Randy, a student, has $534 to deposit in a new chequing account, but Randy knows he will not be able to maintain a minimum balance. He will not use an ATM card, but will write a large number of cheques. Randy is trying to choose between the unlimited check writing offered by South Trust and the low per-check fee offered by Sun Coast. How many checks would Randy have to write each month for the account at South Trust to be the better option?

Randy, a student, has $534 to deposit in a new chequing account, but Randy knows he will not be able to maintain a minimum balance. He will not use an ATM card, but will write a large number of cheques. Randy is trying to choose between the unlimited check writing offered by South Trust and the low per-check fee offered by Sun Coast. How many checks would Randy have to write each month for the account at South Trust to be the better option?

Personal Finance

13th Edition

ISBN:9781337669214

Author:GARMAN

Publisher:GARMAN

Chapter5: Managing Checking And Savings Accounts

Section: Chapter Questions

Problem 7FPC

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Check Writing Fees. Randy, a student, has $117 to deposit in a new chequing account, but Randy knows he will not be able to maintain a minimum balance. He will not use an ATM card, but will write a large number of cheques. Randy is trying to choose between the unlimited check writing offered by South Trust and the low per-check fee offered by Sun Coast. How many checks would Randy have to write each month for the account at South Trust to be the better option? South Trust Bank Sun Coast Bank ATM charges: Home bank Free Free Other bank $1.28 per use $1.28 per use Checking: Minimum deposit $1 $1 Minimum balance required to avoid fees* $500 N/A Monthly fees $8.00 $2.00 Check-writing charges Unlimited Each cheque 50 cents For the account at South Trust Bank to be the better option, the number of checks Randy would need to write each month is __________.
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