Dictionary of Banking Terms: service charge
service charge
bank charge to a customer's account, as when an account balance falls below a certain minimum balance, a check is returned for insufficient funds, or for servicing an account. Bank fees are meant to cover the cost of maintaining a depositor's account, or performing a specific service requested by a customer. Banks also impose service fees for late payments on loans and credit card purchases above the cardholder's credit line. Other service charges include the annual charge for renting a safe deposit box and transaction fees for using an automated teller machine.
