These days, we’re all prone to difficulties with money. More often than not, we find ourselves in tight spots when it comes to our finances and if we’re not careful, we can rack up all kinds of overdraft fees that really add up. As if money doesn’t cause enough issues, you might find yourself stuck with huge bills you can’t afford. Overdraft fees are charges from the bank that penalize a client for withdrawing more money than they have available in their accounts. If you made a stop at the store for a gallon of milk that costs $4 when you’ve only got $2 in your account, you’ll get hit with a flat fee that’s not very forgiving. The average overdraft fee charge is $35 and you better believe that they really bring in big bucks for the banks. The average American will pay more than $250 in overdraft fees over a year’s time. It’s no big surprise that the millennial generation–those people between the ages of 18 and 25–rack up the most overdraft charges. One in every ten millennial will have more than 10 overdraft charges in a year’s time.
In 2010, the Federal Reserve made it harder for banks to enroll their clients in an overdraft protection program. Now, you have to choose to have such protections and if you don’t have the funds to cover a purchase, your card will be declined. If you have automatic payments set up, these charges are not protected by the overdraft programs and you could still get charged $35 every time you make a payment that you don’t have the cash to cover. Luckily for us, there are ways that you can get around these asinine charges. There are several banks out there that don’t charge overdraft fees at all. Are you looking for the best checking accounts with no overdraft fees? These checking accounts with no overdraft fees will definitely make you consider making a switch!
The Moven and Simple banking applications have no overdraft fees at all. Instead of charging you a premium, your card will simply be declined. There’s also no minimum balance that has to be in your account and you’re able to access hundreds of ATMs with no fees. In addition, you can take advantage of budgeting tools and advice that will make it easier to keep track of your finances. The Moven app tracks your purchases and gives you up-to-date information regarding your patterns of spending. Simple’s app comes with a Safe-to-Spend perk that shows you how much you’ve got in your account after all of your bills and pending payments have been accounted for. This will make it simpler to know how much you’ve got to spend without being tempted to go overboard. These apps are definitely some of the best checking accounts with no overdraft fees. Of course, there are limits: you’ll only be able to withdraw $500 a day and you’ll have to bank exclusively on your mobile device or your internet browser. With applications, you’re bound to run into bugs and glitches that make it difficult to get anything done, but having one of those checking accounts with no overdraft fees should really be worth any other hassles.
There is a way that you can have the mobile and online access to one of the best checking accounts with no overdraft fees while feeling secure that you’re working with a company you can trust. With Capital One 360, you get all of the good things about a traditional checking account. You can gain interest on your account balance and you can also use paper checks if you’d like to. Other pluses are the facts that you don’t have any minimum balance requirements and there’s less of an overdraft fee than you might be used to. If you do happen to overdraft, you’ll have to pay the interest on that overdraft until you pay it back. There’s also an almost $10 charge for insufficient funds if a paper check were to bounce but still, $10 is much better than $30. This kind of account won’t allow you to access assistance from the counter of a Capital One branch directly, but you will be able to use more than 2,000 Capital One ATMs and there’s still 38,000 ATMs in the Allpoint network that you can use without being charged a fee.
Lots of Options
Both Schwab Bank and Bank of America have their own mobile-and-online checking accounts with no overdraft fees and there are even still other options out there that provide overdraft fee free services. Of course, they all come with drawbacks. Most of these accounts won’t build interest over time and you won’t be able to see a teller at a branch for assistance. The good thing about these accounts is that your banking can be just as mobile as you and these checking accounts with no overdraft fees could really save you a lot in the long run!