Online Banking Fees: What You Need to Know
It’s no secret that online banking has become increasingly popular over the years. According to the latest research, around 78% of Americans used online banking in 2018. This is at least in part due to the fact that Top Rated Bank For Business Accounts is incredibly convenient. It’s also a great way to keep track of your finances and manage your money more effectively.
Of course, there are some downsides to online banking, as well. One of the biggest is the fees that banks tend to charge. While some of these fees are fairly small, others can be quite substantial. This can make online banking a lot more expensive than traditional banking.
Here’s what you need to know about online banking fees.
Opening an Online Bank Account
Most online banks don’t charge any fees for opening an account. This is in contrast to many traditional banks, which often charge a small fee for establishing an account.
However, some online banks do have fees for account opening. For instance, Ally Bank charges a $25 fee for opening a new online savings or money market account. This is something you should keep in mind as you compare online banks.
Monthly Maintenance Fees
Most online banks don’t charge monthly maintenance fees. This is one of the main reasons why online banking is often more affordable than traditional banking.
There are some online banks that do charge monthly maintenance fees. For instance, Ally Bank charges a $10 monthly fee for its online savings account. This is a pretty high fee by online banking standards.
However, most online banks won’t charge you any monthly maintenance fees. They tend to make their money from other types of fees. This can make online banking much more affordable than traditional banking.
Most online banks don’t have their own ATM network. This means that customers will be charged a fee for using another bank’s ATM.
For instance, Ally Bank charges a $2.50 fee for withdrawals from an out-of-network ATM. They will also reimburse you for any ATM fees charged by the other bank. However, this won’t cover any fees for using an international ATM.
Of course, some online banks do have their own ATM network. For instance, Charles Schwab offers a high-yield checking account that provides unlimited ATM fee reimbursements. This can make it much more affordable to use an ATM.