Are you losing the fight against bank fees?
If you’re one of the many Aussies still getting hit with up to $10 in unnecessary bank fees, then it’s no surprise you’re fighting a losing battle when it comes to keeping your bank account balance looking healthy. Mozo’s here to show you how you could become the Jackie Chan-esque fee-fighter of the century, avoiding budget-battling add-ons at all costs.
Our recent survey of 2,000 Australians found that 20% of people consider account-keeping fees the fee they hate the most and it’s no wonder, given that the average monthly account fee on an account with no fee waiver is $6.40.
While it’s a requirement that all bank fees should be fair and cost-reflective, fees are still a large moneymaker for financial institutions. But there are ways to avoid hidden charges like transaction account keeping fees. First, start with the right bank account.
Quick breakdown of bank account fees:
| No. of accounts with fee | Average monthly | Annual average | How to avoid this |
|---|---|---|---|
| 26 | $5.10 | $61.20 | Transfer your salary (or similar) into the account |
| 14 | $5.40 | $64.80 | Keep a minimum monthly balance or hold other products with the bank |
| 5 | $6.40 | $76.80 | No waivers |
| 64 | $0 | $0 | - |
So there’s really no excuse to be paying for bank account fees when there are so many accounts on the market that can save you up to a nifty $76.80 a year.
How to avoid paying bank account fees:
What not to do:
Don’t settle in with a bank for too long without seeing what else is out there. Because sitting pretty with a bank for too long, without regularly keeping track of new products on offer, is a sure fire way to get hit with avoidable fees.
What to do to:
As many transaction accounts don't charge monthly fees, taking the time to compare bank accounts can really get results. Our experts found that by taking these steps and opting for a transaction account that doesn't charge a monthly fee, you can save yourself up to $120 a year.
Before the switch, make sure you ask your bank to give you a 13-month list of all your direct debits and credits, which your new bank can then help move across.
Ready to join the fight against unnecessary bank fees? Then check out our bank account comparison table to find a fee-free option.
^See information about the Mozo Experts Choice Bank Account Awards
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