Do You Read the Fine Print?

by Miriam Caldwell | More from this Blogger

05 Jul 2007 08:01 PM

Have you opened a new account at the bank lately? Did you receive a pamphlet explaining the rules and terms of your account? Or have you recently received a new pamphlet in one of your statements from your credit card or checking account? Did you read it or did you just file it away or toss it in the garbage? It really is important to read the fine print when it comes to bank accounts and loans.

Banks are businesses that are out to make a profit. They do this in many different ways, which include earning interest on your money and through the fees that the banks charge you. By law the bank can not make changes in the way that they operate your account without notifying you. They will do this by sending out the changes along with your statement. Once they have done this they can go forward with the changes that they have made.

You may also have signed up for an account with a special offer that waives the minimum balance requirement for a year. Once the year is up and you are not maintaining the minimum balance you will be charged the fee. This may come as a surprise because you did not read the fine print.

In your loans you may find that there is a penalty for early repayment for a certain length of time. Or you may find that your interest rates go up every time that you have a late payment or the late payment fee may have increased. You may find out that you can get a lower interest rate by having the payment automatically deducted from your checking account.

It is your job to be a responsible consumer. This means reading and understanding the fine print in all the documents that the bank gives to you. If you do not understand something, ask your bank. They are obligated to explain things to you.

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Learn more about Miriam Caldwell

Miriam is a SAHM mom of three children. She has a daughter who is seven, and two sons, four and two. She loves being a parent and spending time with her children.

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