What type of account typically requires a higher balance to avoid fees?

Premium checking accounts generally require a higher balance to avoid monthly maintenance fees compared to other account types. These accounts often cater to customers who maintain substantial balances, providing additional benefits such as higher interest rates, access to financial advisors, and waived fees on other services. The rationale behind the higher balance requirement stems from the added features and the exclusivity that premium accounts offer, which are designed to meet the needs of clients who are likely to have more significant banking activity.

In contrast, basic checking accounts and savings accounts typically have lower balance requirements and may not offer the same level of benefits as premium accounts. Money market accounts also often require higher minimum balances but come with different usage scenarios, such as limited transactions and sometimes higher interest rates, which can set them apart from premium checking accounts.