What you need to open a bank account
To open a bank account, you need a government-issued photo ID, proof of your current address, and your Social Security number or Individual Taxpayer Identification Number (ITIN). Most banks will also ask for an initial deposit, though some offer accounts with no minimum. You can open an account in person at a branch, online through a bank's website, or by phone with some institutions.
The specific documents vary slightly by bank and account type. A driver's license or passport works for ID. For address proof, bring a recent utility bill, lease, mortgage statement, or government mail dated within the last 60 days. If you don't have a Social Security number, an ITIN (issued by the IRS to non-citizens who file taxes) works instead, though fewer banks accept it.
Some banks require a minimum opening deposit—often $25 to $100—though online banks and credit unions frequently waive this. A few banks offer second-chance accounts designed for people with past banking problems, though these may have higher fees or lower withdrawal limits.
Key Takeaways
- You need a photo ID, proof of address, and a Social Security number or ITIN to open most bank accounts.
- Opening online is usually faster than in-person and requires the same documents, uploaded as photos or PDFs.
- Initial deposits range from zero to $100 depending on the bank; many online banks have no minimum.
- If you have been denied a bank account before, credit unions and second-chance banking programs may accept you.
- The account becomes active within one to three business days, though some banks activate it the same day.
Opening an account online versus in person
Opening online is faster and requires no branch visit. You upload photos of your ID and address proof, enter your Social Security number, and choose your account type. Most banks complete the process in minutes and activate the account within one business day. You can then set up direct deposit or transfer money in immediately.
Opening in person at a branch takes 15 to 30 minutes. A banker verifies your documents, explains account features and fees, and processes the application on the spot. You leave with a debit card (or one arrives by mail within 5 to 10 business days) and can often make your first deposit that day. In-person opening is useful if you prefer to ask questions or have documents the bank needs to review.
Phone opening is less common but available at some banks and credit unions. You provide information verbally, mail or email documents, and the bank mails your debit card once the account is active. This route takes longer—usually five to seven business days—but works if you cannot visit a branch or use a computer.
What happens after you open the account
Once approved, your account becomes active within one to three business days. You receive a debit card by mail (typically 5 to 10 business days) and can access your account online or through the bank's mobile app immediately. Some banks issue a temporary card number you can use online right away while the physical card is in transit.
Your first step should be setting up direct deposit if you receive a paycheck or government benefits. You provide your employer or benefits administrator with your account number and routing number (both visible in your online banking portal). Direct deposit usually begins within one to two pay cycles.
If you need money before your debit card arrives, you can transfer funds from another account using your new account number and routing number, or visit a branch to make a deposit. Some banks allow you to withdraw cash at ATMs using a temporary digital card on your phone.
Banks, credit unions, and online-only institutions
Traditional banks (Chase, Bank of America, Wells Fargo, Citibank) have physical branches nationwide, offer multiple account types, and provide in-person customer service. They typically charge monthly maintenance fees ($12 to $15) unless you meet requirements like maintaining a minimum balance or setting up direct deposit. Their debit cards work at most ATMs without fees.
Credit unions are member-owned cooperatives that often have lower fees and higher savings rates than banks. You must join to open an account, which usually means living or working in a specific area or belonging to a particular group. Credit unions typically waive monthly fees and offer second-chance accounts more readily than banks. The downside is fewer branches and ATMs, though most participate in shared branching networks that let you use other credit unions' ATMs.
Online-only banks (Ally, Charles Schwab, Discover, Marcus) have no physical branches but offer lower fees, higher savings rates, and 24/7 customer service by phone or chat. They reimburse ATM fees nationwide, making them practical despite having no branches. Opening is entirely online and takes minutes. The trade-off is no in-person support and slower check deposits (usually three to five business days).
Account types and what they cost
A checking account is designed for frequent deposits and withdrawals. You get a debit card and checkbook, can set up direct deposit, and pay bills online. Monthly fees range from zero to $15, though most banks waive the fee if you maintain a minimum balance (often $500 to $1,500) or receive direct deposit.
A savings account earns interest on your balance and limits withdrawals to six per month (a federal rule, though some banks have relaxed this). Interest rates vary widely—online banks typically offer 4% to 5% annually, while traditional banks offer 0.01% to 0.5%. Savings accounts have lower or no monthly fees.
A money market account combines features of checking and savings: it earns interest, allows limited check writing, and usually requires a higher minimum balance ($2,500 to $10,000). Interest rates are higher than savings accounts but lower than high-yield savings.
A second-chance account is designed for people with past banking problems (overdrafts, fraud, or ChexSystems records). These accounts have higher fees ($15 to $30 monthly), lower withdrawal limits, and may require a larger opening deposit. They report to ChexSystems, so after 12 to 24 months of good standing, you can move to a standard account.
If you have been denied a bank account
Banks use ChexSystems, a banking history database, to screen applicants. If you have unpaid overdrafts, fraud disputes, or repeated NSF (non-sufficient funds) fees, you may be denied. You can request your ChexSystems report for free at chexsystems.com and dispute errors.
If denied, try a credit union first—they are more likely to overlook past problems and offer second-chance accounts. Some credit unions do not use ChexSystems at all. Online banks also tend to have looser screening than traditional banks.
If you have an ITIN instead of a Social Security number, fewer banks accept it, but some do. Call ahead to confirm before visiting a branch. Credit unions are often more flexible with ITIN holders than banks.
If you cannot open a bank account, a prepaid card or check-cashing account provides some of the same functions—direct deposit, bill pay, ATM access—though with higher fees and no interest.
Documents checklist and timing
| Document | What counts | Why you need it |
|---|---|---|
| Photo ID | Driver's license, passport, state ID card | Proves your identity |
| Address proof | Utility bill, lease, mortgage, government mail (within 60 days) | Confirms where you live |
| Social Security number or ITIN | SSN (9 digits) or ITIN (issued by IRS) | Required by law for tax reporting |
| Initial deposit (optional) | $0 to $100 depending on bank | Activates the account |
Opening online takes 5 to 15 minutes to complete, with account activation within one business day. In-person opening takes 15 to 30 minutes, with activation the same day or next business day. Your debit card arrives by mail in 5 to 10 business days. If you need immediate access to funds, use your account number and routing number to transfer money in or visit a branch to deposit cash.
Frequently Asked Questions
Can I open a bank account without a Social Security number?
Yes, if you have an ITIN issued by the IRS. However, fewer banks accept ITINs than Social Security numbers. Credit unions are more likely to accept ITIN holders. Call the bank or credit union before visiting to confirm they accept ITINs.
What if I do not have a current address?
Some banks accept a PO box or shelter address as proof of residence. Others require a physical street address. Call ahead to ask what the bank accepts. If you are unhoused, a credit union or community bank may be more flexible than a large national bank.
How long does it take to use my new account?
You can access your account online and set up direct deposit immediately after opening. Your debit card arrives by mail in 5 to 10 business days. Some banks issue a temporary digital card you can use on your phone right away. If you need cash before the card arrives, visit a branch to withdraw from your new account.
What is the difference between a bank and a credit union?
Banks are for-profit businesses; credit unions are member-owned nonprofits. Credit unions typically have lower fees, higher savings rates, and more lenient approval standards. Banks have more branches and ATMs. Both are insured by the federal government (FDIC for banks, NCUA for credit unions) up to $250,000 per account.
Can I open an account if I have been denied before?
Yes. Request your free ChexSystems report and dispute any errors. Then try a credit union, which often has looser screening, or look for a second-chance account at a community bank. Online banks also tend to approve applicants with banking history issues more readily than traditional banks.