| If you are paying at least one overdraft fee per month, | | | | easy. That is because the way the major banks |
| you are probably feeling rather frustrated. The | | | | display your account information, including current |
| average bank overdraft fee these days is around $30, | | | | balance amount, can be very misleading. For example, |
| so just three overdrafts will cost you $90! And, that is | | | | a check that already shows as having cleared your |
| pure profit for your bank. In fact, U.S. banks made | | | | account may have not yet been deducted from your |
| about $28 billion last year in overdraft fee-based | | | | balance. This can give the false impression that the |
| income alone. | | | | balance is larger than it actually is - increasing the risk |
| Having to pay overdraft fees seems like it would be | | | | of overdrawing the account. |
| purely the domain of the irresponsible banking | | | | 4. Transaction stacking practiced by banks: |
| customer. Not necessarily so! Even people who take | | | | Most big banks have admitted to participating in |
| constant pains to balance their checking accounts can | | | | something called "transaction stacking." This is where |
| find themselves coming up short. | | | | they deliberately process the transactions of higher |
| Common Pitfalls for Bank Customers | | | | amounts first, then the lower ones - regardless of the |
| Bank customers today face a number of potential | | | | order they were made on a given day. This practice |
| pitfalls when as the navigate their banking life. Here are | | | | increases the chances that you will end up with a |
| some of the main pitfalls that bank customers face | | | | negative account balance after a day of shopping. |
| that can result in more overdraft fees: | | | | Reversing Overdraft Fees |
| 1. Overdraft protection programs: | | | | You may have recently noticed an overdraft fee on |
| Most people do not realize that they are enrolled in an | | | | your account. If you are interested in reversing |
| overdraft protection program. That's because most | | | | overdraft fees, here is what you need to do: |
| banks automatically enroll people in these programs | | | | 1. Take the time to get the facts straight about what |
| when they sign up for a new checking account. Put | | | | happened, including the transaction date, amount and |
| simply: participating in these programs enables the | | | | vendor name for the charge that caused the |
| bank to cover any charges that exceed the balance | | | | overdraft. |
| of the account. But, the customer must pay a hefty | | | | 2. Be polite to the bank rep: he or she is just a person |
| overdraft fee - often multiple fees in the same day - | | | | like you working for a large bank. They will be much |
| every time this happens. | | | | more likely to agree to reverse your charge if you are |
| 2. Debit cards: | | | | polite. |
| In terms of the history of modern banking, debit cards | | | | 3. If you don't succeed in getting the fee reversed on |
| are a relatively recent phenomenon. And, they are a | | | | the phone, try writing a letter and sending it to the |
| great convenience. However, when combined with | | | | headquarters office. Sometimes, putting everything in |
| overdraft protection programs, they can also be quite | | | | writing will show the bank you are sincere in your |
| costly. Reason: your bank will not reject a pending | | | | desire to get the charge reversed. |
| debit charge if your balance is too low. Rather, it will | | | | Whether or not you are successful at reversing your |
| honor the charge, and then automatically charge you | | | | overdraft charges, just the time it takes you to lodge a |
| an overdraft fee. This fact makes overdraft protection | | | | complaint is costing you money. In the end, the best |
| programs and debit cards a deadly combination. | | | | solution for you may be to switch to a bank that does |
| 3. Confusing online bank statements: | | | | not charge overdraft fees - even when you overdraw |
| Even for those who try diligently to track their | | | | your account. |
| balances online in order to avoid overdrafts, it is not so | | | | |