100 Frugal Tips in 100 Days: Tip # 35

Tip # 35 Avoid unnecessary fees

Overdraft fees and late payments are two things that make me want to hit my head against the wall when they happen to me! Fortunately, it's only happened once or twice and luckily I was able to either go into the bank or call the credit card company to ask them to waive the fee as a "one time forgiveness."

To avoid overdraft fees, make sure you give yourself a little cushion in your checking account. I know some people who keep thousands in their account and some people who let it dwindle down to pennies in between paychecks. While it's beneficial to keep most of your money in an interest-bearing savings account, you don't want to end up worrying that you're going to overdraw from your checking account every month. Whether you decide on a $100 cushion or a $1000 cushion, just remember that something is better than nothing!

As for the credit cards? Hopefully you are paying them in full, but regardless just try to get in the habit of paying them as soon as you get them in the mail (or your inbox).