Bank Charges – What Consumers should know!

Teri Ann Renee Paisley, Gleaner Online Writer

Until recently, I never really investigated what the bank charges its customers for utilizing its services. I had a vague idea that they charged customers for using the ATM machine or cashing a cheque but it never really became much of an issue until the dwindling of my funds forced me to identify how each dollar was spent.

Although there are slight variations, the majority of the banks charge for much more than I had initially suspected. Now while there are a number of charges such as for cheques being returned or cashed and an over the limit fee, there are many more that made me question the system. For example, along with charging for withdrawals and deposits there is also a charge attached at some banks for having a low balance in the account.

So you are basically charged for being too poor to maintain a balance deemed by the bank to be sufficient for its needs. That certainly puts a different spin on things as you need to maintain your account or risk losing some of your money.
If your card is declined at an ATM because of insufficient funds then you will also face charges in some cases up to $30.00. This amount might not seem to be a lot of money but every little bit helps and it adds up to reduce the money in your account.

Of course not all banks have the same policies, as some have not adopted the approach of trying to squeeze every last cent from their customers.

How can consumers save on bank charges?

The first tool consumers have is to be informed. It is in your best interest to do some research and find out what charges are applied to your account. Go to the bank and request a statement and identify your charges. Some banks have higher charges for withdrawals when using a teller at the bank than if you had used an ATM machine.

A call to the bank to check your balance over the phone or using Internet banking might also reduce any additional charges if you are not sure about the availability of funds.

If you are unsure of any new charges call the bank and query your statement. There are many banks around so if you are dissatisfied with your institution’s policies then shop around for a bank that will have your best interest at heart.

A complete listing of bank charges for various banks up to April 2012 can be found on the Consumer Affairs Commission website at www.consumeraffairsjamaica.gov.jm. However there are have been subsequent changes so check with your institutions for their new charges

Tags: banks, fees, savings