Financial Regulation
Financial Regulation
checking
6 ways to avoid pesky overdraft fees

Link to a backup account
Next
5 of 8
Back
text

Another strategy is to link your checking account to a savings account, line of credit or credit card that you authorize the bank to tap to cover an overdraft. This approach is an option if you can qualify for a line of credit or credit card, or you have a cushion in your savings account.

But while a linked account should be less costly than an overdraft fee, it might not be free.

"Some banks charge a fee to transfer money from one account to another, and you might want to consider what interest rate is being offered on the line of credit," Kaplan says.


 

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
CD & INVESTING NEWSLETTER

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

Ask Dr. Don

Quickest path toward $1 million?

Dear Dr. Don, This question involves how best to make for a better life for my family. How can I make a one-time investment of $5,000 grow into $1 million or more over 60 years? One of my broader goals is to encourage my... Read more

advertisement
Partner Center
advertisement

Connect with us