A lot of people are using cash more and credit cards less — the number of people using ATMs “a few times a week or more” has grown by 32% (see the figure below). That’s a big percentage change for a service that’s been a part of our landscape for decades.

For banks, frequent ATM users are fee-generating machines. How so? Frequent users are more likely to use another bank’s ATM ($2 – $3 ATM surcharge per withdrawal) and unwittingly take out enough cash to bring their balances to below zero (ATM surcharges plus insufficient funds fee or overdraft protection transfer fee).

Tips to avoid paying ATM (and overdraft) fees:

• Use a bank that rebates ATM fees or is affiliated with a surcharge-free network. Many banks now offer rebates for the fees you incur when you withdraw money from a non-affiliated ATM. Alternatively, some banks and credit unions offer access to networks like Allpoint and MoneyPass, which enable you to use surcharge-free ATM locations all over the US.
• Use ATM locators. If switching banks to one that won’t charge fees for ATM use isn’t a great option for you, a little advance planning can save you a lot of money. It adds up to a lot of money if your bank charges a surcharge whenever you use a non-affiliated ATM.
• Transfer money before the withdrawal if you’re worried about falling below zero. If you have an Overdraft Line of Credit, the bank may charge you only interest until you pay it back. But many banks charge Overdraft Transfer Fees if they’re moving the money from one of your other accounts. You can easily avoid this fee by logging into your online banking site and transferring the money yourself.

Background information and notes: FABB users answer questions to estimate fees of checking accounts in their search results. Since FABB was launched, over 62,000 people have answered these questions to compare checking accounts.