Money · Advice & Questions · Oct 18

Should I keep a $5-a-month bank account because I can walk into the branch?

Money

I was ready to close my account when I saw the $5 monthly fee again. Then I remembered how easily I'd taken a bag of cash into the branch last week.

I receive a small amount of cash from occasional weekend work. The branch is on my walk home. The alternative account I'm comparing has no monthly fee, but its advertised cash-deposit option at a local shop costs $3 per visit. I usually deposit once or twice a month. I haven't checked every other term yet.

My brother says paying $60 a year for a branch is outdated. I mostly bank on my phone, so I understand his point. But the shop's hours are less convenient, and I like being able to ask a question at the counter when I'm already passing.

Would you compare only the likely fees, pay a little for the convenience, or try the new account before closing the old one? I don't want to defend a familiar bank merely because changing takes effort, but I also don't think 'no monthly fee' describes the whole cost for me.

Discussion

3 community replies

@MorganSays

On the deposit charges you've quoted, one visit a month would cost $36 a year and two would cost $72. Those are useful comparisons with the current $60 fee. They aren't a complete account comparison until you've checked the other terms and how often you actually need the service.

@TheoInTransit

Walking past a branch you use is a concrete convenience, rather than a vague attachment to the old bank. Name what you want from it: cash deposits, help with questions, or both. That makes the extra cost easier to assess.

@maren17

Could you safely and conveniently deposit less often, or would that leave you holding more cash than you want? Don't assume monthly consolidation is free of inconvenience just because it lowers the number of $3 charges.

Should I keep a $5-a-month bank account because I can walk into the branch?

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