Top 9 Banks That Help You Sidestep ATM Fees
Banks charge a lot of fees, and one of the most annoying ones is the fee for using an ATM. Nobody likes paying to access their own money. Luckily, if you do some research and read the fine print, you can find banks that help you avoid these fees.
### Common ATM Fees
ATM fees can catch you off guard if you don’t know what they are and when they apply. Here are the three most common types of ATM fees:
1. **Out-of-Network ATM Fees**: Your bank charges this fee if you use an ATM that isn’t part of their network. This could mean you can only use ATMs owned by your bank, or it might include third-party ATMs that your bank partners with. Your bank’s website should clarify this.
2. **ATM Operator Fees**: If you use an ATM outside your bank’s network, the ATM owner might charge you a fee on top of what your bank charges.
3. **Foreign Transaction ATM Fees**: When you use an ATM in another country, your bank might charge a currency conversion fee.
### How Much Are ATM Fees?
While you won’t see a $20 ATM fee, they can still be quite high. The U.S. Office of the Comptroller of the Currency notes that these fees are market-driven, which can sometimes work in your favor due to competition. However, banks have a lot of freedom in setting these fees. For example, Chase charges $3 for using a non-Chase ATM in the U.S., Puerto Rico, or the U.S. Virgin Islands, and $5 for using one elsewhere. This is on top of any fee the ATM operator charges.
### Knowing If You’ll Be Charged
By law, your bank must disclose any fees, including ATM fees, before you open an account. Additionally, if an ATM will charge you a fee, it must notify you before you complete the transaction. To avoid surprises, understand the ATM fee schedule and other fees before opening an account. If the fees are too high, consider shopping around, as there are over 4,000 FDIC-insured banks in the U.S.
### Avoiding ATM Fees
1. **Use In-Network ATMs**: This is the best way to avoid fees. Many banks have ATM locators on their apps or websites.
2. **Choose Banks That Reimburse Fees**: Some banks reimburse you for out-of-network ATM fees up to a certain amount each month.
3. **Get Cash Back with a Debit Card**: Often, there’s no fee for getting cash back when making a purchase with your debit card. Just be aware of your daily debit card transaction limit.
4. **Use Payment Apps**: Apps like Zelle, PayPal, and Venmo allow you to pay without using cash, often without fees.
5. **Minimize Fee Percentage**: If you must use an out-of-network ATM, withdraw the maximum amount you’ll need to reduce the fee’s impact as a percentage of the amount withdrawn.
### Banks That Don’t Charge ATM Fees
Some banks are more lenient with ATM fees. Here are nine banks that help you avoid these fees:
1. **Fidelity**: Offers access to over 1 million ATMs worldwide and reimburses all ATM fees.
2. **Charles Schwab Bank**: Provides unlimited ATM fee reimbursements for cash withdrawals with their Visa Platinum Debit Card.
By understanding and planning around these fees, you can save money and avoid the frustration of unexpected charges.