21 Bank Fees You Can Avoid

The average American household pays $24–$35 per month in bank fees. That's up to $420 a year—for the privilege of accessing your own money.

The good news: most of these fees are avoidable. You just need to know what triggers them and how to sidestep (or negotiate) your way out.

Here are 21 common bank fees, what causes them, and exactly how to stop paying each one.

Account Maintenance Fees

1. Monthly Maintenance Fee

What it is: A recurring charge just for having the account.

How to avoid it: Choose a no-fee account, or meet the waiver requirements. Common waivers include setting up direct deposit, maintaining a minimum balance, or qualifying for student status.

2. Minimum Balance Fee

What it is: A charge when your balance dips below a required threshold.

How to avoid it: Pick an account with a lower minimum (or none at all), keep a small buffer in checking, or link a savings account as a backup.

3. Dormant/Inactivity Fee

What it is: A fee on accounts that sit idle for months.

How to avoid it: Set a calendar reminder to make one small transaction every few months. Or just close accounts you're not using.

4. Early Account Closure Fee

What it is: A penalty for closing a new account too soon (often within 90–180 days).

How to avoid it: Ask about closure policies before you open an account. If you need to close, wait until the fee window passes.

Overdraft and Insufficient Funds

5. Overdraft Fee

What it is: Charged when the bank covers a transaction you didn't have money for.

How to avoid it:

• Turn on balance alerts

• Keep a small buffer in checking

• Link a savings account or line of credit for overdraft protection

• Opt out of overdraft coverage for everyday debit purchases (the transaction gets declined instead of generating a fee)

6. NSF/Returned Item Fee

What it is: Charged when a payment bounces and the bank returns it unpaid. (Unlike overdraft, the bank doesn't cover it—they just reject it and charge you anyway.)

How to avoid it: Same strategies as overdraft, plus: schedule bills to hit after payday and double-check balances before autopay runs.

7. Extended Overdraft Fee

What it is: An additional fee if your account stays negative for several days.

How to avoid it: If you go negative, deposit funds immediately. Then call and ask if they'll waive the extended fee—many will, especially for a first offense.

ATM Fees

8. Out-of-Network ATM Fee (Your Bank's Fee)

What it is: Your bank charges you for using another bank's ATM.

How to avoid it: Stick to in-network ATMs, or switch to an account that reimburses ATM fees.

9. ATM Operator Surcharge (The Other Bank's Fee)

What it is: The ATM owner charges you directly—usually $2.50–$3.50, shown on-screen before you confirm.

How to avoid it: Cancel the transaction when you see the surcharge and find an in-network machine. Some banks partner with surcharge-free networks (Allpoint, MoneyPass, etc.).

Transaction and Transfer Fees

10. Cash Deposit Fee

What it is: Common on business accounts—banks charge when you deposit cash above a monthly limit.

How to avoid it: Choose a business account with a higher cash threshold, consolidate deposits, or find a bank that's friendlier to cash-heavy businesses.

11. Excessive Transactions Fee (Savings Accounts)

What it is: Some savings accounts limit certain withdrawals or transfers per month. Go over, and you pay.

How to avoid it: Keep "spending money" in checking. Limit transfers from savings. Or use a bank that doesn't penalize excess transactions.

12. Wire Transfer Fee (Domestic)

What it is: Banks typically charge $15–$30 to send a domestic wire.

How to avoid it: Use ACH transfers when possible—they're usually free or very cheap. If you wire money often, look for accounts with reduced wire fees.

13. International Wire Transfer Fee

What it is: Higher fees ($35–$50+) for sending money abroad.

How to avoid it: Compare costs with alternative transfer services. Factor in the exchange rate, not just the fee—some services offer better total value.

14. Foreign Transaction Fee

What it is: A percentage (often 1–3%) added when you make a purchase in a foreign currency or from a foreign merchant.

How to avoid it: Use a debit or credit card with no foreign transaction fees—especially for travel or international online purchases.

15. Currency Conversion Markup

What it is: At some ATMs or merchants abroad, you're asked if you want to pay in USD instead of the local currency. Say yes, and you'll usually get a worse exchange rate.

How to avoid it: Always choose to pay in the local currency. Let your own bank handle the conversion.

Paper and Service Fees

16. Paper Statement Fee

What it is: A charge for mailed monthly statements.

How to avoid it: Switch to e-statements (paperless). Most banks make this easy in their app or online settings.

17. Teller Assistance Fee

What it is: Some accounts charge you for using a teller for routine transactions.

How to avoid it: Use ATMs, mobile deposit, or online transfers. Or switch to an account that doesn't nickel-and-dime you for human interaction.

18. Check Printing Fee

What it is: The cost of ordering a box of checks.

How to avoid it: Order the most basic checks (cheapest option), ask if your bank offers one free box, or skip checks entirely—use bill pay or ACH instead.

19. Stop Payment Fee

What it is: A fee (typically $30+) to cancel a check or scheduled ACH payment.

How to avoid it: Use payment methods you can control more easily (cards for one-time purchases). Avoid writing checks unless truly necessary.

20. Cashier's Check Fee

What it is: A fee for an official bank check—often required for rent deposits, car purchases, or large transactions.

How to avoid it: Some accounts include free cashier's checks. Otherwise, compare with money orders (if accepted)—they're usually cheaper.

21. Card Replacement Fee

What it is: A charge to replace a lost or damaged debit card, or to rush delivery.

How to avoid it: Standard shipping is usually free—only expedited costs extra. Keep your address updated with your bank. Use a mobile wallet while you wait for your new card.

"Can You Waive That?" — A Script That Works

If you're hit with a fee, call or chat with your bank and say:

"Hi—I was charged a [fee name] on [date]. I wasn't expecting it, and I've been a customer in good standing. Would you be able to waive it as a one-time courtesy?"

If they say no, follow up:

"Is there an account type that would avoid this fee? What would I need to do to prevent it next time?"

This works more often than you'd expect—especially for first-time or occasional fees. Banks would rather keep you than lose you over $12.

Quick Checklist: Avoid Fees This Month

• Turn on low-balance and transaction alerts

• Switch to paperless statements

• Identify your in-network ATMs (check your bank's app or website)

• Set a minimum balance buffer you won't dip below

• Review your last statement—note any fees and what triggered them

• Call and ask for a waiver if you were charged unexpectedly

FAQ

Are "free checking" accounts really free? Sometimes—but usually only if you meet certain conditions (direct deposit, minimum balance, paperless statements). Always confirm what "free" actually requires for that specific account.

What's the difference between overdraft and NSF fees? Overdraft fees happen when the bank pays a transaction you couldn't afford. NSF (non-sufficient funds) fees happen when the bank rejects the transaction and returns it unpaid. Either way, you pay.

Should I use overdraft protection? It can help reduce fees—especially if you link a savings account or line of credit. But read the fine print: some banks charge transfer fees, and lines of credit charge interest. Know what you're signing up for.