Ways To Avoid Pesky New Bank Fees

MIAMI (CBS4) - Have you used an ATM that's not tied to your bank lately? If so, you're likely suffering sticker shock.

On average, banks are now charging a fee of $3.75 to use out of network ATMs, up 5 percent from last year. And that's not all. If you've looked at your statement lately you'll notice the days of free checking, so common over the last few years, are gone. Most large banks have done away with their free checking accounts. If you don't meet minimum balance or other requirements, you'll pay $5 - $12 a month for a basic account.

"It's changes to overdraft fees and a pending change to debit card fees that are really changing the landscape in terms of those free checking accounts," said Greg McBride, Senior Financial Analyst at Bankrate.

In other words, don't expect these new checking fees to go away. Instead, look for ways to avoid them.

All of the banks agree to waive monthly fees if you meet certain requirements. In addition to minimum balances, you may need to use direct deposit and bank exclusively online or through ATMs.

Experts say if changing your banking behavior doesn't make sense, it be time to take your business elsewhere. Smaller community banks, credit unions, and online banks which tend to have lower fees than big banks.

Bankrate recently found that 76 percent of credit unions still offer free checking.

"Credit unions can offer free checking accounts certainly more so than their banking competitors because they are not for profit organizations – they exist for the benefit of their members," said McBride.