We have all been there once or twice. A normal day is ruined when you open up your bank web page and see those big red words: OVERDRAFT FEE.
Although this is bad news, there are things you can do to avoid overdraft fees, and possibly get most of those fees removed from your account.
1. To help avoid those overdraft fees altogether, many banks now offer things such as text messages or emails that warn you when you are getting close to your limit. Sign up for these notifications and stay on top of things before you get in
the negative.
2. Try banking at a credit union. These establishments have certain accounts that give you a pre-approved credit line that will cover you if you ever overdraft. The only fee you will pay is 10 percent of the amount overdrawn.
3. If you have the funds, place a cushion dollar amount in your account. Then tell yourself you have $20 less than what you really have. This way you stay in the positive.
4. Set up a savings account that will overflow into your checking account if you overdraft.
5. Try to not open a bank account and deal only in cash. This may be unpractical for some, but for others it works very well. The hassle of going to an ATM when you need cash will be eliminated.
6. If you have had an account with a bank for a few years now and have never overdraft, then the unthinkable happens, you
can talk to customer service. After talking to a few bank tell- ers they will may consider removing fees.
7. Look into an bank that offers accounts for college stu- dents. There may be special discounts or policies that keep you from incurring excessive fees.
Apply these tips to reduce headaches, keep your money and focus on the joys of college.
