There’s no such thing as free banking, says Felix Salmon.
The Reuters financial reporter recently blogged about his frustration with his bank’s lack of transparency on his not-so-“free” checking account. After uncovering a complicated system of overdraft fees, automatic transfers and interest rates, he wonders what other kinds of hidden fees he hasn’t noticed.
Salmon suggests a combination of legislation and regulation to force banks into a more transparent system. But still, this begs the question: are upfront monthly fees really preferable to hidden fees?
If you’re tired of being nickel-and-dimed by your bank, consider joining a not-for-profit credit union.