• Home
  • About
  • Advertise
  • Contact
  • Policy
  • Guest Post
  • Archive

One Cent At A Time

A Personal finance blog to get rich

  • Email
  • Facebook
  • Pinterest
  • RSS
  • Twitter
  • Beautiful Life
  • Becoming Rich
  • Beginners Guide
  • Extra Income
  • Productivity
  • Saving Money

Pay Attention to Finance Charges

August 26, 2021 Leave a Comment

Share this:

  • Tweet
  • Email

Everything comes with a price.  If you aren’t aware, financial companies and banks might be charging you several hidden fees or finance charges. Be careful about these finance charges that you might be paying.

Pay Attention to Finance Charges

Everyone needs to be vigilant and regularly watch their bank accounts for unfamiliar items. I use PersonalCapital to see all my accounts in one place. Here’s how you can avoid extra and hidden financial charges

Maintenance Charges on Credit Cards

Most credit card companies or banks charge you maintenance charges on the credit card. Although most banks offer free credit cards, you might not know about the maintenance charges you have to pay for one.

A free credit or debit card usually means you don’t have to pay the initial joining fee. But after the first year, the maintenance fee starts kicking in.

You might not be able to avoid the maintenance fees, but it’s helpful to be aware of the amount you have to pay.

Hidden Charges on Personal Loan

Paying fees on personal loans isn’t a new thing; you might be paying hidden or open fees while taking out personal loans.

While taking personal loans, you might be charged with processing fees, cancellation charges, prepayment penalties, late payment charges, and dozens of other charges.

The most common cost is the processing fees that are charged upfront.

Many of the other charges can be avoided if you’re 1) aware of them 2) stay cautious about the terms and conditions of the loans and 3) pay back the installments on time.

Foreign Transaction Fees

You might be having a great time abroad enjoying your well-deserved vacation.

But you might start having reasons to worry when foreign transaction fees start kicking in.

Having a globally accepted card doesn’t guarantee free transactions abroad. It generally means your card is accepted worldwide, but you still have to pay fees for every transaction. 

The foreign transaction fees are a certain percentage of the amount transacted – usually 1 -3%.

You can avoid paying the foreign transaction fees by either using cash or a credit card that doesn’t charge you for foreign transactions. 

Balance Transfer Fees

Transferring a large sum from your credit card to a new credit card at a zero-percent interest rate might sound simple, but that’s not all it entails.

Such transfers could leave you with a hefty surcharge of 4% in transfer fees. 

Always be cautious of every finance charge that you’re about to pay. For some people. 4% in transfer fees isn’t a bad idea.

However, you should weigh out the pros and cons and see how it benefits you.

Hidden Fees from Paypal

If you’ve ever used Paypal to shop online, you might have discovered a monthly fee automatically charged to your account.

Generally, you might be paying such fees if you’ve signed up for some sort of subscription or online membership.

Businesses use this payment system to benefit off customers that forget to cancel their subscription.

Such individuals end up paying a recurring fee for a service that they don’t even realize they’re buying. 

These fees are charged to your account forever until you decide to cancel the subscriptions.

To avoid such charges, be sure to check your payment history regularly.

You might be charged with recurring weekly or monthly fees; so be careful of that.

Buying a Home Costs More Than You think

Homebuyers are at risk of paying a lot of fees at closing, including inspection fees, title searching fees, loan fees, survey fees, and other ridiculous fees.

You can pay some of these fees without even knowing. Although these fees mostly can’t be avoided, you can pay a lot less by negotiating. 

You can only negotiate when you’re aware of all the fees you’re to pay.

If not, the fees can add a lot of cost to your home. Buying a house is a great feeling, but spending less on fees adds up the satisfaction. 

Prepaid Card Fees

Prepaid cards are a very convenient transaction option, especially for kids leaving home for the first time. But the convenience certainly comes at a price.

Almost all prepaid cards come with some sort of fee, whether maintenance or monthly payments.

The costs might seem insignificant at first, but they might add up pretty quickly if you use many prepaid cards.

So, before picking a prepaid card, be sure it comes with no fees or absolute minimum fees.

ATM Charges

Paying fees to access your cash doesn’t sound ideal, does it? For people using ATMs not associated with their bank, they pay a minimum of 4$ in ATM  charges.

To avoid such charges, you have to use your bank’s ATMs.

Many bank apps let you map out their ATMs so that you don’t end up paying extra to access your cash.

Outrageous Overdrafts

Overdraft fees also add up pretty quickly, with more than 30$ per overdraft.

But lucky for you, this fee is entirely avoidable if you set up alerts with your bank to warn you when you’re getting low on funds.

Alternatively, you can set up overdraft protection, which ensures your debit card is denied when you are low on balance. 

Many businesses profit from charging hidden fees from customers without them knowing.

Most of the hidden costs are avoidable if you’re aware of the fees beforehand.

Also, when the fees are completely unavoidable, you can negotiate them to reduce the cost. Sometimes, even the most negligible fees add up to a huge sum over time.

So be very cautious about the amount you’re paying. After all, it’s your hard-earned money and you don’t want to be paying unnecessary charges.

LIKE THIS POST?
I agree to have my personal information transfered to MailChimp ( more information )
Join our community of 8000+ subscribers to increase your net worth and build wealth
We hate spam. Your email address will not be sold or shared with anyone else.

Share this:

  • Tweet
  • Email
The tool that changed the way I manage my personal finance - Personal Capital, The Best Free Personal Finance Tool

Want to start a WordPress blog now? The onecentatatime.com blog is hosted by Siteground Web Hosting. For only $3.95 a month, Siteground can help you set up and host your website/blog quickly and easily.

About the Blogger Hi I am SB, a personal finance enthusiast with a career in software development. I am an immigrant to the USA since 2005, after being born and brought up in India. This 40 something technocrat lives and breathes personal finance whenever he gets time from the day job, job as a husband and a dad

Some links on this page may be affiliate links, if you make a purchase following the links, I may earn a commission. Read affiliate disclosure here
« Online Mailing Services Create Business Efficiency
Tips To Prepare Your Loved Ones When Deciding To Relocate »

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.



Create your own blog in 20 minutes and $20

Personal Capital, a free tool to change your financial health today

I use and suggest Upstart, for your personal loan need

CreditKarma, a free tool to check your credit scorey

I use Coinbase, for my crypto investments

101 Cents at a Time

101 Ways to Earn Extra Money on the Side
201 Frugal and Perfect Birthday Gifts
101 Ways to Save Money Everyday
101 Ways to be Better and Successful at Work
101 Ways to Save Environment and Energy
101 Frugal and Romantic Anniversary Ideas
101 Low-Cost Men's Fashion Ideas
101 Personal Finance Tips
101 Ways to Reuse Household Stuff
101 Things to Do, When Nothing to Do
101 College Graduation Gift Ideas
100 Tips for Ecommerce Startup
101 Ways to Enjoy Indoor During Winter
101 Ways to Beat Procrastination

Popular Posts

Quick Cash - How to make $100 legally, in a day
Living well on less than $15,000 a Year
Top survey sites for side income
What to do when auto repair goes wrong
Where should I invest my money now?
20 Ways to be productive and happy at work
51 Ways to get out of debt
Be a better person in 15 days, 15 ways
Income ideas for retirees and senior citizens
51 side jobs for college students
Urgently need a large amount of money?
Should I buy or should I rent?
Best Personal loan providers
25 Ways to save environment
25 DIY car repairs to save money
How to decorate office cubicle
How to show your wife you care
50 Financial Rules for Success
51 Frugal weekend family activity ideas
Become Rich By Saving 1 Hour Of Daily Wage
How much do I need to save for retirement?
How to negotiate your salary

Follow us on FaceBook

About Author

SB

Blogger by choice and IT manager by profession. Finance is my passion and gardening is my greatest satisfaction. Born in India, settled in US, Husband and a father. I created this blog in 2011 with a vision to help others. Thanks for your patronage. More info on my "about" page.

View all posts


Subscribe

Join our community of 5000+ subscribers to increase net worth and build wealth

Advertisements

Personal Stories

How I got a new HP computer replaced
Was COVID circulating in USA in fall of 2019?
How my credit score went up 800+
Why I didn’t invest in Bitcoins
How I controlled impulses to buy things
Why this blog is named One Cent at a Time

Subscribe via Email

Site Disclaimer

Disclosure of Material Connection: Some of the links in this web site are “affiliate links.” This means if you click on the link and purchase the item, I will receive an affiliate commission. Regardless, I only recommend products or services I use personally and believe will add value to my readers. I am disclosing this in accordance with the Federal Trade Commission’s 16 CFR, Part 255: “Guides Concerning the Use of Endorsements and Testimonials in Advertising.”
Read full Affiliate disclosure


One Cent at a Time is published by SB. The opinions expressed herein by him are his own and not those of his employer or anyone else. All content on One Cent at a Time is for entertainment purposes only. By reading this blog, you agree that SB and/or One Cent at a Time is not responsible for any actions taken after reading this blog. For the full disclaimer, click here .

Major Media Mention

One Cent at a Time Media Appearances

Copyright © 2023 One Cent At A Time · Designed by Nuts and Bolts Media