- The Savvy Promise
Your plastic can come with nifty features that make life easier, but it also comes with fees that can be avoided if you knew about them. If these fees are not checked it could snowball and push your monthly payments up. We have put a list of some of the common fees and the cost to help you navigate your way to minimising your card’s fees.
Paper statement fees
Statements are a great way to keep track of how much money enters and leaves your account, especially for people who are budget conscious. However, having a printed paper statement sent to you could attract a statement fee of between $1 and $7. These paper statements could also take up to several days to reach you. You could opt for a paperless online statement which is free and allows for easy digital storage.
Cash advance fees
ATM’s are a convenient way of getting access to your money when you have an emergency. However, using your credit card can attract a cash advance fee between 2% and 3.5% of the total transaction. If you use your credit card to withdraw at an ATM it could be charged a minimum cash advance fee of $20 and $35. Keep in mind that you will also be charged a cash advance rate of interest from the same day the transaction was made. If you find yourself in an emergency you can use your debit card or withdraw your savings.
Over the limit fees
Going over your credit card limit can attract an “over the limit” fee which can be anything between $5 to $35. However, not all credit card lenders will add this fee if you go over the limit. Using a budget to stick to your limit can help you avoid attracting an over the limit fee. You could also check your credit card balance to know what is the available credit limit.
Non-bank ATM fees
Although most banks promise that you will be able to find their ATM no matter where you are, there could be instances where you are in an area and the ATM affiliated with your bank is not there. Withdrawing from a Non-bank ATM can attract a fee that can build up. If you need to get cash at any time you can use your savings or your debit card to handle the expense.
Late Payment fees
Missing the payments on your credit card that is due on your statement can attract a late payment fee that can go up to $30. This could be charged to your account immediately or you could be contacted by your provider to make the payment. The possible downside to this is that missing your card payment can affect your credit history. To avoid missing a payment you can pay before the due date on your statement. Automati
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This guide provides general information and does not consider your individual needs, finances or objectives. We do not make any recommendation or suggestion about which product is best for you based on your specific situation and we do not compare all companies in the market, or all products offered by all companies. It’s always important to consider whether professional financial, legal or taxation advice is appropriate for you before choosing or purchasing a financial product.
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