Joni is a real estate agent who uses her credit card for all of her personal and business related expenses. Based on Joni's precarious cash flow, she expects to use overdraft once per month when she makes her credit card payment but is awaiting her commission cheques. The financial institution Joni banks with charges a monthly flat fee of $4 for a monthly overdraft plan and $5 each time the overdraft is used under a pay-per-use overdraft plan. Her institution also charges $50 for an NSF fee. What is the best plan for Joni?

Answer rating: 100% (QA)

To determine the best plan for Joni we need to compare the costs associated with the two overdraft p... View the full answer