Bank fees keep changing, and experts say they depend on things like economic conditions, new rules, and competition from fintech companies, as stated by the report by The Sun. Banks use these fees to increase revenue and cover operational costs, and even though each fee looks small, they pile up fast and hurt people’s financial health.
Rising ATM fees in the U.S.
Inflation is making many bank fees go up, especially ATM fees, which are rising because fewer people are using ATMs now. The average cost of using an out-of-network ATM has jumped to $4.86, up from $4.77 last year, according to Bankrate’s 2025 checking account and ATM fee study, as cited by The Sun. This $4.86 total includes a $3.22 surcharge from the ATM-operating bank and a $1.64 fee from your own bank for using an outside ATM.
Some big U.S. cities are the worst offenders, with average out-of-network ATM fees now crossing $5 per transaction.
City-by-city ATM fee breakdown:
- Atlanta: $5.37
- Phoenix: $5.35
- San Diego: $5.31
- Detroit: $5.25
- Cleveland: $5.21
- Miami: $5.11
- Tampa: $5.05
- Los Angeles: $4.99
- San Francisco: $4.99
- Pittsburgh: $4.98
Other bank fees hurting Americans
Overdraft fees, charged when banks cover transactions that push your account negative, have dropped slightly but still hurt people’s wallets. The average overdraft fee is $26.77, down 1% this year, and imposed by 94% of checking accounts, according to Bankrate. The average nonsufficient funds (NSF) fee — charged when the bank declines a payment — has fallen for the fourth straight year to $16.82, a new record low.
Another cost hitting Americans is the monthly service fee for interest checking accounts, now at $15.65, Bankrate found. Minimum balance rules are also going up. The average minimum balance is now $10,705, which is almost 5% higher than last year, according to The Sun. Bankrate also shared the most common bank fees. These include ATM surcharges, fees for using ATMs outside your bank, overdraft fees, NSF fees, and monthly service charges.
People can avoid many of these fees by choosing bank accounts with low fees, using only their bank’s ATMs, and checking their balance often. Other easy tips are turning on balance alerts, keeping the minimum balance in the account, or using direct deposit to skip monthly fees. Even with all these rising fees, Americans stay loyal to their banks, keeping their checking accounts at brick-and-mortar banks for 19 years on average, according to Bankrate’s survey. To avoid ATM surcharges completely, experts say you should pick banks with large ATM networks, such as:
- Capital One: 70,000+ ATMs
- Citibank: 60,000+ ATMs
- Discover Bank: 60,000+ ATMs
- PNC Bank: 60,000+ ATMs
- Bank of America: 15,000 ATMs
- Chase Bank: 15,000 ATMs
Another trick is to get cash back at stores using your debit card at checkout, which avoids any ATM fee. Some banks also reimburse ATM fees from other banks, which can save customers a lot of money.
FAQs
Q1. Why are ATM fees so high in the U.S.?
ATM fees are high because banks are raising surcharges, inflation is increasing costs, and fewer people use ATMs now.
Q2. How can I avoid paying extra bank fees?
You can avoid bank fees by using in-network ATMs, choosing low-fee accounts, setting balance alerts, or keeping the required minimum balance.