How To Save On Bank Fees and Charges?

By | November 7, 2015

save on bank fees and charges


Perhaps once in your life, you were told by your parents to

be thrifty and frugal because life is hard.


Most of you were told to save some money in the bank so you

can have something to use in case of emergency.


You may have retained the habit of saving a portion of

your monthly income to the bank.


You do this maybe because you wanted to buy something in the

future or you do this as an investment to grow your money.


But some of you may not be aware that some bank fees and

charges eat up whatever interest or dividend you earn from

the money you keep in the bank.


Here are some ways to save on bank fees and charges.

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  • Be Aware of the Service Fees
  • Be aware of the required minimum maintaining balance
  • Update your deposit account regularly
  • Use Your Bank’s Own ATM Machines
  • Balance your account as often as you make transactions



Be Aware of the Service Fees

You must know the fees and charges that your bank deducts

from your account in case of

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  • Dormancy
  • Excess Withdrawal
  • Closing Your Account
  • Interbank Transaction Fee
  • Overdraft Fees



By knowing the fees and charges, you can better manage your



Say for instance that your first 3 ATM withdrawal from your

banks own ATM machine for a given month is free of charge and

at the 4th and succeeding withdrawals you will be charge P10.


Having knowledge of this extra fees will force you to wait

for the next month before you withdraw again or you will

limit your self to just 3 withdrawal each month.


Be aware of the required minimum maintaining balance

There are banks offering no minimum monthly maintaining

balance which is good and in fact must be one of the

criteria you must look for when considering to open a

savings or checking account.


In the event that your bank charges you a penalty or fee

for maintaining balance below the minimum required, you

must be aware of this fact at all times to be able to

maintain your balance above the minimum.


You may also want to take note of the required minimum balance

to earn interest, as this may be different from the required

minimum maintaining balance.


Update your deposit account regularly

Make sure that you update your deposit account regularly.


Under BSP regulations, if a savings/current deposit account is

left “sleeping” with no transactions (deposits or withdrawals)

for a period of two (2) years or one (1) year, it becomes

dormant and is subject to dormancy fee.


To keep your account active and to avoid this fee, make it a

habit to regularly make deposits even in small amounts.


However, if this is not possible, it is best to just close

your deposit account before the dormancy sets in, no matter

how small or big your deposit balance.


By this way, you will not to lose your hard-earned money to

dormancy fees.


Use Your Bank’s Own ATM Machines

You must know the locations of your bank’s ATM machines

in your locality. Withdraw your money only in these ATM



Withdrawing money at other banks ATM machine will subject

your account to a charge.


You must be aware of other banks ATM in your locality and

try to know the bank which charges the lowest ATM transaction

fee and withdraw in these machines in the event your own

bank’s ATM is not available or off-line.


Balance your account as often as you make transactions

If you maintain a checking account, balance your account

as often as you make transactions like

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  • When You Make a Deposit
  • When You Make a Withdrawal
  • When You Issue a Check



It is very important to know how much money you have in your

account at all times in order not to “bounce checks”.


Typical fees for a check written against insufficient funds

range from P1,000.00 to P2,000.00.


Think of how much you can possibly save if you make sure

that the checks you issued are always funded.


Dont have a savings account yet? Open an account now and

save money for your future.


There are banks in the Philippines that do not require a

maintaining balance and some requires a minimal amount

of initial deposit and even few banks offers no initial

deposit which is great.


Once you open one, dont forget to save on bank fees and


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