Banks are great at charging high fees, but give us little in return for the money we keep in their checking or savings accounts. This article will give you proven techniques that can potentially save you a ton of money over time, by eliminating those high fees, and interest rates banks charge on a day-to-day basis. 

As a former bank manager for a major retail bank in the Seattle area, I can tell you first hand that banks are as happy as a clown at the circus when you overdraw your account, or when they have other reasons why they can charge you additional “fee income.”  

It’s time to take a stand and stop the banks from forcing us to pay high interest charges, and other miscellaneous fees. Whether you make over $100,000 per year or $10,000 per year, the following techniques will work in lowering the cost of your debts.  

Tip #1: Always review your billing statements  

Check ALL statements from utility bills or bank account statements to your cellular phone bill and mortgage loan statements. Errors happen, and you don’t want to have to pay for someone else’s mistake. Be sure to check the interest rate, interest charges, any fees and all purchases to make sure they are correct.  

Tip #2: If you don’t ask, You don’t get 

If you don’t ask someone on a date, or if you fail to ask your boss for a raise, how in the world will you ever know if you can get what want need or deserve?  This same principle applies to getting fees waved, and rates lowered on your existing accounts. Start by asking nicely for fees to be waved, rated to be lowered, etc. “Can you assist me with lowering my rate… Can you assist me with waiving that fee, or do I need to speak to someone else?” Don’t be afraid to ask to speak to their supervisor or manager if the person you are talking to is less than positive. If you persist, you will succeed.  

Tip #3: Ask for help 

Ask the bank representative for help. “Who would you suggest I speak with about getting this rate lowered or fee waived? What do you suggest I say to them?” You would be surprised to find that some reps are actually willing to give you some good pointers. Another question that works is: “What do I need to do to get my rate reduced, etc.”  No matter the reason or circumstances, always call and attempt to get your fees waved or rates reduced. Ask about any promotional offers, or new card you may be eligible for. This also works for getting credit line increases as well.   

Tip #4: Explore all options  

Don’t be afraid to threaten to leave the bank, or threaten to close a credit card account if you don’t get what you are looking for. Tell the rep on the phone that you have other offers. Banks want to keep your business, rather than lose your account. Start making the banks fight for your business. You have to have them participate in a bidding war for your money and business. If you are stuck sopping for money in one store, that store is going to keep its prices very high, because they know you have no other place to shop. Once you let the bank know you have other options, they tend to be a bit more flexible. You cannot allow one bank to rule your financial destiny. There are so many credit card lenders out there, competing for your business, that you’ll eventually find one that will give you a better deal. There’s no reason to stay with any one bank.  

Tip #5: Don’t haphazardly start closing your credit card accounts 

Closing some credit card accounts can cause more harm than good. Any account that is 18 months or older in your credit file is going to hold more weight in your credit score than accounts less than 18 months old. Don’t be hasty in closing accounts once they are paid off either. If you close your accounts you close your credit options. Be sure to use all your credit cards for at least two weeks each year. This will keep your account “active” and keep your credit score at its peak.  

For more information, please contact Gabriel Avalos directly @ 206.423.6733 or online at www.teamavalos.com.

ABOUT THE AUTHOR
Gabriel Avalos is Vice President of LG Capital Funding in Bellevue, Washington. His 10+ year career specialty includes credit restoration, personal finance, and debt management.