Bank of America savings accounts have no monthly maintenance fee

Bank of America does not charge a monthly fee to hold a savings account. This applies to their main savings products: the Regular Savings Account, the Advantage Savings Account, and the Premium Savings Account. You can open an account, keep money in it, and close it without paying a maintenance charge.

However, Bank of America does charge fees in specific situations—when you exceed withdrawal limits, request expedited transfers, or fall below certain balance thresholds on premium accounts. These are not automatic charges; they only occur when you trigger them through your own actions or account type.

Key Takeaways

  • Bank of America charges no monthly maintenance fee on any of its savings accounts, regardless of balance.
  • You will pay $10 if you make more than six withdrawals or transfers from your savings account in a single month.
  • The Premium Savings Account requires a $10,000 minimum balance to avoid a $25 monthly fee.
  • Transferring money out of your savings account via expedited methods costs $15 per transfer.
  • Interest rates on Bank of America savings accounts are typically lower than online-only banks offer.

Withdrawal limits and the $10 excess fee

Federal law once capped savings account withdrawals at six per month, and Bank of America still enforces this limit. If you make more than six withdrawals or transfers out of your savings account in a calendar month, Bank of America charges $10 for each withdrawal beyond the sixth.

This includes transfers to other accounts you own, transfers to other people, and ATM withdrawals. It does not include deposits into the account. The fee appears on your statement after the month ends, so you will not see it charged in real time.

If you regularly need to move money out of savings more than six times per month, a checking account or money market account may be a better fit, since those products do not carry withdrawal limits.

Minimum balance requirements for Premium Savings

Bank of America offers three savings account tiers. The Regular Savings Account and Advantage Savings Account have no minimum balance requirement. The Premium Savings Account requires you to maintain a $10,000 minimum balance at all times.

If your Premium Savings Account balance drops below $10,000 on any day of the month, Bank of America charges a $25 monthly fee. This fee is separate from any withdrawal fees. If you cannot maintain $10,000 in savings, the Regular or Advantage account is the right choice.

Expedited transfer fees and other charges

Bank of America charges $15 if you request an expedited transfer—a same-day or next-day transfer out of your savings account to another bank. Standard transfers (which take three to five business days) are free.

You may also encounter fees for other services: stopping a payment costs $30, and requesting a paper statement (if you have not already opted in) may carry a charge. Overdraft fees on linked checking accounts do not directly affect your savings account, but they are worth knowing about if you transfer money between the two.

How interest rates compare to other banks

Bank of America savings accounts earn interest, but the rate is typically much lower than online banks or credit unions offer. As of early 2024, Bank of America's savings rates range from 0.01% to 0.04% depending on the account type and your balance. Online banks often offer rates above 4% on savings accounts.

The difference matters if you are saving a large amount. On $10,000, Bank of America might earn you $1 to $4 per year, while an online bank earning 4% would earn $400. If your primary goal is to grow savings through interest, comparing rates across banks is worth the time.

Bank of America's advantage is branch access and integration with checking accounts you may already have there. If convenience and simplicity matter more to you than maximizing interest, the lower rate may be a fair trade-off.

Fees you will not pay

Bank of America does not charge you to open a savings account, close a savings account, or simply hold money in one. There is no annual fee, no inactivity fee, and no fee for using the mobile app or online banking.

You also will not pay a fee to deposit money into your savings account, whether you deposit in person at a branch, through an ATM, or by transfer from another account. Deposits are always free.

How to avoid fees on your Bank of America savings account

Keep your total withdrawals and transfers to six or fewer per month. If you need to move money out more often, use a checking account instead, which has no withdrawal limit.

If you have a Premium Savings Account, maintain at least $10,000 in the account at all times. If you cannot do that reliably, switch to the Regular or Advantage Savings Account.

Use standard transfers instead of expedited ones unless the speed is essential. Standard transfers are free and take only a few business days in most cases.

Frequently Asked Questions

Does Bank of America charge a fee just for having a savings account?

No. The Regular and Advantage Savings accounts have no monthly fee at all. The Premium Savings account has a $25 monthly fee only if your balance falls below $10,000.

What happens if I go over six withdrawals in a month?

Bank of America charges $10 for each withdrawal or transfer beyond the sixth in a calendar month. The fee appears on your statement after the month closes. If you regularly need more than six withdrawals, a checking account is a better option.

Can I avoid the $25 Premium Savings fee?

Yes. Keep your balance at $10,000 or higher at all times. If you cannot maintain that balance, switch to the Regular or Advantage Savings account, which have no minimum balance requirement and no monthly fee.

Why is Bank of America's interest rate so low compared to online banks?

Bank of America's rates reflect the cost of maintaining physical branches and customer service. Online banks have lower overhead and pass those savings to customers through higher rates. You are paying for convenience and branch access at Bank of America.

Do I pay a fee to transfer money from my Bank of America savings to my checking?

No, transfers between your own Bank of America accounts are free. The six-withdrawal limit still applies to your savings account, but the transfer itself carries no fee. Expedited transfers to other banks cost $15.