How to Effectively Reduce Current Account Fees in 9 Steps

Although free banking services remain a pipe dream, there are plenty of strategies to slash the fees you fork out to your bank. In some scenarios, you could dodge current account fees entirely. Kick off your journey before you even peek at your current fees by first determining a budget for each quarter. Take all your expenses into account, then establish a budget for your enterprise. This budget could be weekly, bi-weekly, or monthly. Ponder everything from freelancer payments to operational costs and marketing funds, so you never fret about depleting your resources. Time management is a linchpin in this process, made effortless with sound planning.

9 Proactive Steps to Skirt Your Current Account Fees

Adopt these straightforward steps and trim your current account fees the intelligent way.

1. Give ATMs a Wide Berth:

Today, one of the steepest charges imposed by banks is ATM withdrawal fees. The 2016 budget amendment introduced a 12% stamp duty on ATM withdrawals, capped at €5 per year, meaning the government will bill you 12% over what your bank already deducts for ATM usage.

Cash withdrawal can’t be shunned entirely. The clever tactic to circumvent this extra withdrawal fee is to make purchases where you can earn cashbacks each time you shop.

2. Embrace Contactless:

Many banks demand minimal fees or sometimes none when you utilize contactless payment services. It’s a cheaper and more accessible alternative. Tap, and voila, your payment is processed.

Mobile payment services like Apple Pay and Google Pay fall under the umbrella of contactless services and are entirely free of charge. No extra fees apply to any payments or transactions.

3. Migrate to Online Banking:

The swifter, simpler, and cheaper route to transactions is online via an app or banking services. Online bank transactions are cost-effective and sometimes even free, safeguarding you from extra fees common at traditional banks.

4. Bid Adieu to Cheques:

Cheques have been steadily drifting into obsolescence, so it’s wise to let them gather dust. This helps you steer clear of extra charges or government stamp duties on cheques. Choose online banking or direct debit for transferring money instead.

5. Pivot to Nontraditional Banks:

Online banks are an appealing substitute for traditional ones. They offer higher interest rates and impose minimal or zero fees on their customers, boasting no annual charges, transaction fees, or ATM withdrawal fees.

These banks operate exclusively online and have no physical branches, leading to substantial savings on overheads and staffing. They endorse banking via mobile apps or the internet, enabling you to access banking services in a jiffy.

6. Uncover Your Bank’s Fee Waiver Clauses:

There are always loopholes to elude or lessen fees on your transactions. Opting for contactless services over chip-and-pin ones helps you sidestep unnecessary fees. It’s not mandatory to maintain a minimum bank balance. Extra charges are waived off if a particular sum is retained in an account at month-end.

7. Adopt Savings Account Strategies for Your Current Account:

Most banks waive additional fees if you keep a certain amount of money deposited in your bank account. As the interests on savings accounts are meager, it could be fruitful to treat your current account like a savings one. While you may not earn significant interest, you can save a pretty penny on transaction fees.

8. Resist Referral Fees:

If you have cheques, direct debit, or standing orders against your account, your bank will bill you a hefty referral fee. This fee takes a toll not just on your wallet but also your credit score. It’s best to avoid accumulating such charges when

 your account balance is insufficient. Make sure some funds remain in your account at every month-end.

9. Switch Banks:

If your bank levies excessive fees against your account that seem unreasonable, the best course of action is to switch banks. The market is teeming with banks, so pick the one that suits your needs best.

Whittling Down Your Current Account Fees the Smart Way

Compare features and charges of competitive banks, then select the one that resonates with you the most. Choose a bank that helps you manage your expenses and cash flow. A sophisticated banking system gives you a panoramic view of all your recent transactions and enables online bill payments sans extra charges.

Saving money becomes a breeze when you have a goal to work towards. For instance, if you’re stashing away funds for a new marketing blitz, you’re more likely to commit to it. Set a goal, and you’ll find managing your finances a cinch.

By taking an active role in managing your finances, you can stay abreast of the market and banking conditions, monitor your regular transactions, and scrutinize bank charges. Given your financial objectives, many banks offer features that cap your monthly spending budget. This can help you monitor your available balance and evade any referral or rejection fees.