1. Which of the following is a common way to avoid a monthly maintenance fee on a bank account?

• A. Ignore all account notifications from your bank.
• B. Withdraw all funds from your account each month.
• C. Maintain the required minimum balance in your account.
• D. Write more checks than your monthly limit.

Answer: (C)

Verified step by step guidance

1. Understand the concept of a monthly maintenance fee: Banks often charge a monthly maintenance fee for certain types of accounts if specific conditions are not met, such as maintaining a minimum balance.
2. Identify the common ways to avoid the fee: Banks typically waive the fee if you meet certain criteria, such as maintaining a required minimum balance, setting up direct deposits, or using the account actively within specified limits.
3. Evaluate the options provided in the problem: Analyze each option to determine whether it aligns with the goal of avoiding the monthly maintenance fee.
4. Recognize the correct approach: Maintaining the required minimum balance in your account is a common and effective way to avoid the monthly maintenance fee, as it satisfies the bank's conditions for waiving the fee.
5. Avoid incorrect actions: Ignoring notifications, withdrawing all funds, or exceeding the monthly limit for checks are not effective strategies and may lead to additional fees or account issues.