Is Your Bank Forcing You to Act?

27 Apr Is Your Bank Forcing You to Act?

You Don’t Have to Pay Banking Fees!

Shareholders expect a return on their investment. If a company doesn’t operate profitably, they will close. Executives are always looking for new ways to both make money and save money.

Isn’t the same true for each of us? Of course! Your household is your company. You too are an executive. Have you noticed the latest trends that are increasing your cost of doing business with your bank? In the Las Vegas Review Journal’s June 17th issue, ’Bankers talk about latest trends in industry including checking charges, shrinking branches’ cites a disturbing trend of declining no fee checking accounts, increasing minimum balances and bank branch closings. Why? Increasing regulations. They don’t absorb the costs because they believe that most of us won’t look around for creative solutions.

Are they right? Did you look for alternatives or did you decide that since there’s little you can do about it, you’ll just pay the fee not worry about it?

If your checking account’s monthly fee were $13.95, if these dollars were invested and earning a six percent return, in ten years you would have an additional $2,261. This another example of small changes bringing big results.

Combine CashMap’s Line of Credit Strategy with On-line Banking

You always have alternatives. Using CashMap’s line of credit strategy, you have alternatives that you’ve probably overlooked. What do I mean? To keep your balance in your savings as high as possible, are you prepared to reschedule your payment dates to the end of your bank’s billing cycle or shift payments that can’t be moved to your credit card?

First, to get the greatest savings, use on-line banking.

Solution for U.S. Residents

Check out Bankrate.com’s ‘National Highest Yield MMA & Savings Accounts’. Currently, Ally Bank has no minimum balance requirement, no fees and offers check writing. The downside? According to federal regulations, in money market and savings accounts you are limited to just three withdrawals a month. If you exceed three withdrawals, the financial institution is required to charge a fee. Using CashMap’s line of credit strategy, once you’ve consolidated your payment dates you may be able to meet the three-withdrawal requirement. If not, once a month move the necessary dollars to a free checking account.

Solution for Canadian Residents

In Canada, chequing account fees and additional transaction costs are already standard fare. To virtually eliminate fees while still earning interest, look for a bank that provides chequing, savings and a credit card solution. Check out nofeebanking.ca and highinterestsavings.ca. For example, President’s Choice Financial (PC Financial) provides a comprehensive solution. There is no cost for transferring dollars between accounts. You can save postage, delivery delays and, cheque printing costs by using their credit card’s online bill payment service.

In short, regardless of where you live, rescheduling your payment dates and minimizing the number of checks you write enables you to keep your dollars working for you 24/7 and virtually eliminate your banking fees. CashMap’s line of credit strategy is not just about eliminating debt!

Ready to start your journey towards financial freedom? Get started today!

Thanks for joining me. I’d love to hear from you. Please send your questions, topics or suggestions to dennis@cashmapconsulting.com. You can also follow me on twitter at cash_map.