Fee fighters

Men's Fitness, August, 1998 by Kevin Foley

* Bank small. It's nice to find a cash machine on every corner, but you pay for the convenience of choosing a big bank. Eighteen of the most common bank fees charged by multi-state banks are significantly higher than the average fees charged by banks that are not part of such organizations, a Treasury department study reports. The disparity ranged from 25 to 36 percent. Shop for lower fees - the Bank Rate Monitor's website (www.bankrate.com) is a good place to start.

* Don't bank at all. If you qualify, consider banking with a credit union. These member-owned nonprofit alternatives to commercial banks charge significantly lower fees, and many are equally convenient. For more information or help finding a credit union in your area, call the Credit Union National Association's information line at 800-358-5710. If you're interested, join soon. Banks have mounted an aggressive legislative and legal attack against credit unions, winning a lower-court decision that said credit unions have to narrow their criteria for membership.

* Join an alliance. Resentment over rising ATM fees led 319 credit unions and six community banks in California to form the No-Surcharge ATM Alliance in 1997. The coalition now boasts more than 430 participating financial institutions and almost 3,000 no-surcharge ATMs in 11 mostly Western states. The group has a list of participating banks and institutions online at www.thecoop.org. Although focused on New England, www.surcharge-free-atms.com includes links to cheap ATM directories covering most of the country.

* Get cash back. Banks almost always charge you to use a foreign cash machine, but they typically don't charge a fee to use their cards at a cash register. If you combine banking with grocery shopping, you can save time and fees. And, starting in July, post offices will give up to $50 in cash back without a fee when you use your card to buy stamps.

* If all else fails, bank with your legislators. Seriously. All but one of the 28 Wells Fargo ATMs surveyed by PIRG in six states assessed a $1.50 surcharge, The exception was located in the California Capitol. A fluke soft-money contribution? The same survey found that seven of the eight Sunwest ATMs in New Mexico assessed surcharges, You'll find the one that doesn't in the state capitol building. Political banking is no guarantee of savings, but it's worth a shot.

Kevin Foley is the fee-hating senior editor of Men's Fitness.