What a minimum balance fee is and how to stop it
A minimum balance fee is a charge because the money in the account fell below a level the bank set. A monthly maintenance fee that disappears when you keep a high enough balance is a related idea, and people mix the two up on the statement. The federal page opened for this guide does not print one national dollar. Your agreement does, if the fee exists on your account.
Last updated: October 17, 2026
Last checked: Oct 2026
Two different charges
The first charge is a fee for going below the minimum. The Consumer Financial Protection Bureau's savings fee page, last reviewed 13 September 2024, lists going below a minimum balance as one reason a bank or credit union can charge you, next to too many withdrawals and withdrawing too much. The line may say minimum balance fee, below minimum, or a short bank code plus the word balance. The dollar is whatever the fee schedule prints for that account.
The second charge is the ordinary monthly service fee. Many accounts waive that monthly fee when you keep a stated balance, receive a stated direct deposit, or meet an age rule. If you miss the rule, the monthly fee posts. That line often says service charge or monthly maintenance, which is covered on service charge or monthly maintenance fee. It is still a minimum balance topic, because the way you stop it is to meet the balance or to pick an account that does not use one. The dollars named banks print are on monthly checking account fees by bank and monthly chequing account fees by bank.
TD Bank in the United States and TD Canada Trust are different banks with different monthly fees. Both are already explained, with the waiver amounts taken from their own pages, on how to waive a TD monthly account fee. This page does not repeat those dollars and it does not add a second TD guide.
What a free account can and cannot charge
If the account is described as free or no cost, the CFPB says the bank or credit union cannot charge a fee for not meeting a minimum balance. It also cannot charge a monthly service fee, a fee for exceeding a transaction count, or a fee to deposit, withdraw, or transfer. It may still charge ATM fees, overdraft fees, bounced check fees, balance inquiry fees, stop payment fees, dormant account fees, or check printing fees. The page was last reviewed 30 August 2024. If your free account shows a minimum balance fee, ask the bank to point to the term that allows it. Bring the advertisement or the account name.
An account that is not sold as free can charge the fee. The way to stop it is in the agreement: keep the balance above the line every day, or on the day they measure, or switch accounts. Read which day counts. Some banks use the lowest balance of the month. One dip can trigger the fee even if the average looked fine. The agreement is the measurement, not a memory of the ad.
In Canada, the Financial Consumer Agency of Canada says some savings accounts do not charge transaction fees if you keep a minimum monthly balance. That is a waiver, not a fee for being under the line. A monthly fee on a chequing package is a separate line. Banks have to disclose charges and give at least 30 days written notice before a new or higher fee if you get statements. If the balance rule changed and you were not told, use the bank's complaint steps and then the path the agency describes for federally regulated banks.
How to stop paying it
Find the measurement in the agreement. Then look at the statement for the lowest balance and the fee date. If you dipped under for one day, the practical fix is a small buffer that stays put, or a transfer that arrives before the day they measure. Automatic transfers help only if they land before that day. A transfer on the last day can be too late.
If you cannot keep the balance, ask for an account that does not use one. A no fee account can still charge other things, including the fees listed above. Ask for the fee schedule of the account you would switch to, not only the headline. Switching does not refund last month by itself. Ask for a review of the posted fee and ask about the switch in the same call if you want both. The bank can say no to the refund. Wording is on how to ask your bank to refund a fee.
US statements are read on US bank fees. Canadian statements are read on Canadian bank fees. An excess transaction on savings is a different fee, on excess withdrawal fees.
Upload the statement on Expenvo. The PDF stays on your device. Expenvo lists bank fee lines it recognizes so you can see the date, the name, and the amount before you call. It does not call the bank, and it does not promise a refund. How to ask is on how to ask your bank to refund a fee.
Questions
- What is the difference between a minimum balance fee and a waived monthly fee?
- A minimum balance fee is a charge for falling under a set balance. A waived monthly fee is a service charge that does not post when you meet a balance, a direct deposit, or another rule. Missing the rule brings the monthly fee back. The two lines use different words.
- Can a free account charge a minimum balance fee?
- No. The CFPB says an account described as free or no cost cannot charge a fee for not meeting a minimum balance. It also cannot charge a monthly service fee. Other fees, such as ATM or overdraft fees, can still exist.
- Where are the TD monthly fee amounts?
- They are on the existing TD monthly fee guide, which covers TD Bank in the United States and TD Canada Trust separately. This page does not copy those dollars.
Sources
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