If you are hoping that by living within your means will be a powerful and yet great experience, this has been made easier with the use of debit cards. The money that you are spending is coming direct from your account. But what if you start to pay extra for this service, will it affect the way that you use technology, how are you going to avoid the debit card fees.
This is due to the cap that is being placed on the banks as to the amount they can charge the shops that use the technology to enable to shoppers to pay in an easier way. They stand to lose around $6 billion a year in loss of earnings from this cap and they are looking at ways in which they can bring this money back to the bank and that is going to be charging for the privilege of using your debit card.
This could mean the end of the technology bubble for many people; it will not be as popular means of payment if you need to pay to use the service. The cap means that every transaction has a clearly defined price and this is paid for by the shops, but the proportion of the charges are very small considering the amount that they are taking, but the debit card fees might not go away.
How to Avoid the Debit Card Fees
It is going to be possible as a consumer to fight and avoid the debit card fees but it is going to a personal battle and you need to be willing to fight and stand up for your consumer rights.
- Negotiations at your bank. You might be able to talk to the bank manager and be able to broker a deal where you do not have to pay the debit card fees.
- Look at your options; you might be able to get fees waived if you sign up for other accounts as well as your checking account. This might mean that you are then tied to a bank so make sure that you are happy with the way the bank is run and the products that they are offering.
- It is possible to look elsewhere and this could mean that you find a better deal and it will benefit your financial situation. But be cautious if you are forgoing the fee you might lose the service or the quality of the products that they are offering, weigh up all your options before you move bank. Weighing up the pros and cons for each bank is a good way to help you decide as to the bank that will offer you the best value for money. You might find that the bank has no debit card fees but they might not be the bank that offers the products that you are looking for, making this choice not something that would work for you.
- There is the option to move to the smaller credit unions, they are going to attract new members and they might not charge for the use of a debit card, but being smaller will mean that sometimes it might be more difficult to get access to your money.
- Old fashioned could be the new way forward. You might start want to use cash again, it might mean that you need to plan a trip to the bank weekly to get the cash that you are going to need but it might save you in the long term. It will make a budget work easier if you are just using your card to withdraw cash at the bank and then using this cash and not your card to pay for purchases. If you are considering going back to writing checks you will need to check that the company is still accepting these, there are many companies that have decided, because of the costs involved with paying these into the banks, that they will not accept checks as a form of payment. You don’t want to find yourself at the check-out only to be told that your method of payment is not current, you might find that you are embarrassed for no other reason than forgetting to check the stores policies first.
It is important that you are in control of your money and it might be possible to avoid the fees by using a credit card but this will take will power and money management skills that you might not possess. If you are unable to resist the temptation to charge items to your credit card then this isn’t going to save you money long term, it might be better to accept the fees and to know that you are still in control of your money.
There are going to be many different options and you need to make sure that you are making the right decisions for you, it is important to search out your options and then make your final choice.