Bank of America checking accounts have no monthly fee if you meet one requirement

Bank of America offers checking accounts with no monthly maintenance fee, but only if you keep a minimum daily balance of $1,500 or set up direct deposit. If you don't meet either condition, the account costs $12 per month. The fee is called the "Monthly Maintenance Fee" and it appears on your statement each month you fall short.

This is the standard for their most common checking product, the Bank of America Checking account. The bank also offers a second checking option called Bank of America SafeBalance Banking, which has no monthly fee at all but comes with different features and limits.

Beyond the monthly fee, Bank of America charges for specific actions: overdraft fees, out-of-network ATM fees, wire transfer fees, and stop-payment requests. These are separate from the monthly cost and only appear when you use them.

Key Takeaways

  • Bank of America Checking costs $12 per month unless you maintain a $1,500 daily balance or receive direct deposits.
  • SafeBalance Banking has no monthly fee but limits you to six transactions per month and does not include overdraft protection.
  • Overdraft fees are $35 per transaction if the bank covers it, and the bank allows up to four overdraft fees per day.
  • Out-of-network ATM withdrawals cost $2.50 per transaction at Bank of America ATMs outside their network, plus any fee the other bank charges.
  • You can avoid the monthly fee by setting up direct deposit of any amount, even if it is just one deposit per month.

When the $12 monthly fee does not apply

You avoid the monthly maintenance fee in three ways. The first is to keep at least $1,500 in your account every single day of the month. Bank of America calculates this as the lowest balance your account reaches during the statement period. If your balance dips to $1,499 on a single day, you owe the $12 fee for that month.

The second way is to set up direct deposit. This means your employer, government agency, or another organization deposits money directly into your Bank of America account. The amount does not matter—even a single $1 direct deposit per month waives the fee. Many people use this route because they receive paychecks, Social Security, or tax refunds by direct deposit anyway.

The third way is to open SafeBalance Banking instead, which has no monthly fee under any circumstance. However, SafeBalance comes with transaction limits and no overdraft coverage, so it is designed for people who make very few transactions per month.

Overdraft fees and how they stack up

If you spend more money than you have in your account, Bank of America charges an overdraft fee of $35 per transaction that the bank covers. This means if you make five purchases that overdraw your account, you pay $175 in overdraft fees alone, on top of the original purchase amounts.

The bank allows up to four overdraft fees per day, so in theory you could owe $140 in overdraft fees in a single day if you make four separate overdrafts. However, the bank also has a daily overdraft limit: they will not cover overdrafts that would bring your account below negative $100 at the end of the day. Transactions that would exceed that limit are simply declined.

You can opt out of overdraft coverage entirely, which means transactions will be declined instead of charged a fee. To do this, contact Bank of America directly or change the setting in their mobile app or online banking portal.

ATM fees and out-of-network costs

Using a Bank of America ATM is free. The bank operates one of the largest ATM networks in the United States, so most customers can find a free ATM nearby.

If you withdraw money from an ATM that is not owned by Bank of America, you pay $2.50 per withdrawal. Additionally, the bank that owns the ATM may charge its own fee, which can range from $1 to $3. So a single out-of-network withdrawal can cost you $5 or more in total fees.

Some checking account holders have access to Allpoint or MoneyPass ATM networks, which are fee-free alternatives to Bank of America ATMs. Whether you have access depends on your account type and your Bank of America branch location, so ask your banker or check your account documents.

Wire transfers, cashier's checks, and other transaction fees

Bank of America charges $15 for an outgoing domestic wire transfer (money you send to another bank within the United States). Incoming wire transfers are free. International wire transfers cost $45 for outgoing transfers.

Cashier's checks cost $10 each. A cashier's check is a check issued by the bank itself, may provide by the bank's funds, and often required for large purchases like real estate or vehicles.

Stop-payment requests (telling the bank to cancel a check you wrote) cost $30. This fee applies even if the check has already cleared. Returned item fees (when a check you deposit bounces) are $12 per item.

SafeBalance Banking: the fee-free alternative

Bank of America SafeBalance Banking has no monthly maintenance fee, no overdraft fees, and no minimum balance requirement. It is designed for people who want a simple, low-cost account.

The trade-off is that SafeBalance limits you to six transactions per month. A transaction is a withdrawal, transfer, or payment—deposits do not count against the limit. Once you hit six, additional transactions are declined until the next month. This makes SafeBalance unsuitable for people who use their checking account frequently.

SafeBalance also does not include overdraft protection, so if you try to spend more than you have, the transaction is declined rather than covered by the bank. You get a debit card and can use online banking and mobile banking, but you cannot write checks.

How to avoid fees in practice

The simplest way to avoid the $12 monthly fee is to set up direct deposit if you receive regular paychecks or government payments. This requires one conversation with your employer's payroll department or a phone call to Social Security, and then the fee disappears permanently.

If you do not receive direct deposits, keeping $1,500 in your account is the alternative. This works if you have savings you can leave untouched, but it ties up money that could otherwise be used elsewhere.

To avoid overdraft fees, turn off overdraft coverage in your account settings. This way, transactions that would overdraw your account are simply declined, and you pay nothing. You will know immediately that you do not have enough money, rather than discovering it on your statement later.

To avoid ATM fees, use Bank of America ATMs exclusively. If you travel or live in an area without Bank of America branches, ask your banker whether you have access to Allpoint or MoneyPass networks.

Frequently Asked Questions

Can I get the monthly fee waived if I have a savings account too?

No. Bank of America does not waive the checking account fee based on having other products. The only ways to waive it are the $1,500 minimum balance, direct deposit, or switching to SafeBalance Banking. However, linking a savings account can help you maintain the $1,500 balance more easily by keeping money separate.

What counts as a direct deposit?

Direct deposit is any automatic transfer of money from an employer, government agency, or financial institution into your Bank of America account. Paychecks, Social Security, tax refunds, and pension payments all count. Transfers you make yourself from another bank do not count as direct deposit.

Do I get charged a fee if my account goes negative for just one day?

Yes. If your balance falls below $1,500 on any single day during the statement period, you owe the $12 monthly fee for that month. The bank looks at your lowest balance, not your average balance. However, overdraft fees only apply to transactions that overdraw the account—simply having a low balance does not trigger an overdraft fee.

Can I switch from regular checking to SafeBalance if I use my account too much?

Yes, you can switch at any time by contacting Bank of America or visiting a branch. However, SafeBalance is only practical if you make six or fewer transactions per month. If you use your account more frequently, you will hit the transaction limit and have transactions declined, which can be inconvenient.

Are there any hidden fees I should know about?

Bank of America publishes all fees in their account disclosure documents, which you can request or find online. The main fees are the monthly maintenance fee, overdraft fees, out-of-network ATM fees, wire transfer fees, and stop-payment fees. There are no surprise charges beyond these, but read your monthly statement to confirm all charges are ones you recognize.