Wells Fargo is raising the monthly fee on its most popular checking account by 50%, and avoiding that fee is about to get harder for some customers.
Starting Nov. 29, the monthly service fee the bank charges on its Everyday Checking account will increase from $10 to $15. Wells Fargo is also raising the minimum balance you must maintain to get that fee waived, from $500 to $1,500, and that change goes into effect Oct. 25.
The change is especially notable because Wells Fargo’s standard checking account had stood out for having the lowest fee and easiest waiver requirements of any major U.S. bank. This marks the first time the bank has increased its fee on the account in more than a decade. After the increases, Everyday Checking will have a similar fee and waiver requirement to the main checking accounts of Wells Fargo’s rivals.
On the plus side for customers, Wells Fargo is adding new ways to qualify for a fee waiver on both its Everyday Checking and its checkless Clear Access Banking account.
A Wells Fargo spokesperson says a vast majority of Everyday Checking customers will continue to qualify for the fee waiver after the updated criteria take effect. The bank has been notifying customers of the coming changes through various channels including email, letters, on its website and in the mobile app.
“We are making several updates to our consumer bank accounts that provide our customers with more value and convenience while recognizing their full relationship with Wells Fargo,” the bank says in a statement to U.S. News. “We’ve added more ways to qualify for a monthly fee waiver on both our Everyday Checking account and our no-overdraft-fee Clear Access Banking account. Many of our customers now have access to new relationship benefits across credit card, home mortgage and small business products. We also have made it easier for customers to switch account types if there’s another account that’s a better fit for them today.”
[Read: Best Checking Accounts.]
What’s Changing and When
The Everyday Checking $15 monthly fee applies to fee periods that begin on or after Nov. 29. Any fee periods starting before that are still subject to the $10 fee.
Here’s a look at the ways you can get the monthly service fee waived and how that is changing.
What Remains the Same
You can still avoid the monthly fee by meeting any one of these criteria:
— Receive $500 or more in qualifying electronic deposits
— Have a primary account holder between the ages of 17 and 24
— Receive qualifying monthly military direct deposit with Wells Fargo’s Worldwide Military Banking Program
What Will Change
Starting on Oct. 25, these new or updated ways to avoid the fee go into effect. You can avoid a fee by meeting either of these or any one of the above requirements.
— The minimum daily balance to qualify for a fee waiver increases from $500 to $1,500.
— Customers can now earn a fee waiver if they have $5,000 or more in combined qualifying Wells Fargo deposit and investment accounts.
Wells Fargo is also adding a new way to get the $5 fee waived on its Clear Access Banking account. Customers can now avoid that fee by receiving $250 or more in qualifying electronic deposits.
How Wells Fargo’s Checking Fee Compares With Other Major Banks
After the updates to Wells Fargo’s Everyday Checking take effect, here’s how the account compares with similar accounts at other top 5 U.S. banks.
| Account | Monthly Fee | Ways to Waive Fee |
| Wells Fargo Everyday Checking | $15 (starting Nov. 29) |
— Maintain daily balance of $1,500 — Qualifying electronic deposits of $500 — Primary account holder is ages 17 to 24 — Qualifying military direct deposit — Daily balance of $5,000 combined in qualifying Wells Fargo deposit or investment balances |
| Chase Total Checking | $15 |
— Maintain daily balance of $1,500 — Electronic deposits of $500 — Average daily balance of $5,000 combined in qualifying Chase accounts |
| Bank of America Advantage Plus Banking | $12 |
— Minimum daily balance of $1,500 — Qualifying direct deposit of $250 each month — Account owner is Preferred Rewards program member |
| Citi Regular Checking | $15 |
— Qualifying direct deposits of $250 per month — Combined average monthly balance of at least $30,000 across qualifying Citi accounts |
| U.S. Bank Smartly Checking | $12 |
— Average account balance of $1,500 — Combined direct deposits of $1,500 — Qualifying U.S. Bank credit card — Smart Rewards Gold Tier and above — Certain customer groups (seniors, youths, military) — Small business checking account owner |
[Ranked: Best National Banks]
What to Do if You Have a Wells Fargo Everyday Checking Account
A $15 monthly fee can add up over time. If you were to pay it each month, the charge would cost you $180 annually.
If you have an Everyday Checking account with Wells Fargo, you should first check your balance. If it’s below $1,500, or if you think it might drop below that level at any time, you may want to take action. This is especially true if you don’t qualify for any of the other fee waivers. Here are some ways you might be able to avoid paying checking account fees.
— Move more money into your checking account. If you have extra money sitting in another deposit account, such as a savings account, you could transfer some of it into your checking account to meet the balance requirement.
— Meet other criteria to waive the fee. Wells Fargo offers multiple ways to avoid its fee. For example, check whether you can set up a direct deposit into the account.
— Switch to a different Wells Fargo account. Wells Fargo offers four checking accounts, each with different features and costs. If you don’t write checks, you might want to consider switching to a Clear Access Banking account, which has a $5 fee that can be waived if you receive at least $250 in qualifying electronic deposits.
— Consider a free checking account. Many banks and credit unions offer checking accounts that charge no monthly fee. However, you’ll want to compare the features they provide with what you’re currently getting with Wells Fargo. U.S. News’ list of the best free checking accounts is an ideal place to begin your research.
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The Fee on Your Wells Fargo Checking Account Might Go Up if You Don’t Act Right Now originally appeared on usnews.com
