What is the fee charged by a bank for maintaining a checking account called?

• A. Interest
• B. Bank
• C. Salary
• D. Service Charge

Answer: (D)

The main idea here is understanding what banks charge simply for keeping a checking account open and ready to use. That ongoing fee covers the costs of services you receive—like processing checks, maintaining your account records, handling online banking, and giving you statements. This is called a service charge (often referred to as a monthly maintenance fee). It’s not interest, which is money the bank might pay you for keeping a balance, and it’s not salary, which is pay you earn from work. The bank itself is the institution charging the fee, not the fee type. So the best term for this cost is service charge. Some accounts waive the fee if you meet conditions like maintaining a minimum balance or receiving direct deposits.