your money. Here’s what to look for when opening a new checking account.

How Can I Get a Free Checking Account?

No one wants to pay bank fees on a checking account, especially since it takes a bite out of the money in an account used for everyday expenditures. Although they can be challenging to find, there are ways to get a free (or almost free) checking account.

• Start with your current bank: If you already have a checking account at a bank or credit union that incurs fees, ask what you need to do to have them waived. Maybe it’s as easy as setting up direct deposit or opening another account type—savings or money market, for example.
• Switch to a credit union: Not-for-profit credit unions are owned by their members, who benefit from perks many banks don’t offer. These perks may include no or lower fees on checking accounts.
• Try an online bank: Thanks to lower overhead because there’s no need for branch maintenance, online banks may offer next to nothing in fees.
• Search for free checking accounts: Doing a quick internet search for free checking accounts brings up dozens of options that may meet your individual needs.
• Review all fees outlined in your agreement: Your bank or credit union may not charge a monthly maintenance fee for checking accounts, for instance, but may charge you an out-of-network ATM fee, inactivity fee, or overdraft fee.

Common Checking Account Fees

As you review and compare checking accounts, it’s important to understand what, if any, fees you may be charged. The fees charged and how much you’re charged can vary from one institution to the next. Just a few of the most common checking account fees include:

• ATM fee: If you withdraw funds from your checking account via an out-of-network ATM, it’s possible you’ll pay a fee.
• Monthly service fee: You may be charged a monthly maintenance or service fee just for having a checking account.
• Check fee: It’s possible to be charged a fee each time you write a check or when you write more than a certain number of checks each month.
• Check printing fee: When you buy printed checks through your bank, you may pay a check printing fee.
• Returned deposit fee: If a check you deposit into your checking account bounces, you may be charged a fee.
• Stop payment fee: Requesting a stop payment of a check or online payment prevents it from going through your bank account.
• Overdraft fee: When you don’t have enough money in your account to cover your transactions, you may be charged an overdraft fee.
• Nonsufficient funds fee: Some banks charge a fee when your bank returns a check or electronic payment unpaid because your account lacks the funds to cover the transaction.

The Bottom Line

Most checking accounts aren’t free. So, before opening a checking account, read the small print outlined in your account agreement, or look for an account disclosure and fee schedule on the bank’s website. As checking account fees can add up, finding an account that charges few or waives most, if not all, fees can help you save money in the long run.

Contact O1ne Mortgage for Your Mortgage Needs

At O1ne Mortgage, we understand the importance of managing your finances effectively. If you’re looking for expert advice and top-notch mortgage services, don’t hesitate to call us at 213-732-3074. Our team of professionals is here to help you navigate the complexities of mortgages and find the best solutions for your needs.