A Bank of America account holds your money and moves it where you tell it to go
A Bank of America account (often called a BofA account) is a place where you deposit money and from which you can pay bills, transfer funds, withdraw cash, or send money to other people. The bank holds your balance, insures it up to $250,000 through the Federal Deposit Insurance Corporation (FDIC), and gives you tools to move that money in and out. You access it through a debit card, checks, online banking, mobile app, or by walking into a branch.
The type of account you open determines what you can do with it and what it costs. A checking account is built for frequent transactions—paying bills, getting cash, making purchases. A savings account is built for holding money and earning a small amount of interest over time. Money Market accounts sit between the two. Each has different rules about how many times per month you can withdraw money, what fees apply, and how much interest (if any) the bank pays you.
Key Takeaways
- A Bank of America account stores your money, insures it up to $250,000 through FDIC protection, and gives you a debit card and online access to move it.
- Checking accounts are for frequent payments and bill-paying; savings accounts earn interest but limit how often you can withdraw.
- Bank of America charges monthly maintenance fees on most accounts unless you meet requirements like keeping a minimum balance or setting up direct deposit.
- You can open an account online, by phone, or in person at a Bank of America branch, and you'll need a government ID and Social Security number.
- Your debit card works at any ATM and any store that takes Visa, but transfers between banks can take one to three business days.
How money gets into and out of your Bank of America account
Money enters your account through direct deposit (your employer sends your paycheck), transfers from another bank, cash deposits at a branch or ATM, or checks you deposit through the mobile app or at a branch. Money leaves when you use your debit card at a store or ATM, write a check, set up a bill payment through the bank's website, or transfer money to someone else's account.
Direct deposit is the fastest way in—your employer sends the money and it usually lands the same day or next business day. Transfers from another bank typically take one to three business days because the banks have to confirm the account exists and the money is real. Checks take longer: the bank has to physically collect the check from the other bank, which can take five to ten business days depending on where the check came from.
When you send money out, a debit card purchase at a store is instant—the money leaves your account right away. A check you write takes as long as the person who receives it takes to deposit it, plus the time for the banks to clear it. A bill payment you set up online through Bank of America usually leaves your account within one to two business days.
What fees Bank of America charges and how to avoid them
Bank of America charges a monthly maintenance fee on most checking and savings accounts—usually $12 to $15 per month—unless you meet one of several conditions. You can waive the fee by setting up direct deposit, keeping a minimum balance (often $500 to $1,500 depending on the account type), or maintaining a linked savings account with a certain balance. Some accounts have no monthly fee at all if you meet their specific requirements.
Beyond the monthly fee, Bank of America charges for specific actions: overdraft fees if you spend more than you have (usually $35 per overdraft), out-of-network ATM fees if you use an ATM that is not Bank of America's (usually $2.50), wire transfer fees ($15 to $30 depending on the type), and stop-payment fees if you ask the bank to cancel a check you wrote ($30 to $35). Savings accounts may charge a fee if you withdraw more than six times in a month, though this rule has become less common.
The easiest way to avoid fees is to set up direct deposit if your employer offers it—this waives the monthly maintenance fee on most accounts and costs you nothing. If direct deposit is not available, ask the bank which minimum balance you need to keep to waive the fee, and keep that amount in the account at all times.
How to open a Bank of America account
You can open an account online through the Bank of America website, by phone at 1-800-432-1000, or in person at any Bank of America branch. Online is usually fastest—you can complete the process in 10 to 15 minutes. You will need a government-issued ID (driver's license, passport, or state ID), your Social Security number, and an initial deposit (usually $25 to $100 depending on the account type).
If you open online, the bank will ask you to choose between checking, savings, or Money Market; set a username and password; and provide your ID number and Social Security number. The bank verifies your identity electronically and usually approves you within minutes. You can start using your account immediately through the mobile app or online banking, though your debit card arrives by mail within 7 to 10 business days.
If you open in person at a branch, bring your ID and Social Security number, tell the banker which type of account you want, and they will walk you through the paperwork. You leave with a temporary debit card that works immediately, and a permanent card arrives by mail. Opening by phone takes longer—the banker will verify your identity over the phone and mail you everything, which takes 10 to 14 days before you can use the account.
How Bank of America protects your money if the bank fails
The Federal Deposit Insurance Corporation (FDIC) insures deposits at Bank of America up to $250,000 per account holder per bank. This means if Bank of America fails and closes, the FDIC will pay you back up to $250,000 of your balance. This protection applies to checking accounts, savings accounts, and Money Market accounts.
The $250,000 limit applies per person per bank—if you have $300,000 in a Bank of America checking account, the FDIC covers $250,000 and you lose $50,000. If you have $200,000 in a Bank of America checking account and $100,000 in a Bank of America savings account, both are covered because they are separate account types. If you have accounts at multiple banks, each bank's deposits are insured separately up to $250,000.
Bank of America has never failed, and bank failures are rare in the United States. The FDIC insurance exists as a safety net, not because Bank of America is at risk. Your money is also protected by bank security measures: the bank uses encryption to protect your online login, monitors accounts for fraud, and will refund unauthorized transactions if you report them within 60 days.
How to move money between Bank of America and another bank
You can transfer money from Bank of America to another bank by setting up an external transfer through online banking or the mobile app. Log in, go to "Transfer Money," select the account you want to send from, enter the other bank's routing number and your account number there, and enter the amount. The transfer usually takes one to three business days.
You can also move money the other direction—from another bank into Bank of America—by giving that bank Bank of America's routing number (021000021 for most accounts) and your Bank of America account number. That bank will initiate the transfer on their end, and it will land in your Bank of America account within one to three business days.
If you need money faster, you can use Zelle, a peer-to-peer payment service that Bank of America offers through its app. Zelle transfers land within minutes to hours, but you can only send up to $2,000 per day (the limit varies by bank). You can also withdraw cash at any Bank of America ATM or branch and deposit it at the other bank in person, which is instant but requires you to physically go to both locations.
What happens if you overdraft your Bank of America account
An overdraft happens when you spend more money than you have in your account. If you use your debit card for a $50 purchase but only have $30 in your account, Bank of America will usually allow the transaction to go through and charge you an overdraft fee (usually $35). Your balance becomes negative $55 ($30 minus $50 minus $35 fee).
Bank of America gives you a grace period: if you deposit money to bring your account back to positive within a few business days, the overdraft fee may be waived. If you do not, the fee stays and you owe the bank the negative balance plus the fee. If you overdraft multiple times in a month, you can be charged multiple fees—sometimes up to four per day, though Bank of America caps overdraft fees at a certain number per day.
You can opt out of overdraft protection, which means Bank of America will decline transactions that would overdraft your account instead of allowing them and charging you a fee. This prevents surprise fees but means your card will be declined at the register. To opt out, call 1-800-432-1000 or change the setting in your online banking account.
Frequently Asked Questions
Can I use my Bank of America debit card at any ATM?
You can use it at any Bank of America ATM for free. At ATMs owned by other banks or networks, Bank of America charges a $2.50 out-of-network fee. Some other banks waive this fee if you use their ATM, but Bank of America does not. To avoid the fee, use Bank of America ATMs or withdraw cash back at a store when you make a purchase.
How long does it take to get my debit card after I open an account?
If you open online or by phone, your debit card arrives by mail within 7 to 10 business days. If you open in person at a branch, you get a temporary card immediately that works right away, and a permanent card arrives within 7 to 10 days. You can use your account through the mobile app or online banking before your card arrives.
What is the minimum balance I need to keep in my Bank of America account?
It depends on the account type. Most checking accounts waive the monthly fee if you keep $500 to $1,500 in the account, or if you set up direct deposit. Savings accounts may require $300 to $500. Ask Bank of America which minimum applies to your specific account, or set up direct deposit to waive the requirement entirely.
Can I get my money back if someone uses my debit card without permission?
Yes. If you report unauthorized transactions within 60 days, Bank of America will refund them. Report fraud immediately by calling 1-800-432-1000 or through the mobile app. The bank will cancel your card and send a new one. If you wait longer than 60 days, you may not be refunded.
What is the difference between a Bank of America checking account and a savings account?
A checking account is for frequent transactions—paying bills, using your debit card, writing checks. A savings account is for holding money and earning interest, with limits on how many times per month you can withdraw. Checking accounts have no withdrawal limits; savings accounts may charge a fee if you withdraw more than six times monthly.