Overdraft fees refer to which of the following?

Overdraft fees refer to which of the following?

• A. Fees charged for cash withdrawals at ATMs.
• B. Fees that are not automatically waived by your online account.
• C. Fees associated with international wire transfers.
• D. Monthly maintenance fees on a savings account.

Answer: (B)

Overdraft fees occur when you spend more than is available in your account and the bank covers the shortfall, creating a fee. Some accounts offer automatic waivers or overdraft protection, so the fee may be avoided if those protections apply; if they aren’t triggered, the overdraft fee is charged. This makes the chosen option the best fit because it describes overdraft fees as the charges that aren’t automatically waived by your online account. The other options describe different kinds of fees (ATM withdrawal fees, international wire transfer fees, and monthly maintenance fees on a savings account) and aren’t overdraft fees.

Overdraft fees occur when you spend more than is available in your account and the bank covers the shortfall, creating a fee. Some accounts offer automatic waivers or overdraft protection, so the fee may be avoided if those protections apply; if they aren’t triggered, the overdraft fee is charged. This makes the chosen option the best fit because it describes overdraft fees as the charges that aren’t automatically waived by your online account. The other options describe different kinds of fees (ATM withdrawal fees, international wire transfer fees, and monthly maintenance fees on a savings account) and aren’t overdraft fees.