Are you tired of seeing those pesky monthly maintenance fees chip away at your Bank of America checking account balance? You're not alone! Many bank customers face this very issue, but the good news is that Bank of America offers several ways to avoid these charges. This comprehensive guide will walk you through each step, helping you keep more of your hard-earned money in your pocket.
Navigating Bank of America's Monthly Maintenance Fees: A Step-by-Step Guide
Let's dive into how you can strategically manage your Bank of America account to eliminate those monthly maintenance fees.
Step 1: Identify Your Account Type and Its Associated Fee
Before you can avoid a fee, you need to know what fee you're actually paying and for which account. Bank of America offers various checking accounts, each with different fee structures and waiver requirements.
Sub-heading: Understanding the Common Bank of America Checking Accounts
- Bank of America Advantage SafeBalance Banking®: This account is designed to help you avoid overdrafts, as transactions will be declined if you don't have enough money. It typically carries a monthly fee of $4.95.
- Bank of America Advantage Plus Banking®: This is a more traditional checking account, offering features like checks and overdraft protection options. Its usual monthly fee is $12.
- Bank of America Advantage Relationship Banking®: This account is designed for those with higher balances and offers more comprehensive banking services. It comes with a higher monthly fee, typically $25.
Take a moment to check your monthly statement or log into your online banking portal to confirm which account type you have. This information is crucial for determining the specific waiver requirements that apply to you.
Step 2: Explore the Universal Fee Waiver Strategies
While each account type has specific waivers, there are a couple of broad categories that apply across most Bank of America checking accounts.
Sub-heading: The Power of Preferred Rewards
Are you a loyal Bank of America customer with significant assets? The Bank of America Preferred Rewards® program is one of the most powerful ways to waive monthly maintenance fees across multiple accounts.
- How it works: This program rewards clients based on their combined balances in eligible Bank of America deposit accounts (checking, savings, CDs) and/or Merrill investment accounts. As you reach higher tiers (Gold, Platinum, Platinum Honors, Diamond Honors), you unlock various benefits, including waived monthly maintenance fees on a certain number of checking and savings accounts.
- Benefits: For Gold, Platinum, and Platinum Honors tiers, the monthly maintenance fee is waived on up to four eligible checking and four eligible savings accounts. For the Diamond Honors tier, the waiver is unlimited.
- Actionable Tip: If you have significant funds spread across different financial institutions, consider consolidating them with Bank of America and Merrill to potentially qualify for Preferred Rewards. It's not just about fee waivers; you also get benefits like credit card rewards bonuses, interest rate discounts on loans, and more.
Sub-heading: The Under-25 Rule (Especially for SafeBalance)
If you or an account owner are under the age of 25, you might be eligible for a fee waiver, particularly for the SafeBalance account.
- How it works: For the Bank of America Advantage SafeBalance Banking® account, the $4.95 monthly fee is waived if an account owner is under the age of 25. This also applies to the Bank of America Advantage Savings account.
- Important Note: If you add an owner under the age of 25 to an existing account, it may take a few business days for the waiver to become effective. Fiduciary accounts (like trusts) generally do not qualify for this waiver.
Step 3: Dive into Account-Specific Fee Waiver Requirements
Now, let's get into the nitty-gritty of how to avoid fees for each of the main Bank of America checking account types.
Sub-heading: Waiving the Advantage SafeBalance Banking® Fee ($4.95)
Besides the universal waivers mentioned above, SafeBalance offers one key balance-based waiver:
- Maintain a Minimum Daily Balance: You can avoid the $4.95 monthly maintenance fee if you maintain a minimum daily balance of $500 or more in your Advantage SafeBalance Banking® account during each statement cycle.
Sub-heading: Waiving the Advantage Plus Banking® Fee ($12)
The Advantage Plus Banking® account has more options for fee waivers:
- Qualifying Direct Deposits: Have at least one qualifying direct deposit of $250 or more made to your account each statement cycle. A "qualifying direct deposit" typically refers to regular income deposits from your employer, pension, or government benefits. Transfers between your own accounts or teller deposits usually do not count.
- Maintain a Minimum Daily Balance: Maintain a minimum daily balance of $1,500 or more in your Advantage Plus Banking® account during each statement cycle.
- Be a Preferred Rewards Member: As mentioned in Step 2, being a Preferred Rewards member (Gold, Platinum, or Platinum Honors tier) will also waive this fee.
Sub-heading: Waiving the Advantage Relationship Banking® Fee ($25)
Given its higher fee, the Advantage Relationship Banking® account has a higher bar for fee waivers, focusing on combined balances:
- Maintain a Minimum Daily Balance: Maintain a minimum daily balance of $20,000 or more in your Advantage Relationship Banking® account during each statement cycle.
- Combined Balances: Have combined balances of $20,000 or more across all your eligible Bank of America Advantage Relationship Banking accounts each statement cycle. This can include current balances in linked eligible investment accounts (like Merrill accounts).
- Be a Preferred Rewards Member: Being a Preferred Rewards member (any tier) will waive this fee.
Step 4: Proactive Account Management and Review
Avoiding fees isn't a one-time setup; it requires ongoing vigilance.
Sub-heading: Monitor Your Balances Regularly
- Set up alerts: Bank of America offers online and mobile banking alerts that can notify you when your balance falls below a certain threshold. This is an invaluable tool to ensure you don't accidentally dip below the minimum balance required for your fee waiver.
- Review statements: Regularly check your monthly statements for any unexpected fees and to verify that your waiver conditions are being met.
Sub-heading: Consider Consolidating Accounts
If you have multiple accounts at different banks, consolidating them at Bank of America could help you meet the minimum balance requirements for fee waivers, especially if you're aiming for the Advantage Relationship Banking or Preferred Rewards benefits.
Sub-heading: Understand "Qualifying Direct Deposit" Nuances
If you rely on direct deposits for a fee waiver, ensure your deposits meet Bank of America's definition of "qualifying." Deposits from services like Zelle, Venmo, or transfers from other personal accounts generally do not count. It needs to be a direct payroll deposit from an employer or government agency.
Step 5: When All Else Fails: Communicate with Bank of America
Sometimes, despite your best efforts, a fee might slip through. Don't despair!
Sub-heading: Requesting a Fee Waiver (Grace Period)
- If you've accidentally incurred a fee, especially if it's your first time or a rare occurrence, consider calling Bank of America's customer service (the number is usually on the back of your debit card or on their website). Explain your situation politely and ask if they can offer a one-time fee waiver as a courtesy. Banks often value customer loyalty and may be willing to assist.
- Be prepared to explain why the fee was incurred (e.g., "My direct deposit was delayed this month," or "I accidentally transferred more than I intended").
Sub-heading: Re-evaluating Your Banking Needs
If you consistently struggle to meet the waiver requirements for your current Bank of America account, it might be time to:
- Downgrade your account: Consider switching to an account with lower or more easily attainable waiver requirements, such as the SafeBalance Banking account if you primarily use your debit card and don't need checks.
- Explore other banking options: If Bank of America's fee structure doesn't align with your financial habits, research other banks or credit unions that offer fee-free checking accounts without stringent requirements. Many online-only banks, for instance, pride themselves on offering no-fee accounts.
Frequently Asked Questions about Bank of America Monthly Maintenance Fees
Here are 10 common questions related to avoiding Bank of America monthly maintenance fees, with quick answers:
How to check my current Bank of America account type?
You can check your account type by logging into your Bank of America online banking, reviewing your monthly statement, or calling customer service.
How to set up direct deposit with Bank of America to waive fees?
You typically need to provide your employer's payroll department with your Bank of America account number and routing number. You can often download a pre-filled direct deposit form from your Bank of America online banking portal.
How to qualify for Bank of America Preferred Rewards?
You qualify by having an active, eligible personal checking account with Bank of America and maintaining a combined balance of at least $20,000 (for Gold tier) across eligible Bank of America deposit and/or Merrill investment accounts.
How to find out my current balance for fee waiver purposes?
You can check your current balance through online banking, the mobile app, or by calling customer service. Remember that for many waivers, it's the minimum daily balance within a statement cycle that counts.
How to avoid the Bank of America Advantage SafeBalance Banking fee?
Maintain a minimum daily balance of $500, be under 25 years old, or be a Preferred Rewards member.
How to avoid the Bank of America Advantage Plus Banking fee?
Have at least one qualifying direct deposit of $250+, maintain a minimum daily balance of $1,500+, or be a Preferred Rewards member.
How to avoid the Bank of America Advantage Relationship Banking fee?
Maintain a minimum daily balance of $20,000+ or be a Preferred Rewards member.
How to switch my Bank of America checking account type?
You can typically switch your account type by visiting a Bank of America financial center or by calling customer service. It's often a straightforward process.
How to know if a direct deposit is "qualifying" for a fee waiver?
A qualifying direct deposit is generally defined as regular income (salary, pension, Social Security) made by your employer or payer using your account and routing numbers. Transfers from other personal accounts or third-party payment apps usually do not qualify.
How to ask Bank of America to waive a fee if I accidentally incurred one?
Call Bank of America customer service and politely explain your situation. If it's a first-time occurrence or an unusual circumstance, they may offer a one-time courtesy waiver.