The average cost to US
banks of maintaining a checking account is around $400, according
to a report from consultants Javelin Strategy.
Javelin’s The Cost of
Regulation: The Necessity of Bank Fees report estimates that major
US banks charge almost three times the average fee for basic
current accounts compared to community banks.
Go deeper with GlobalData
The survey also noted
that less than one in ten US current account holders incur
overdrafts on a monthly or more frequent basis.
The upward trend in
checking account and banking transaction fees over the past ten
years across banks of all sizes is borne out by the
survey.
US current account
holders now pay around 26% more in basic demand deposit account
fees and 53% more for returns of deposited items than they
would have in 2002.
Jim Van Dyke, president
of Javelin said in a statement:
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData“Consumers need to reset
their expectations around fees and services,
“Larger financial
institutions (FI’s) typically offer 24/7 multichannel convenience,
while community banks and credit unions commonly offer free
checking or lower monthly account fees and more personalised
customer service.
“FI’s can help consumers
understand which specific banking services align with their
financial behaviours to maximise the value of the services they
use.”
