M&T Bank Corporation (MTB), BB&T Corporation (BBT) – Travel Advisory: Banks With High Fees

Not all checking accounts are equally fee-laden. To help consumers determine which banks might charge the most on their trip, NerdWallet compiled data on 4 different factors for personal checking accounts at 20 of the largest U.S. banks. These factors include:

• Fees: NerdWallet analyzed out of network ATM fees, international ATM fees, and foreign transaction fees at each bank.
• Access: NerdWallet analyzed the number of branches that each bank operates in the top 10 U.S. states by domestic travel expenditures (CA, FL, TX, NY, IL, NV, PA, VA, GA, NJ).

Which banks have the highest fees for summer travelers?
While these banks are not necessarily poor options in general, some of their fees and branch availability may make it difficult for travelers to avoid extra costs.

1. M&T Bank Corporation (NYSE:MTB) As a Buffalo, NY headquartered bank, M&T Bank Corporation (NYSE:MTB) primarily serves customers across New York, Maryland, Pennsylvania, Virginia, and other east coast states. The bank’s out-of-network ATM fee is the highest NerdWallet measured, at $3.00 (which rises to $5.00 for international ATMs). M&T Bank Corporation (NYSE:MTB) also charges a 3% foreign exchange fee. Finally, vacationers might find it difficult to find a branch at their destination, since there are a total of just 514 branches across the most traveled states. M&T Bank Corporation (NYSE:MTB) does offer a checking account “add-on” that waives out of network ATM fees, but it will cost you an extra $4.95 per month.

2. Regions Financial Corporation (NYSE:RF) Bank Regions Financial Corporation (NYSE:RF) is headquartered in Birmingham, AL and operates branches throughout the southeastern United States. The bank’s out-of-network ATM fee is above average for both domestic ($2.50) and international ($5.00) withdrawals. Like many of the other banks studied, they also levy a 3% foreign exchange fee on international travelers. Finally, with just 670 branches across top U.S. destinations, a Regions Financial Corporation (NYSE:RF) Bank location could be difficult to track down while on the road.

3. Citizens Bank (Edinburg, IL) (OTCMKTS:CZBA)

Citizens Bank (Edinburg, IL) (OTCMKTS:CZBA), owned by British bank the Royal Bank of Scotland Group plc (ADR) (NYSE:RBS), is headquartered in Providence, RI and operates throughout most northeastern states as well as the Chicago, Detroit and Cleveland metro areas. Like M&T Bank Corporation (NYSE:MTB), Citizens Bank (Edinburg, IL) (OTCMKTS:CZBA) charges the most among the banks we measured for domestic out-of-network withdrawals ($3.00), but does not increase that fee for international withdrawals. They also charge the nearly ubiquitous 3% foreign transaction fee for transactions in a foreign currency. Finally, the bank had one of the lowest numbers of branches available in popular travel destination states, with just 230.

4. BB&T Corporation (NYSE:BBT) BB&T Corporation (NYSE:BBT) serves customers in many parts of the southeastern United States and is headquartered in Winston-Salem, NC. Their $2.50 fee for using another bank’s ATM rises to $5.00 when outside the country, in which case travelers also face a 3% foreign exchange fee. Though BB&T Corporation (NYSE:BBT)‘s branch network is slightly stronger in popular travel destinations (Florida, for example), their 930 locations still places below average among the 20 banks measured.

5. PNC Financial Services (NYSE:PNC) Bank PNC Financial Services (NYSE:PNC) is headquartered in Pittsburgh, PA and operates branches across much of the eastern United States. The bank charges $2.50 for domestic out-of-network ATM withdrawals, $5.00 for those in international locations and a 3% foreign transaction fee, all of which are above average. However, PNC Financial Services (NYSE:PNC) does best the other banks highlighted here by offering over 1,400 branches across popular travel destination states, which was the 4th highest among the 20 banks studied.

How can consumers eliminate or reduce bank fees while traveling?
Just as some banks charge extra for services used often by travelers, other financial institutions are more lenient when it comes to fees. Some online checking accounts at banks like Charles Schwab and Capital One 360 don’t charge out of network ATM fees or foreign exchange fees.

Local institutions like credit unions and community banks may also be a good option, despite their limited geographic range. This is because many are part of surcharge-free ATM and branch networks like CO-OP, which offers thousands of free ATMs nationwide. Plus, when local banks and credit unions do charge an ATM or foreign exchange fee, they are typically lower than at the big banks.

Even big bank customers have some options to avoid or reduce bank fees while traveling. Bank of America participates in the Global ATM Alliance, which allows customers to withdraw from ATMs at partnering foreign banks such as Barclays and Deutshe Bank without incurring additional fees (though a 1% foreign exchange fee will still apply).  Some other banks, such as M&T Bank and Union Bank offer monthly “add-ons” for their checking accounts, which will waive some or all out of network fees for a flat monthly rate of around $3-$5. Finally, TD bank is the only one of the 20 banks analyzed that charges no foreign transaction fee.

Finally, college students and seniors may be able to take advantage of reduced or waived ATM fees when they sign up for a particular checking account. For example, BB&T Corporation (NYSE:BBT)’s Student Checking account allows 4 free non-BB&T Corporation (NYSE:BBT) ATM transactions per month.

Full data table

Bank	Out of Network ATM Fee (Domestic)	Out of Network ATM Fee (Intl)	Foreign Transaction Fee	Branches in Top Travel Destinations	Overall Score
M&T Bank	$3.00	$5.00*	3%	514	2
Regions Bank	$2.50	$5.00	3%	670	16
Citizens Bank	$3.00	$3.00	3%	267	17
BB&T	$2.50	$5.00	3%	930	17
PNC Bank	$2.50	$5.00	3%	1,429	21
Comerica Bank	$2.00	$5.00	3%	253	25
Fifth Third Bank	$2.00	$5.00	3%	387	26
SunTrust Bank	$2.00	$5.00	3%	1,078	31
HSBC Bank USA	$2.50	$2.50	3%	286	34
Union Bank	$2.00	$5.00	2%	396	34
Wells Fargo	$2.50	$5.00	3%	3,825	38
U.S. Bank	$2.50	$2.50	3%	936	38
Bank of America	$2.00	$5.00	3%	3,460	47
Chase Bank	$2.00	$5.00	3%	3,616	49
KeyBank	$2.50	$2.50	1%	230	50
BMO Harris Bank	$2.00	$2.00	3%	256	50
BBVA Compass	$2.00**	$2.00**	3%†	484	52
Capital One‡	$2.00	$2.00	3%	596	53
Citibank	$2.00	$2.00	3%	963	55
TD Bank	$2.50	$2.50	N/A	791	62

*Greater of $5 or 3% of amount
**Fee is $1.75 in California
†Fee is 1% for ATM transactions, 3% for point-of-sale purchases
‡Data is for Capital One’s traditional bank accounts, rather than their online brand Capital One 360

Methodology
The overall score for each bank was derived from the following measures:

1. Out of Network ATM Fee (Domestic): information available through each bank
2. Out of Network ATM Fee (International): information available through each bank
3. Foreign Exchange Fee): information available through each bank
4. Branches in Top Travel Destinations: Branch locations via the FDIC, and domestic travel expenditures by state for 2009 via the Census Bureau