Most banks charge nothing to open a checking or savings account
The vast majority of banks and credit unions do not charge an account opening fee. You can walk into a branch or apply online and start an account for zero dollars. The cost comes later — if it comes at all — through monthly maintenance fees, overdraft charges, or minimum balance requirements that some banks enforce.
The real question is not whether opening costs money, but what happens after you open it. Some accounts are genuinely free. Others have monthly fees you can avoid by meeting conditions like keeping a minimum balance, setting up direct deposit, or maintaining a certain number of debit card transactions per month.
Key Takeaways
- Opening a checking or savings account itself costs nothing at most banks and credit unions.
- Monthly maintenance fees range from zero to $15 depending on the bank and account type, but many can be waived by meeting simple conditions.
- Some banks charge overdraft fees ($25 to $35 per transaction) only when you spend money you do not have, not for opening the account.
- Credit unions typically have lower or no monthly fees compared to large national banks.
- Online-only banks almost never charge monthly fees because they have lower operating costs than branches.
Monthly maintenance fees and how to avoid them
If a bank does charge a monthly fee, it is usually $5 to $15, and it applies only after the account is open and active. You can often avoid this fee by meeting one of these conditions: keeping a minimum balance (often $500 to $1,500), setting up direct deposit of your paycheck, making a certain number of debit card purchases per month, or maintaining a linked savings account.
Large national banks like Chase, Bank of America, and Wells Fargo typically charge monthly fees on their basic checking accounts but waive them if you meet their conditions. Credit unions and online banks like Ally, Charles Schwab, and Chime usually have no monthly fee at all, with no strings attached.
Before you open an account, ask the bank or check their website for the specific conditions. If you cannot meet them — for example, if you cannot keep $1,000 in the account at all times — choose a bank that does not require it.
Overdraft fees and other charges that happen later
Overdraft fees are not opening costs, but they are the largest fee most people encounter. If you spend more money than you have in your account, the bank charges you $25 to $35 per transaction that overdrafts. A single day of overspending can cost $75 to $105 if three transactions go through.
Some banks now offer overdraft protection, which links your checking account to a savings account or credit line. If you overdraft, the bank transfers money from the linked account instead of charging a fee. This costs nothing unless you actually use it, and even then the transfer fee is usually $0 to $10 — far less than an overdraft fee.
Other charges that may apply after opening include wire transfer fees ($15 to $30), ATM fees if you use an out-of-network machine ($2 to $3 per withdrawal), and foreign transaction fees if you use your card abroad (1% to 3% of the purchase). None of these are opening costs, but they are worth knowing about.
Minimum opening deposits and initial funding
Most banks do not require you to deposit any money to open an account. You can open it empty and fund it later. However, some banks — particularly those targeting wealthier customers or offering premium accounts — do require an opening deposit of $25 to $500.
If a bank does require an opening deposit, that money is yours. It goes into your new account and counts toward any minimum balance requirement. You can withdraw it immediately if you want, though doing so may trigger a monthly fee if the bank requires you to maintain that balance.
Check the bank's website or ask before you go in. If you do not have money to deposit right now, choose a bank with no opening deposit requirement.
Comparing costs across account types
| Account Type | Opening Cost | Typical Monthly Fee | How to Avoid Monthly Fee |
|---|---|---|---|
| Basic checking (national bank) | $0 | $10–$15 | Direct deposit or $1,500+ balance |
| Basic checking (credit union) | $0 | $0–$5 | Usually no conditions |
| Online checking | $0 | $0 | No conditions; always free |
| Savings account | $0 | $0–$10 | Minimum balance or linked checking |
| Money market account | $0–$25 | $10–$25 | $2,500–$10,000 balance |
When banks do charge to open an account
A few situations trigger actual opening fees. Some banks charge $25 to $100 to open a money market account or certificate of deposit (CD), though most do not. A handful of banks charge a fee to expedite account opening or to have a banker set up the account in person rather than online, but these are rare and usually avoidable by applying online yourself.
If a bank quotes you an opening fee, ask whether it is waived if you meet a minimum deposit or direct deposit requirement. Many banks will waive the fee if you fund the account with $500 or more on day one.
What to do before you open an account
Call or visit the bank's website and write down the answers to these questions: Is there an opening fee? Is there a monthly maintenance fee? If yes, what are the conditions to waive it? Is there a minimum opening deposit? Does the bank charge overdraft fees, and can you opt out?
Compare at least two banks — a national bank, a credit union, and an online bank if possible. The difference between a bank that charges $15 per month and one that charges nothing adds up to $180 per year. Over five years, that is $900 you keep instead of giving to the bank.
Frequently Asked Questions
Do I have to pay anything just to open an account?
No. The vast majority of banks charge nothing to open a checking or savings account. Some money market accounts or CDs may have opening fees, but basic accounts do not. You can open an account online or in person at no cost.
What if I cannot keep a minimum balance to avoid the monthly fee?
Choose a bank that does not require a minimum balance. Online banks and many credit unions have no monthly fee and no minimum balance requirement. You can have $10 in the account and pay nothing.
Can I close an account if I change my mind after opening it?
Yes. You can close an account at any time, usually by calling the bank or visiting a branch. There is no fee to close. Withdraw any remaining money first, or tell the bank where to send it.
What happens if I do not fund my account after opening it?
Most banks will close an account that has been empty for 60 to 90 days. There is no fee for this, but you lose the account number. If you plan to open an account but not use it immediately, ask the bank how long you can leave it unfunded.
Are credit unions cheaper than banks?
Usually yes. Credit unions typically charge lower or no monthly fees and have fewer overdraft fees than national banks. However, they may have fewer ATMs and branches. Compare the specific credit union and bank you are considering rather than assuming one is always cheaper.