Banks, credit card companies, and other businesses love to charge you fees for violating their rules Whether it’s late fees, ATM fees, check stop-payment fees, overdraft fees, bounced-check fees, or any other fee, businesses are determined to get every dime out of you they possibly can But there are ways you can avoid paying these fees You just have to be shrewd Here’s how to avoid paying three of the most common fees

(1) ATM Surcharges — Any time you use an ATM that doesn’t belong to your bank, you’re going to pay for it Sometimes the charge is only a dollar But it can be as high as $4 or more, depending on the bank And sometimes your own bank will charge you for using another bank’s ATM That makes for a really expensive withdrawal

How to Avoid — The best way to avoid these fees is to plan ahead and withdraw money from an ATM your bank owns But you do have another option Many grocery stores, drugstores, and discount stores (such as Wal-Mart) will allow you to get cash back from the register when you use a debit card to check out The bank you use typically won’t charge you for these transactions

(2) Credit Card Overdraft Protection — Many banks offer a credit card to protect you from overdrawing your checking account But the protection comes with a price While the fees are usually cheaper than overdraft charges, they’re still expensive Most of the cards will charge a fee each time the protection is used (up to $20 per transaction) And they count the transaction as a cash advance, which almost always carries a higher interest rate To make matters worse, the transaction begins to draw interest the day it’s made There is no grace period

How to Avoid — The most obvious way to avoid this is to keep enough cash in your checking account to make sure you never overdraw the account If that’s too difficult, put some money in a savings account and set it up as your overdraft protection Just make sure you put the money back as soon as you can Otherwise, you’ll deplete your savings

A Word of Caution — Many banks will charge you a hefty fee for overdrawing your account And they’ll charge the fee each time you do it So if you use a check card or debit card to purchase small items, such as coffee or meals, each purchase that overdraws your account will rack up another $30+ charge to your account Before you know it, you’re charged $150 without even trying

(3) Credit Card Late Payment Fee — When you use a credit card, you have to make a payment by the due date If you don’t, the credit card company charges a huge fee (up to $39), and it damages your credit report Even worse, credit card companies do everything they can to make you late for your payment For instance, they have the due date on Sunday But the company is closed on Saturday and Sunday So the payment is actually due on Friday If you plan to have your payment arrive on time, the mail won’t arrive until Monday — and you get slapped with a late fee They also change their mailing address with no warning If you make payment using auto-bill pay, you’ll mail the check to the wrong address And the company won’t give you credit for the mistake

How to Avoid — If your bank offers a bill-pay feature, see if it also accepts electronic bills directly from your credit card company If so, you can sign up for electronic billing and then set up your payments to be paid either immediately upon receipt of the bill or by the payment due date Either option will allow you to avoid late charges If electronic bill-pay is not an option for you, you’ll need to make your payments early or get rid of your credit cards and use cash only Actually, there’s one other choice, but not many cards offer it Some credit cards will let you sign up for the company to withdraw the full amount due on the due date from your checking account I don’t like the idea of giving them access to your checking account, but it’s usually better than paying late-payment fees

Steve Kroening writes for Success magazine and also publishes Wisdom’s Edge. You can get Biblical tips on health, finance, relationships, parenting, and success, delivered to your email inbox every week. Simply visit http://www.wisdomsedge.com and sign up for this free e-zine.

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Concerns about the turmoil witnessed in the financial markets is to see many Britons attempt to rein in their spending in the build-up to Christmas, a new set of figures indicates

In a study carried out by Cornhill Direct, just under a third (30 per cent) of consumers state that they are going to spend less money during this festive season as a result of the recent credit squeeze Following the event, a number of financial providers have increased the rates of interest attached to their loans and other borrowing products, in addition to withdrawing a number of offers

Pointing to research conducted during last Christmas, the insurance company revealed that the typical person spent some 2,114 pounds during the yuletide period, a fall of 4 1 per cent from the 2,200 pounds recorded in 2005 Overall, the largest area of spending was on presents, where an average amount of 1,059 pounds was spent relatives, friends, work colleagues and other people, with a low cost loan one possible way of funding such spending Meanwhile, 445 pounds 21p and 193 pounds 66p was spent on festive food and Christmas parties respectively Further research from the firm also revealed that just over 34 pounds was splashed out on wrapping paper last year and 92 pounds on new outfits

Meanwhile, about one in three Britons claim that they go into the red every Christmas, whether this is via overdrafts, loans, credit cards or other means Furthermore, financial problems appear to be even more pronounced for the ten per cent of these consumers who state that they are still making repayments on debts 12 months after overspending during the festive season And as a result of events such as the Northern Rock collapse, the global credit crunch and the base rate of interest staying at 5 75 per cent, the firm suggested that spending could be set to fall even further this Christmas

Commenting on the study, Simon Coughlin, a spokesperson for Cornhill Direct, said: “It seems extraordinary that one day in the calendar can have such an impact on people’s finances ” However, he warned that unless homeowners take sufficient security precautions with their property and ensure that they amend their insurance policies, many may come under even more monetary pressure Pointing to official crime statistics, Mr Coughlin stated that levels of domestic burglary rise during the winter months As a result, he reported the need for people to be “even more security conscious than usual”, as the cost replacing items that have been stolen during Christmas could impact on their ability to make home loans and mortgage repayments

Consequently, both those looking to reduce pressure on their spending in the run-up to Christmas and people replacing stolen items may wish to consider a cheap low rate loan as a means of helping them to get to grips with their money For the former, using a loan as a means of debt consolidation could leave borrowers with more disposable income, while for the latter a cheap loan may provide an effective means in which to fund purchases Applying for a loan may also be particularly helpful for those concerned how they will manage finances as the festive season approaches Earlier in November, research by Nationwide showed that just 14 per cent of people saw this month as an ideal time to make a large purchase, with a loan one way in which to help with spending

Mark Dawson writes for Loan-Arrangers .co.uk where visitors can compare loans online. Then apply for the best secured loans and bad credit loans available.

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Credit correction can makeover your credit report and improve your credit ratings But the true potential of credit correction and debt consolidation loans goes far beyond a credit makeover ; done right it can carry you all the way to credit perfection, that evasive holy grail of the financial world

Whatever your kick off point, if you apply the right principles you can regroup and experience quick and dramatic improvement And if you’re systematic about your credit correction mission you can refinement your way to the top, sooner than you ever imagined

Grasp the Higher Principles

the bedrock of genuine credit correction success is a firm grasp of the FICO scoring model I am not referring to a technical appreciation of the elements of a credit report and their relative weights You need to understand the mind of the FICO model, the true incentive of the engineers at Fair Isaac The FICO model is not a communication card for patrons ; it is a warning system for lenders ; FICO is intended to measure the potential of future default The behaviour that will change your FICO score may surprise you, but it all sounds correct

FICO and revolving Balances

The reputedly inordinate weight that FICO puts on your revolving balances is essentially a good barometer of potential monetary trouble in your life, and hence a good spot to start targeting your credit repair refresh Revolving debt has the unique characteristic of changing on a day-to-day basis You use your credit cards, run them up, and pay them down FICO recognizes that low balances most often happen in occassions when you have a budget surplus and all is well in your checkbook Inversely, topped off credit cards happen during troublesome times and typically indicate a proscribed humble budget which can be the forerunner of late payments

credit correction and revolving Balances

FICO will recommend you to potential lenders by raising your credit scores when your card balances are low And they’re going to warn possible lenders off by lowering your scores when your balances are high Here are the numbers to put to work in your credit repair effort FICO measures the use of your credit lines in twenty percent increments 20, forty, sixty, eighty, and 100 pc card utilization are all recognized ; the lower your balance, the higher your score Please note the extremes are dramatic Get your balances below twenty percent and your scores will soar Go over eighty percent and you could lose up to 150 points

The consumer debt Problem

The FICO scoring model has an incorporated bias against consumer borrowing, which includes store cards, gas cards, and store loans for purchases like furniture and electronics Remember to think like FICO if you need to succeed at credit repair You could be a responsible user of consumer debt, but on average this type of debt is inferior, a loan of last resort carrying raised rates In some cases it even features no-payment options which mature into budget-wrecking surprises a year or so down the line This is a concern for FICO You should always make good fiscal calls, so use the best deals you will find, but be conscious of the potential effect on your credit repair

Think Positive

you must feed your FICO score You need to communicate positive info to the credit companies every month by making your payments in good time If hard times have left you with bad credit you must open a couple of credit cards, make your payments on time, and keep your balances low There are no options Your credit repair effort may eliminate prejudiced info from your credit report, but without open active accounts your credit scores will never get off the ground You should keep that positive info flowing

Get Expert advice

credit correction has become more advanced over the years Once upon a time if you made your payments on time you would be fine Now, the subtle issues are many and significantly influential If you are feeling up to the task, go on and try it on your own But if at any point you decide that you do not have the resources to do it properly, hire a credible credit repair service Most professional credit correction services will insure that each opportunity is explored, implemented, and managed correctly Good luck!

Daniel, debt consolidation and payday loans specialist.

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