Protect Your Online Business From 3 Killer Bank Fees

Dealing With Killer Bank Fees

Among other things, running an online business needs focus and vigilance.  And, there are things you need to be aware of. Did you know that the three biggest banks in America make over $6 billion a year on overdraft, ATM and other bank fees? This was reported by CNN Money, and SNL Financial recently.

An overdraft occurs when you don’t have enough money on your account to pay for purchases.  The bank lends you the money, then charges you a skyrocketing fee which often translates to $34 per transaction.

Now, if you overdraw your account, say once a month, and pay immediately you’re losing $408 a year.  That’s a lot of money for a struggling online business.

So, how do you avoid overdraft fees? There are ways to avoid this killer fee.  This fee is so obvious and so seemingly like an “everyday happening” that people take it for granted. But, do you really need to pay through the nose for it?

Free stock photo of hands, blur, money, focus

Three Ways to Avoid Overdraft Fees

1)  Say no to overdraft protection. Believe it or not the word protection makes you feel safe.  The thought that you are protected makes you feel as if you got the license to not think about budgets or limits.  But, it’s actually like pointing a gun at your head with the safety on and daring yourself to go ahead splurge!  Anyway, the safety is on.

However, when you overspend you actually turned the safety off without even thinking about it.  Protection made you do it. Then, you got hit by an overdraft fee.

Just opt out.  This way, there’s no possibility for you to overspend because your purchases will simply be declined.  So, to avoid the embarrassment of being refused at the check-out counter you just need to keep track of your account balances.

2) Link your accounts to allow transfers. To avoid the embarrassment of being declined at the cash register, link your debit card to your savings, credit card, or credit line.  If you overdraw, your bank will take money from your other accounts to cover the cost.

You may still pay a fee – about $10 – but, still much less than the $34 overdraft fee.

3.  Sign-up for alerts to avoid overdraft fees. Let your bank do some extra work for you.  Sign-up for email or text alerts to let your bank tell you when your balance gets low.

You can even set-up a spending limit on purchases and let your bank tell you that you’ve exceeded your spending limit. This way, you’ll never be surprised.

Another one of those bank fees that tend to get overlooked because of being obvious is the ATM fee.  If you withdraw money from an out-of-network ATM , say once a week, (this normally happens when you go out of town) and pay the average $4.35 each time, you could rack up $226 in ATM fees a year.

That $226 might really be handy come Christmas.  Did you ever think of that?

Atm Retirer De L'Argent La Carte Carte Ec

Three Ways to Sidestep ATM Fees

If you own an online business you don’t have a lot of resources.  Every dollar counts.  An ATM fee is what you pay when you get cash from an out-of-network ATM.  Do these 3 things to avoid it.

1)  Get cash back at the store cash register. This fee-free option is available at most drugstores and grocery stores, and even at the Post Office.  You could even get as much as $100.  The next time you buy office supplies, you could get a cash back.

2) Make hefty withdrawals from you bank’s ATM to Avoid ATM Fees.  Most people often think only of the money in their debit cards.  The balance gives them an assurance that they have enough and they tend to overlook the fee.

Then, of course there’s that inconvenience of looking for an ATM when there seems to be none for miles around. This makes it necessary to always have money in your wallet.

When you plan on going on a trip, withdraw from your bank’s ATM.  And, make it a habit to always have a hefty cash balance in your wallet.  You can never tell when you need it.

3) Get your money back. Some banks will reimburse you for fees charged at out-of-network  ATMs.  You could get a maximum of $10 to $20 back for each statement cycle.  Just ask.  They won’t tell you till you ask.

There are other bank fees lurking in your bank statement which you may have overlooked.  Sad thing is, most people don’t even bother to read the fine print.  The banks intentionally make the print very, very fine so that you wouldn’t bother reading it. But, it pays to read it.  If you need to use a magnifying glass to read the fine print, do so.

Free stock photo of hands, money, cash, dollars

5 More Bank Fees and How to Beat Them

Here’s another “need to know” for online business operators.  In case you haven’t notice, banks seem to have a surcharge for most everything – human teller fees, returned mail fees, etc.  Here are other fees (highlighted) you may not be aware of, and how to avoid paying them.

1) Maintain the minimum account balance requirement to avoid maintenance fees.  The average maintenance fee for a checking account is about $13.29 per month.  You can avoid paying this fee by maintaining the minimum balance requirement, or by signing up for another service, like direct deposit.   A lot of people are not even aware of the minimum balance requirement, and are surprised when they get hit by the fee.

2) Signup for online account statement.  Banks normally charge a $3 fee for printed statements that they mail to you.  The best thing to do is to give up paper statements entirely.  You can ask your bank to email you when your statement is ready.  Then, you can login to your account and read your statement online.

You could save $60 a year if you do this. Saving a little could mean a lot.

3) Cut back on withdrawals to avoid over the limit bank fees. It’s your money so you think you can withdraw money from your account as often as you like for free.  Think again.

The most common withdrawal limit is six times per statement cycle.  After that you pay a fee of $10 each time.  If you go over the limit just once a month, you are looking at $120 a year in fees.

Get into the habit of taking out more cash every time you withdraw.  Manage your expenses so you don’t make frequent withdrawals.

4) Make your account active. If you allow your account to stay idle for 60 days you could get slapped with an account inactivity fee ranging from $3 to $12 a month.  This fee is applied to your account 60 days after it stayed idle.

So, if you didn’t make a withdrawal or make a deposit in one year, even when you are maintaining the minimum balance requirement, you could end up paying $36 to $144.

100 Euro

5.  Watch out for and avoid the sneaky foreign fees. If you are in the habit buying items online from other countries, be wary of currency conversion fees.

For example you bought a cashmere sweater from France, expect to see an extra charge on your statement.  The fee for converting a foreign currency to US dollars is usually 3% of the value of the transaction.

And, there may be another shocker about to hit you. For using your bank’s credit card or debit card online to buy something from a company that simply processed the transaction in a foreign currency, you also get hit by another fee.

Let’s say you bought cosmetics from an Italian company that has stores in the US.  If the company processes the transaction through an Italian bank, you could end up paying an international transaction fee. Check out the terms and conditions about payments on the website of foreign companies operating on US soil.

You may think that one fee item is small and nothing to be concerned about.  But, these fees could add up to thousands of dollars in a year and could catch you unaware. Forewarned is forearmed.  It’s always good to know about these things.

Home Business: Your Best Choice

The Doe-eyed Friends of Dorean Varmann may not even read a line of this post.
If you’re reading this, you would probably feel insecure because of what they might think of you.
But, does it really matter what they think? Does it really matter who they think you are?

Continue reading “Home Business: Your Best Choice”

Five Compelling Reasons Why Wealthy Affiliate Is Perfect

Five Compelling Reasons Why Wealthy Affiliate Is Perfect for Baby Boomers and Retirees

You may have been searching on the internet for the best way to make money online. You may have tried this and tried that, but never had any measure of success.

You may have fallen victim into scams and lost a bundle. You may have tried drop shipping too and experienced the disappointment of minimal gains vs. tons of work. How about the hustle of returns?

You may have tried MLM and found that you are not really getting into the business of selling products, but are involved in the process recruiting for spots to expensive training, and placement in the hierarchy of people with different ranks.

Basically, MLMs (AKA Pyramid Schemes) work like this – Continue reading “Five Compelling Reasons Why Wealthy Affiliate Is Perfect”

It was one evening in Spring . . . .

The snotty gurus of online marketing and the owners of the best at home businesses on the internet would probably laugh if they read this.

But,  one early evening in late Spring of 2017,  two friends from high school met at their 50th anniversary class reunion . . . . . . . .

They were very much alike these two friends. Both were retired, both were still married to their college sweethearts, both had grandchildren, and both were in their 70’s.

But, here the similarities ended.

One looked happier, vibrant and younger than his 72 years. The other was stooped, and wrinkled, with deep worry lines on his face.

What caused these differences?

Continue reading “It was one evening in Spring . . . .”

The Crisis Facing the Baby Boomer & Retirement

A Real Crisis

The crisis facing the baby boomer and retirement isn’t a pipe dream. It’s real.

Here’s a scenario to seriously consider. An elderly gentleman gave his credit card to the cashier to pay for his purchase. The cashier inserted the card into the machine. And . . .bam! short of funds! Not enough balance in the card. What an embarrassment! With all those other customers looking.

If you are a baby boomer who is about to retire or has already retired, this could be you. Would you allow this to happen to you? Just the one time when you got the chance to own that sporty jacket, the one you’ve been hoping to buy, and you’re short of funds!

Sometimes, in your haste to grab something before others do, you forget to check. These things happen to other people too. But, in your case – just that one time – it was a disaster.

Do You Have to Suffer Through All This?

Continue reading “The Crisis Facing the Baby Boomer & Retirement”

10 Steps to Building a Successful Online Business

A No-brainer?

Building a successful online business takes a lot of work, contrary to the blurb on the internet that it is a no-brainer. Those who propagated this talk probably didn’t try to build one in the first place.  It may not be very hard, but it is not easy either. And, it is a lot of work.  Once you set it up, you need to continue working to keep it up.  It’s not like some kind of an auto-pilot thing.

The steps are listed below.

I  – Identify Your Target Audience: Finding your Niche

Continue reading “10 Steps to Building a Successful Online Business”

Best Home Business: Your Passion

More on Your Passion

People who are into research on passion, often come up with ideas that appear to be contradictory.  Some say that following your passion does not necessarily lead to happiness.  Seems like your search for the best home business is in jeopardy.  However, such claims are just opinions, and not backed by research.  Granted that they are expert opinions but still, they are just opinions.

After reading through these write-ups I got the sense that the arguments center on –  trying to find and to follow your passion doesn’t lead to happiness.  It’s like chasing after rainbows.  It’s like saying that it probably doesn’t exist.

On the other hand, the mainstream thought (which are backed by research actually) on passion as the driving force behind success and happiness is focused on actively working on getting involved in your passion.

One argument says –“actively searching for your passion and following it is futile,” and the other says, “working actively on, and getting involved in your passion can lead to a sense of fulfillment and success.”  As you can see, there is no ground for argument because one side is still searching and the other already has one. 

Giving Up on Finding Your Passion?

Continue reading “Best Home Business: Your Passion”

What Is the Best Online Home Business for a Baby Boomer?

“A warrior does not give up what he loves, he finds the love in what he does.” Socrates

It’s About Passion

A baby boomer is a hard worker. There’s no doubt about that. You powered the world economy in the 70’s, 80’s, 90’s and early 2k. But, now you are retired and you deserve a rewarding career that allows you the freedom to work as you choose.

But, at the same time, something that makes an income that gives you enough to have fun in your senior years. This will be your reward for all those years of hard work. You can now focus your work ethic toward having your own online home business. Hard work always brings results.

So, what is the best online home business for a hard-working baby boomer like you? Continue reading “What Is the Best Online Home Business for a Baby Boomer?”

Entrepreneurship and What It Takes To Succeed

Nothing New, But Not Old Hat

If you think entrepreneurship is a 20th century idea you could be wrong. Sometime in the 1800, a Frenchman by the name of Jean-Baptiste Say coined the term entrepreneur, and defined it as someone who “shifts economic resources out of an area of lower and into an area of higher productivity and greater yield.”

In this post I’m going to go into some details about who the entrepreneur is and how he is “different” from the cut-and-dried business owner. If you are an online home business owner it is really a good idea to know how the entrepreneur thinks.

The word entrepreneur has its roots from the French term entreprendre meaning to “undertake.” Back then, the popular understanding of entrepreneur was someone who acts as a contractor between capital and labor. The more modern understanding of an entrepreneur is one who takes great risks in an enterprise in order to achieve high profits.

Risks Scare People

Continue reading “Entrepreneurship and What It Takes To Succeed”

Lessons from Peter F. Drucker

In his last book on management, before his death in 2005, noted management theorist Peter Drucker lists five questions that he insists must be answered if you want to succeed in your business, whether it’s the actual brick and mortar, or home-based business. But, before proceeding any further, a few words about who Drucker was.

Drucker was a recipient of the Presidential Medal of Freedom, the highest award bestowed on a civilian in recognition of “an especially meritorious contribution to the security or national interests of the United States, world peace, cultural or other significant public or private endeavors.” This award was given in 2002 in recognition of his contribution to business and management, and the social sciences.

So, when it comes to business and management, Drucker knew whereof he speaks. Though he hated it, Drucker is often referred to as a management guru. His works challenged conventional and traditional management wisdom and shattered many long standing beliefs about how to run a successful business.

In this post I’m going to enumerate these five questions to provide you with a guide in your online business. Consider it a bit of online business training.

So, hereunder is the list. Take a look at it and see if you’ve gone into any of them and find out if you are on track with answering any or all of them..

1. What is your mission?

Continue reading “Lessons from Peter F. Drucker”