Where to find accounts with zero monthly fees
Several large banks and most credit unions offer checking or savings accounts with no monthly maintenance fee. The catch is that the fee waiver usually depends on meeting one condition: a minimum balance, a direct deposit, a certain number of debit card transactions per month, or maintaining an account with another product (like a credit card or loan).
The banks most likely to have truly no-strings-attached accounts are online banks—institutions with no physical branches. Ally Bank, Charles Schwab Bank, and Discover Bank all offer checking accounts with no monthly fee and no minimum balance requirement. Traditional banks like Chase, Bank of America, and Wells Fargo also offer fee-free accounts, but they typically require either a minimum balance (often $500 to $1,500) or a direct deposit to waive the fee.
Credit unions almost always charge no monthly fee on basic checking accounts. You will need to join the credit union first, which usually means living or working in a specific area, belonging to a particular employer, or meeting another membership criterion. Once you are a member, the account itself carries no monthly charge.
Key Takeaways
- Online banks like Ally, Charles Schwab, and Discover offer checking accounts with no monthly fee and no minimum balance.
- Traditional banks waive monthly fees if you maintain a minimum balance (usually $500–$1,500) or set up a direct deposit.
- Credit unions typically charge no monthly fee on checking accounts once you are a member, though membership itself may have requirements.
- The fee waiver condition matters more than the bank name—read the account terms to confirm what keeps your account free.
- Some banks offer fee waivers only if you also hold a savings account, credit card, or loan with them.
Online banks with no monthly fee and no minimum balance
Ally Bank offers a no-fee checking account with no minimum balance and no direct deposit requirement. The account earns interest on the balance, which is unusual for checking. Ally also has no ATM fees at any ATM nationwide, and they reimburse out-of-network ATM charges.
Charles Schwab Bank provides checking with no monthly fee, no minimum balance, and no direct deposit requirement. The account includes unlimited ATM access worldwide with fee reimbursement. Schwab is best if you travel internationally or use ATMs frequently.
Discover Bank offers a checking account with no monthly fee and no minimum balance. Like Ally, it earns interest on the checking balance. Discover reimburses out-of-network ATM fees up to a limit.
Other online banks with no-fee checking include Axos Bank, LendingClub, and Varo. Each has slightly different features—some offer higher interest rates, others have better ATM networks—so compare based on what matters to you: ATM access, interest rate, or mobile app features.
Traditional banks that waive fees with a minimum balance
Chase offers a no-fee checking account (Chase Total Checking) if you maintain a $500 minimum daily balance or set up a direct deposit of $500 or more per month. Without one of these, the monthly fee is $12.
Bank of America waives the $12 monthly fee on its Checking account if you maintain a $1,500 minimum daily balance, set up a direct deposit, or maintain a linked savings account with $300 or more. Alternatively, if you are 17 or younger, the account is free.
Wells Fargo waives the $10 monthly fee on its Checking account if you maintain a $500 minimum daily balance or set up a direct deposit of at least $500 per month.
Citibank offers a checking account with no monthly fee if you maintain a $1,500 minimum balance or set up a direct deposit.
The minimum balance requirement is calculated as the lowest balance in your account on any day of the month. If your balance dips below the threshold even once, you may be charged the fee for that month. Direct deposit is often the easier path if your employer offers it.
Credit unions with no monthly checking fees
Nearly all credit unions charge no monthly maintenance fee on basic checking accounts. The trade-off is membership: you must meet the credit union's membership criteria before you can open an account. Common membership paths include working for a specific employer, living in a certain county or zip code, belonging to a particular organization, or having a family member who is already a member.
Large credit unions with broad membership include Navy Federal Credit Union (military, veterans, and their families), State Employees' Credit Union (public employees in North Carolina), and Connexus Credit Union (open to anyone in the United States). Smaller local credit unions often have geographic or employer-based membership but offer the same fee-free checking once you join.
To find a credit union you can join, use the CO-OP Network locator or the Alliant Credit Union finder. Both let you search by location, employer, or organization to see which credit unions accept you as a member.
How to confirm the fee waiver condition before opening
Before opening an account, read the account disclosure document—usually called a "Truth in Savings" statement or fee schedule. This document lists the monthly fee and the exact conditions that waive it. Do not rely on the bank's marketing language; the disclosure is the legal commitment.
Look for language like "monthly fee waived if" or "no monthly fee provided that." If the disclosure says the fee is waived with a minimum balance, confirm the exact amount and whether it is an average balance, a minimum daily balance, or a balance on a specific day of the month. These calculations differ and affect whether you can keep the account free.
If the disclosure is unclear, call the bank or credit union and ask a specific question: "What is the one thing I must do to avoid the monthly fee?" Write down the answer and the date you called. If you are later charged a fee you thought was waived, you have a record of what you were told.
When a bank charges a fee despite meeting the waiver condition
If you meet the stated condition but are still charged a monthly fee, contact the bank immediately. Explain which condition you met and ask for the fee to be reversed. Most banks will remove one or two erroneous fees without argument, especially if you have been a customer for a while.
If the bank refuses, ask to speak with a supervisor or file a complaint with the Consumer Financial Protection Bureau (CFPB). The CFPB accepts complaints about unfair or deceptive banking practices and forwards them to the bank for response. You can file at consumerfinance.gov.
If the dispute is not resolved and the fee is significant, consider switching banks. The cost of switching—updating automatic payments and direct deposits—is usually lower than paying monthly fees for years.
Frequently Asked Questions
Do online banks have physical branches?
No. Online banks operate entirely through their website, mobile app, and phone support. They have no branches where you can walk in. This is how they keep costs low and offer no-fee accounts. If you need in-person banking, a traditional bank or credit union is a better fit.
Can I switch banks without losing money?
Yes. Your old account and new account can exist at the same time. Update your direct deposit and automatic bill payments to the new account, then close the old one once everything has moved. The process takes a few days to a few weeks depending on how many payments you need to reroute.
What if my employer does not offer direct deposit?
You have two options: open an online bank account with no minimum balance (Ally, Schwab, or Discover), or choose a traditional bank and maintain the required minimum balance. If maintaining a balance is hard, the online bank is the safer choice because there is no fee to worry about.
Do credit unions have ATM networks?
Most credit unions belong to a shared branching network or ATM network, which means you can use ATMs and branches at other credit unions without a fee. The largest network is CO-OP, which includes over 30,000 ATMs. Ask the credit union about its network before you join.
Is the interest earned on checking accounts worth it?
Ally and Discover pay interest on checking balances, but the rate is typically 0.01% to 0.05% annually—much lower than savings accounts. On a $1,000 balance, you might earn $0.10 to $0.50 per year. It is not a reason to choose the bank, but it is a small bonus if you already plan to use it.