Service fees are based on the principle that customers should pay a reasonable fee for the services they use, and customers should not subsidize services they don't use. In 1999, Canadian banks invested approximately 2.8 billion dollars in the development of new technology. Service fees are levied on a user-pay basis. Those with sophisticated banking needs will generally pay more than someone with more basic banking needs. Depending on the bank, about half of all customers pay no service fees at all.
Many customers can take advantage of no-fee service packages for seniors or youth.
Many customers do not pay fees because they maintain a minimum monthly account balance. As a consumer, you need to be as careful about selecting your banking services as you are with your other purchases. And just like any item or service you buy, you can control how much you pay. All banks have brochures that explain their service feesand the different account plans and packages they offer. These are useful tools to compare accounts from institution to institution when you are shopping for an account.