Nobody enjoys paying ATM fees. Unfortunately, sometimes, there’s no way around them. It’s easy to find yourself needing cash quickly, and all the closest ATMs charge transaction fees. You may decide you have no choice but to accept. Most of us will grumble, take the cash, and feel we were robbed in the process. One of the last things you want to do is lose money, especially when it’s unnecessary. It helps to plan out your cash needs in advance to steer clear of ATM fees. Here are six tactics for avoiding transaction fees on your next outing.
without paying a fee, usually tied to their brand or network. Take note of affiliated ATMs in your area so you know exactly where to go when withdrawing. Some banks don’t charge any fees for ATM usage or even offer reimbursement when you do get charged a fee. You might have to change financial institutions to take advantage of these benefits, so do your research to determine the best choice. Switching banks is not a bad idea, especially if you can get better interest rates and benefits along with the move.2. Stick With a Debit Card
You won’t need to access an ATM if you curtail your use of paper money. There are many reasons to use cash today, like purchasing a garage sale or supporting your neighborhood lemonade stand. However, you’ll avoid those pesky ATM fees altogether if you use a debit card to make most of your assets. There are more benefits to using a debit card than preventing a visit to the ATM. A debit card attached to your bank will record your transaction history for more effective budgeting. Debit card transactions are also quicker and cleaner than purchases carried out with cash. Furthermore, you can cancel a card if it’s ever lost, whereas any lost money is gone forever.
3. Go Digital
Using a debit card can almost always help you make purchases from a business without resorting to an ATM. But what about when you need to move money between individuals? Say you’re buying a couch you found on Facebook Marketplace but don’t have the cash to complete the sale. One solution might be to dive into the growing realm of mobile payment services. Apps such as PayPal and Venmo are revolutionizing how people exchange money. Now, it’s easier than ever to reimburse a friend for lunch or buy that couch from an internet stranger. The exact amount can be sent and received without cash entering the picture.
Payment apps provide a quick, safe, and efficient method for completing all your small financial transactions. Another growing trend to consider is the digital wallet. Your smartphone can store payment information in a secure wallet that can be used to complete transactions online or at stores that accept them. FSA, forget about finding an ATM — you won’t need a wallet, assuming you have your smartphone handy.
4. Request Cash Back When Using a Debit Card
Cashiers often ask whether you’d like any cashback. Getting cashback as you make other purchases is an easy way to avoid ATM fees later. Hen, you’re checking out at your local grocery store. That question might not even register in your brain anymore, given how many times you’ve declined, but it’s worth reconsidering. Most stores have limits on the amount of cash you can request when checking out. Typically, these limits are prominently posted at the registers or provided as options to select when using a keypad. If you don’t have an immediate need for copious cash, these limits aren’t a problem.
5. Maintain a Modest Cash Reserve
Of course, you won’t always know when you’ll need cash. Situations pop up, and when they do, you can be right back to play the Finding an Acceptable game ATM. More than likely, you’ll also get hit with a fee. To avoid such situations, keeping a personal cash stash handy makes sense. Don’t go walking around with several Benjamins in your pocket, but carry enough cash for unexpected needs that might come up. If you prefer more money, consider investing in a small home safe. If you think you might require money, you can take out just what you need for the day.
If there comes a time when you have to visit an ATM, withdraw more than you need at that particular moment. ATMs usually charge a flat-rate fee, not a percentage. If you start a larger amount, the price makes up a smaller percentage of the transaction. Take out the bare minimum, and you’ll have to make another visit with yet another fee.
6. Be Prepared
When seeking to avoid unnecessary charges, the trick is to consider where you’re going and what you plan to do. The more prepared you are to make financial transactions, the better off you’ll be. This includes, but is not limited to, ATM fees. If you know when you’ll need cash and roughly how much, you can keep ATM fees to a minimum.
Proper preparation comes in especially handy when traveling. Research where you’re traveling to scope out ATMs or plan to cover all expenses with a debit card. When you’re in a different state or country, there’s no guarantee you’ll find ATMs affiliated with your bank. Be sure to tell your bank when you leave the country, though. If you don’t, they might put your card on hold, thinking it’s been stolen.
Don’t let ATM transaction fees blindside you. Instead, develop a plan to keep your money available when needed. By thinking ahead, you can prevent an ATM from ever siphoning away your hard-earned cash.
