Most banks charge nothing to open a checking or savings account

The account itself is free at nearly every bank and credit union in the United States. You do not pay a fee to create the account, and you do not pay a monthly maintenance fee at most institutions. What you may pay depends on how you use the account after it opens — overdraft fees, ATM fees, minimum balance penalties — but the opening itself costs zero dollars.

Some banks do charge a monthly service fee, but they usually waive it if you meet one condition: keep a minimum balance, set up direct deposit, or maintain a certain number of debit card transactions per month. If you cannot meet that condition, you can switch to a bank that does not charge the fee at all, or you can move to a no-frills account tier that has no monthly cost.

Credit unions often have no monthly fees and no minimum balance requirements, which makes them a practical choice if you want to avoid fees entirely. The tradeoff is that credit unions have fewer branches and ATMs than large national banks, though most credit unions participate in shared branching networks that let you use other credit unions' locations.

Key Takeaways

  • Opening a checking or savings account costs nothing at banks and credit unions; the fee structure applies only to how you use the account after it opens.
  • Monthly maintenance fees exist at some banks but can usually be waived by keeping a minimum balance, setting up direct deposit, or meeting a transaction threshold.
  • Credit unions typically have no monthly fees and no minimum balance, making them a low-cost option if you can work with fewer physical locations.
  • The real costs come from overdraft fees, out-of-network ATM charges, and insufficient funds penalties, not from opening the account itself.

What you actually need to bring to open an account

You will need a government-issued photo ID — a driver's license, passport, or state ID card. You will also need to provide your Social Security number so the bank can verify your identity and check for fraud. Some banks ask for a second form of ID or a utility bill showing your current address, though most do not.

If you are opening an account online, you can usually upload photos of your ID and complete the whole process without visiting a branch. If you go in person, bring your ID and Social Security card or a document with your Social Security number on it. The bank will run a background check through ChexSystems, a database that tracks banking history and fraud, but this check does not cost you anything and does not appear on your credit report.

You do not need to deposit money to open the account. Many banks let you open with zero dollars and add money later. Some banks offer small opening bonuses — $50 to $300 — if you meet conditions like setting up direct deposit or maintaining a minimum balance for a set period, but these are optional incentives, not requirements.

Monthly fees and how to avoid them

Banks that charge monthly maintenance fees typically charge between $5 and $15 per month. Chase, Bank of America, and Wells Fargo all charge monthly fees on some account tiers, but all three waive the fee if you keep a minimum balance — usually $500 to $1,500 — or set up direct deposit. If you do neither, you pay the fee every month.

Some banks offer a "no-frills" or "basic" checking account with no monthly fee and no minimum balance. These accounts may have fewer features — fewer free ATM withdrawals, no check writing, or limited transfers — but they cost nothing to maintain. Ally Bank, Charles Schwab, and many regional banks offer checking accounts with no monthly fee and no minimum balance at all.

Credit unions almost never charge monthly maintenance fees. If you are a member of a credit union, ask about their checking and savings options; most have no monthly cost and no minimum balance. The National Credit Union Administration (NCUA) maintains a credit union locator tool on its website if you want to find one near you.

Costs that appear after you open the account

Overdraft fees are the largest cost most people encounter. If you spend more money than you have in your account, the bank can charge you $25 to $35 per overdraft transaction. If you overdraft multiple times in one day, you can be charged multiple times. Some banks charge a daily overdraft fee if your account stays negative for more than one day.

Out-of-network ATM fees happen when you withdraw cash from an ATM that does not belong to your bank. Your bank charges you $1 to $3, and the ATM operator may charge an additional $1 to $3. If you use out-of-network ATMs frequently, these fees add up quickly. Choosing a bank with a large ATM network or a credit union with shared branching access can eliminate this cost.

Insufficient funds fees (also called NSF fees) are charged when you try to make a transaction — a check, a debit card purchase, or an automatic payment — and your account does not have enough money. The fee is usually $25 to $35 per transaction. Some banks charge this fee even if the transaction is declined; others charge it only if the transaction goes through and puts your account negative.

Wire transfer fees, cashier's check fees, and stop-payment fees are one-time charges that apply only if you use those services. A wire transfer typically costs $15 to $30. A cashier's check costs $5 to $15. A stop-payment on a check costs $25 to $35. You do not pay these unless you request the service.

How to compare banks by total cost

The cheapest account is not always the one with the lowest monthly fee. A bank with a $10 monthly fee but no overdraft fees may cost less than a bank with no monthly fee but $35 overdraft fees. To compare fairly, think about how you will actually use the account.

If you keep a steady balance and rarely overdraft, a bank with a monthly fee waived by direct deposit is fine — the fee disappears if you have your paycheck deposited there. If you are worried about overdrafting, look for a bank that offers overdraft protection, which links your checking account to a savings account or credit line so transactions do not overdraft; some banks offer this for free, others charge $10 to $15 per month.

If you travel or use ATMs frequently, choose a bank with a large network or a credit union with shared branching. If you want the absolute lowest cost, a credit union with no monthly fee and no minimum balance is usually the cheapest option, as long as you can access their branches or ATMs when you need them.

Opening an account if you have banking problems in your history

If you have been flagged in ChexSystems — usually because of unpaid overdrafts, fraud, or repeated NSF fees — some banks will refuse to open an account for you. You can request a free copy of your ChexSystems report from the company's website to see what is listed. If there is an error, you can dispute it.

If your ChexSystems record is accurate and you have recent banking problems, you have two options. First, wait: most negative items fall off ChexSystems after five years, and some banks will open accounts for people with older issues. Second, look for banks that do not use ChexSystems or that are more lenient with applicants who have a history. Some credit unions and smaller regional banks have looser policies. Online banks like Chime and Varo often have lower barriers to entry.

Second-chance checking accounts are designed for people with banking problems. These accounts usually have higher fees, lower ATM access, and stricter limits on transactions, but they let you rebuild your banking history. After six months to a year of clean activity, you can move to a standard account at a different bank.

Frequently Asked Questions

Do I need a minimum deposit to open a bank account?

No. Most banks let you open a checking or savings account with zero dollars. You can deposit money later. Some banks offer opening bonuses if you deposit a certain amount within a set timeframe, but the deposit itself is not required to create the account.

What is the difference between a checking account and a savings account fee?

Checking accounts often have monthly maintenance fees because they are designed for frequent transactions. Savings accounts usually have no monthly fee but may limit how many times you can withdraw money per month. Both are free to open; fees apply only to ongoing use.

Can I open a bank account online without going to a branch?

Yes. Most banks let you open a checking or savings account entirely online by uploading photos of your ID and providing your Social Security number. The process usually takes 10 to 15 minutes, and your account is ready to use the same day or the next business day.

What happens if I cannot meet the minimum balance to waive the monthly fee?

You will be charged the monthly fee every month. Your best option is to switch to a bank or credit union that has no monthly fee and no minimum balance requirement. Many institutions offer this, so you do not have to pay a fee you cannot afford.

Are there banks that charge nothing at all?

Yes. Credit unions, online banks like Ally and Charles Schwab, and some regional banks offer checking accounts with no monthly fee, no minimum balance, and no overdraft fees (or overdraft protection included). The tradeoff is usually fewer physical branches or ATMs, but the cost is genuinely zero if you avoid overdrafts and out-of-network ATMs.