Bank of America's savings account lineup and their fees
Bank of America offers three main savings accounts, and whether you pay a monthly fee depends on which one you open and how much money you keep in it. The Regular Savings Account charges $3 per month unless you maintain a minimum balance of $300. The Advantage Savings Account costs $4.95 per month unless your balance stays at $500 or higher. The Premium Savings Account charges $25 per month unless you keep at least $10,000 in the account.
If you fall below the required balance in any account, the monthly fee hits your account automatically. There is no grace period—the fee posts on the statement date if your balance is below the threshold on that day. You can avoid all three fees by meeting the balance requirement for whichever account you choose.
Bank of America also offers a Money Market Savings Account, which charges $25 per month unless you maintain $10,000. This account typically offers a higher interest rate than the standard savings accounts, but the fee structure is the same as the Premium Savings Account.
Key Takeaways
- Bank of America's Regular Savings Account has no monthly fee if you keep $300 or more in the account at all times.
- The Advantage Savings Account requires $500 to avoid its $4.95 monthly fee, and the Premium Savings Account requires $10,000 to avoid its $25 monthly fee.
- Monthly fees are charged on your statement date if your balance drops below the required minimum, with no exceptions or grace periods.
- Interest rates on Bank of America savings accounts are typically lower than rates at online banks, even after you avoid the monthly fee.
How the minimum balance requirement actually works
The balance threshold is checked on your statement date, not every single day. This means if you dip below $300 on the 15th but return to $300 by your statement date on the 20th, you will not be charged. However, if your balance is below the minimum on the day your statement closes, the fee will post.
The balance that counts is your available balance, not your pending balance. Deposits that are still processing do not count toward the minimum. Holds placed by Bank of America on checks or transfers also reduce your available balance for the purpose of the fee calculation.
If you are carrying a very small balance and worried about dipping below the minimum, the Regular Savings Account at $300 is the lowest threshold Bank of America offers. Some readers find it simpler to keep a separate checking account with the minimum balance required and transfer money to savings only when they have extra funds.
Interest rates and how they compare
Bank of America's savings account interest rates change based on the Federal Reserve's actions and market conditions. As of early 2024, the Regular Savings Account and Advantage Savings Account earn less than 0.01% annual percentage yield (APY) on most balances. The Premium Savings Account and Money Market Savings Account earn slightly higher rates, but still typically under 0.05% APY depending on your balance tier.
These rates are significantly lower than what online banks and credit unions offer. Many online savings accounts currently offer 4% to 5% APY with no monthly fees and no minimum balance requirement. If you are saving money and want it to actually earn interest, an online bank will grow your money faster than Bank of America, even after you avoid the monthly fee.
Bank of America's advantage is convenience if you already bank there and use their branches and ATM network. The tradeoff is that you earn less interest. If interest earnings matter to you, compare Bank of America's current rates against online options before deciding where to open your account.
Ways to avoid the monthly fee without keeping a large balance
If you cannot maintain the minimum balance, you have a few options. The most direct route is to open the Regular Savings Account and keep exactly $300 in it. This is the lowest threshold and the lowest fee if you miss it ($3 per month).
Another option is to link your savings account to a Bank of America checking account where you receive direct deposit. Some Bank of America checking accounts waive savings account fees if you meet certain conditions on the checking side—for example, if you set up direct deposit or maintain a higher balance in checking. Contact Bank of America directly to ask whether your specific checking account qualifies for this waiver, because the rules vary by account type.
If you have a Bank of America credit card with an active rewards program, you may also be able to waive certain account fees. Again, this depends on your specific card and account combination, so verify with Bank of America before relying on it.
What happens if you cannot avoid the fee
If you are charged a monthly fee because your balance fell below the minimum, the fee comes out of your account on your statement date. There is no separate bill—it simply reduces your balance. If your account balance is very low, the fee could overdraft your account, which then triggers an overdraft fee on top of the monthly savings fee.
You can request a refund of the monthly fee, but Bank of America does not automatically reverse it. Call the customer service number on the back of your debit card or visit a branch and ask a representative to review your account. They have the ability to reverse one or two fees if you have a reasonable explanation, but they are not required to do so. Repeated requests for reversals are less likely to be granted.
If you find yourself regularly unable to meet the minimum balance and paying the fee every month, it is worth reconsidering whether a Bank of America savings account makes sense for you. An online bank with no minimum and no fee would cost you nothing and earn you more interest.
Comparing Bank of America to other options
Bank of America's savings accounts are most useful if you value in-person banking, have a checking account there already, and can easily maintain the minimum balance. If any of those conditions do not apply, other banks may serve you better.
Online banks like Ally, Marcus, or Discover typically charge no monthly fees, have no minimum balance requirement, and offer interest rates 50 to 100 times higher than Bank of America. The tradeoff is that you cannot walk into a branch or deposit cash directly. If you do most of your banking online anyway, this is not a real limitation.
Credit unions sometimes offer savings accounts with no fees and competitive interest rates, especially if you are a member. If you belong to a credit union, check what they offer before opening a Bank of America account.
If you want to stay with Bank of America because you use their checking account and branches, the Regular Savings Account is the most affordable option. Keep $300 in it and you will pay nothing. If you cannot keep $300 there, an online savings account will cost you less and earn you more.
Frequently Asked Questions
Can I have multiple Bank of America savings accounts to avoid fees?
Yes, you can open more than one savings account at Bank of America. However, each account is subject to its own monthly fee if the balance falls below the minimum. Opening multiple accounts does not waive the fee on any of them—you would just be paying multiple fees if all balances are low. This strategy does not save you money.
Does a Bank of America checking account waive the savings account fee?
Some checking accounts do, but it depends on the specific checking product and whether you meet the conditions. For example, certain premium checking accounts may waive savings fees if you maintain a high balance in checking or set up direct deposit. Contact Bank of America to ask whether your checking account qualifies, because the rules are not the same for all accounts.
What if my balance drops below the minimum for just one day?
The fee is based on your balance on your statement date, not on any single day in between. If you dip below the minimum on one day but return to the required balance by the time your statement closes, you will not be charged. However, if your balance is below the minimum on your statement date, the fee will post.
Are there any Bank of America savings accounts with no monthly fee?
Bank of America does not offer a savings account with zero monthly fee and zero minimum balance. Every savings account they offer charges a monthly fee unless you meet a balance requirement. If you want a savings account with no fee and no minimum, you will need to look at online banks or credit unions.
How often does Bank of America change their savings account fees?
Bank of America can change fees at any time, though they typically notify customers 30 days in advance. If you have a savings account there, check your statements and emails for notices about fee changes. You can also call customer service or visit a branch to ask about current fees and rates.