7 Unnecessary Fees that you have been Paying

It is imperative that you save as much of your monthly income as possible. Money becomes harder through the years and we should all be aware of the consequences of not being able to use our resources properly. What most people don’t realize is that there are some habits that we do that require us to pay unnecessary fees. These fees, though they may be “small” can accumulate to a “big” amount through time. Here are some notorious fees that go undetected by most individuals.

1. Withdrawing money from ATMs


To encourage bank depositors to only withdraw from their ATMs, banks are charging an extra fee per withdrawal from ATMs of other banks.
Can you imagine paying 7 pesos for each withdrawal from ATMS of another bank? On payday, it is common to see a long line at the ATMs and for some people who are in a rush, they will most likely get their money from other ATMs. So what should you do to avoid paying 7 pesos every time you want to withdraw money? Firstly, you need to find out the number of ATMs of your bank, especially in your neighborhood and your work place.

Which mall do you usually go to? If you have a BDO account, you will definitely find more ATMs in SM, as BDO and SM share the same owner, Henry Sy. Find out if the bank you have an account with can provide you with enough machines when you need the money.

Secondly, before opening a bank account, read the reviews about the bank. Are they always offline on certain days? And thirdly, ensure that you have made the necessary withdrawals before payday to avoid long queues. This calls for better money management in order to get your cash before the peak days.

2. Load your Prepaid

Prepaid cards

Most Filipinos are practical on their mobile use by only having a prepaid subscription. Though prepaid load can be a good call if you want to stick to your mobile budget, there are some practices that could still improve your mobile phone usage.

For instance, instead of having electronic load, why not choose the prepaid cards instead? Electronic loading stations would typically ask additional P1-P2 for their services.

This started a few years back when telecommunication companies decreased the cut off small loading stations. If you want to save on your load in the long run, a hundred peso card could get you started. This card can last for a month, and could be extended by adding at least a hundred peso on your phone’s remaining balance before it expires.

3. Stop Spamming

SMS spam

Just how many text spams do you receive per day? What most people don’t know is that these things eat up on their mobile credit. For instance, every spam message that you receive can take up to P1 from your balance.

If you receive about 10 a day, you could be paying 10 to even 20 pesos on a day-to-day basis. That is equivalent to losing P300 to P600 every month for something that you don’t even benefit from.

What should you do? You need to call your provider and request for them to block all incoming spam messages, and prevent further use of your remaining balance.

4. Excess Baggage

excess baggage

Do you travel light, or do you bring at least three luggage for a 3-day trip? Light traveler can save a lot more cash. By having just one small carry-on bag when flying, you can save hundreds of pesos.

Do Domestic flights usually charge about P300 for additional 20kg. This could get higher depending on the airline company that you are flying with.

Learn the skill of packing light by folding your clothes in an organized way to save more space, only pack the essentials and lastly, choose a bag that is light and durable in terms of materials.

5. Paying your Bills

pay bills online

In the Philippines, it is common that you pay your bills at the mall, and convenience stores. It is because online banking is still not widely used. If you will look at the average income of Pinoys, we barely earn enough to sustain our lifestyles. This could be one of the reasons why most Pinoys don’t see the need to do online banking or check their account online. Furthermore, with the sluggish and unstable Internet connections, online banking just does not seem efficient to most.

However, by paying bills manually, consumers are wasting money travelling to the nearest mall, or Bayad Center, and also fork up extra pesos for an additional service charge. To make things worse, paying bills manually will usually involve queuing too.

Though the Internet connection in the Philippines has much room to improve, by embracing online banking, you can save a lot more cash and hassle. You just need to register your bills with the bank where you have an account!

6. Opting for Paper Bills

physical bill

In an effort to save costs and the environment, many companies are charging extra fees for physical paper bill. Globe is one of the telecommunication companies that went paperless by charging an additional P20 every month for customers who insist on getting a paper bill sent to their home.

To save P20 every month, change to Online billing, where your latest bill will be sent to your email.It is a cheaper and more convenient option, so, why not?

7. Water Bill Status

How much do you pay for your water bill? If you are paying based on commercial or industrial rate, then you can expect a water bill by the thousands every month.

There are some residential houses that are classified in the wrong way. Don’t pay unnecessary. Make sure that your bill is classified correctly. For residents of condominium, it is the job of the property management to make the necessary adjustments. If you are facing problems with the classifications, you may talk to your unit owner’s association to push for the necessary changes.

The key to avoiding hidden charges and fees is to find out as much information as possible before making any financial decision – be it opening a savings account or choosing a mobile plan. By doing so, you will save yourself from a whole lot trouble and money later.

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