Bank of America is one of the largest banking institutions in the United States. They offer a range of services to their customers, including checking and savings accounts, credit cards, and loans. While they provide a variety of benefits to their clients, they also charge fees for some of these services. In this article, we will explain what these charges are and how you can avoid them.

Bank of America Fees Explained

Bank of America charges various fees that can add up quickly if you’re not careful. Here are some common fees you might encounter:

ATM Fees

Using an out-of-network ATM can lead to additional fees charged by both your bank and the other institution. Bank of America generally charges $2.50 for domestic non-Bank of America ATMs and $5.00 for international ATMs, on top of any other fees charged by the ATM owner.

Account Maintenance Charges

Most banks charge account maintenance fees for checking accounts. Bank of America’s fee varies depending on the account type and balance, but it ranges from $4.95 to $25 per month.

Overdraft Fees

If you overdraw on your account, Bank of America will charge you an overdraft fee of $35. They also charge an extended overdraft fee of $35, which applies if you don’t bring your account back to positive within five business days.

Avoiding Bank of America Fees

While Bank of America charges many fees, there are several ways to avoid them:

ATM Fees

To avoid ATM fees, use Bank of America’s ATM network or switch to a bank with a larger network in your area. You can also withdraw cash from retailers who participate in cash-back programs.

Account Maintenance Charges

To avoid account maintenance fees, maintain the minimum required balance for your account or switch to a different account type that doesn’t charge a fee.

Overdraft Fees

To avoid overdraft fees, enroll in Bank of America’s overdraft protection program or link your checking account to a savings account. This way, if you overdraw on your checking account, funds will be automatically transferred from your savings account to cover the difference.

Case Studies

Here are some case studies that illustrate how Bank of America fees can impact your finances:

John’s ATM Fees

John travels frequently for work and often needs to withdraw cash from ATMs. He has a Bank of America account but also uses other banks’ ATMs when he’s on the road. Last month, he withdrew $200 from an out-of-network ATM and was charged a $2.50 fee by Bank of America and a $3.00 fee by the ATM owner. In total, he paid $5.50 in ATM fees.

Jane’s Account Maintenance Charges

Jane has a Bank of America checking account with a balance below the minimum required amount. She was charged a $12 monthly maintenance fee. Over the course of a year, she’ll pay $144 in fees just to maintain her account.

Tom’s Overdraft Fees

Tom accidentally overdraws on his Bank of America checking account by $100. He doesn’t realize his mistake until five days later and is charged a $35 overdraft fee and a $35 extended overdraft fee. In total, he paid $70 for his mistake.

Comparing Bank of America Fees

Here is a comparison of Bank of America fees to fees charged by other major banks:

Advice for Bank of America Customers

If you’re a Bank of America customer, here are some tips to avoid fees:

• Use Bank of America’s ATM network whenever possible.
• Maintain the minimum required balance for your account to avoid maintenance fees.
• Enroll in overdraft protection or link your checking account to a savings account.
• Set up alerts to notify you when your account balance is low or when transactions occur.

Conclusion

Bank of America offers many services to its customers but also charges several fees. By understanding these charges and taking steps to avoid them, you can save yourself money and maintain control over your finances. Be sure to review your account statements regularly and seek help from a financial advisor if needed.