Australia: Complacent banking customers stung by unnecessary fees

A recent study recently conducted by Finder.com.au has revealed Australian spend, on average, $122 a year on unnecessary monthly fees for transaction and savings accounts. A staggering 1 in 10 individuals don’t know what bank fees they pay per month nor what they are for, adding up to a total of $1.04 billion in monthly fees per year.

A staggering 1 in 10 individuals don’t know what bank fees they pay per month nor what they are for, adding up to a total of $1.04 billion in monthly fees per year.

This figure is however an improvement with RBA results showing that the average monthly fee paid by households on their transactions account is sitting at its lowest level in 15 years. While data from RBA shows account fees at a record low, RFi Group data suggests consumers continue being charged unnecessarily because fees are no longer a primary driver of choice for transaction accounts. Only 1 in 6 consumers identified they opened their primary transaction account because of the monthly fees. Factors, such as trust, existing relationships and ATM locations were identified more likely to drive transaction account provider choice.

Although fees are not the greatest driver of choice for those consumers looking for fee free transactions accounts there are a number available from include National Australia Bank (NAB), HSBC, ING Direct, Bank of Melbourne and Bank SA.

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