What a Post Office Savings Account Is and Who Can Open One

A Post Office Savings Account is a basic savings account run by the U.S. Postal Service through a partnership with Metabank. It is not a checking account—you cannot write checks or use a debit card. Instead, you deposit money, earn a small amount of interest, and withdraw funds in person at a post office or by mail. The account is designed for people who want a simple way to save without the fees or minimum balances that traditional banks often require.

You can open an account if you are at least 18 years old and have a valid government-issued ID. You do not need a Social Security number if you are not a U.S. citizen, though you will need an Individual Taxpayer Identification Number (ITIN) instead. There is no credit check, no employment verification, and no minimum opening deposit.

Key Takeaways

  • Post Office Savings Accounts require only a valid ID and cost nothing to open, with no minimum balance and no monthly fees.
  • You can deposit and withdraw money only in person at a post office or by mailing a withdrawal request, not through ATMs or online transfers.
  • Interest rates are set by Metabank and change periodically, so check the current rate before opening because it may be lower than other savings options.
  • The account is FDIC-insured up to $250,000, meaning your money is protected if the bank fails.

Documents You Need to Bring to the Post Office

Bring one valid government-issued photo ID. Acceptable forms include a driver's license, passport, state ID card, military ID, or tribal ID. The ID must not be expired. If you do not have a photo ID, you can bring two non-photo forms of ID instead—a Social Security card plus a utility bill, lease, or bank statement with your name and current address both showing.

If you are opening the account for someone else (as a guardian or power of attorney), bring documentation of that authority. For a minor, bring the child's birth certificate and your own ID. For an adult you have power of attorney over, bring the signed power of attorney document and your ID.

Bring a small amount of cash or a check to make your first deposit. There is no minimum, so even $1 will open the account. If you use a check, it must be drawn on a U.S. bank account in your name.

The Step-by-Step Process at the Post Office

Walk into any post office and ask to open a Post Office Savings Account. The postal clerk will hand you a form to fill out. The form asks for your name, address, date of birth, phone number, and either your Social Security number or ITIN. You will also declare whether you are a U.S. citizen.

The clerk will verify your ID, check that the information on the form matches your ID, and ask you to sign the form. They will then ask how much you want to deposit to open the account. You can deposit as little as $1. The clerk will count the cash or process the check, give you a receipt, and issue you a passbook—a small booklet that records every deposit and withdrawal you make.

The entire process takes about 10 to 15 minutes. You will leave with your passbook and a receipt showing your new account number. Keep both. You will need the account number to make deposits or withdrawals by mail, and the passbook is your record of all transactions.

How to Deposit and Withdraw Money

To deposit money after opening the account, return to any post office with your passbook and the cash or check you want to deposit. The clerk will record the deposit in your passbook and give you a receipt. Deposits are added to your account immediately. You can also mail a deposit to the address printed in your passbook, though this takes longer and you will not receive a receipt until the post office processes it.

To withdraw money, bring your passbook to a post office and tell the clerk how much you want to take out. The clerk will deduct it from your account, record it in your passbook, and hand you the cash. Withdrawals are processed on the spot. You can also request a withdrawal by mail by sending a signed letter with your account number and the amount you want to withdraw, though this takes one to two weeks for the check to arrive.

There is no limit on how many deposits or withdrawals you can make per month. However, you cannot transfer money electronically to another account, and you cannot set up automatic deposits or withdrawals.

Interest Rates and How Your Money Grows

Post Office Savings Accounts earn interest, but the rate is typically very low—often less than 0.5% per year. The exact rate changes periodically and is set by Metabank, not by the Post Office. Before you open an account, ask the clerk what the current rate is, because it may be lower than what you could earn at an online bank or credit union.

Interest is calculated daily on your balance and added to your account once per month. For example, if you have $1,000 in the account and the rate is 0.4% per year, you would earn about $0.33 per month. The interest compounds, meaning you earn interest on your interest, but the effect is small at these rates.

Your interest earnings are reported to the IRS on a Form 1099-INT if you earn $10 or more in a year. You will receive a copy in January of the following year. You must report this interest as income on your tax return.

Fees and Account Maintenance

There are no monthly maintenance fees, no minimum balance requirements, and no fees for deposits or withdrawals. You will not be charged for inactivity if you do not use the account for a long time. The account remains open and your money stays in it, earning interest, until you close it or withdraw all the funds.

If your passbook is lost or damaged, you can request a replacement at any post office. There is no fee for this. The post office will issue a new passbook with all your transaction history printed in it.

If you close the account, bring your passbook to a post office and tell the clerk you want to close it. They will withdraw all remaining funds, including any accrued interest, and give you the cash or a check. The account is closed immediately.

FDIC Insurance and Account Safety

Post Office Savings Accounts are FDIC-insured, which means the Federal Deposit Insurance Corporation guarantees your money up to $250,000 if Metabank fails. This is the same protection that regular bank accounts have. Your $250,000 limit is per depositor, per bank, so if you have multiple accounts at Metabank under your name, the total across all of them is insured up to $250,000.

Your passbook is not a debit card and cannot be stolen to access your account remotely. To withdraw money, someone would need to physically go to a post office with your passbook and your account number. If your passbook is lost or stolen, report it to any post office immediately. The post office can freeze the account to prevent unauthorized withdrawals while you wait for a replacement passbook.

Frequently Asked Questions

Can I open a Post Office Savings Account online?

No. You must open the account in person at a post office with a valid ID. You cannot open one by phone, mail, or online. However, once the account is open, you can make deposits and withdrawals by mail if you do not want to visit a post office in person.

What happens if I do not use my account for years?

Nothing. The account stays open, your money remains in it, and it continues to earn interest. There are no inactivity fees or penalties. However, if you do not visit a post office or contact them for a very long time, the account may eventually be reported to your state's unclaimed property program, but this is rare.

Can I have someone else withdraw money from my account?

Not without a power of attorney or guardianship. The person withdrawing must have either the passbook and account number or legal authority to act on your behalf. You can authorize someone by giving them your passbook, but they will still need to go to a post office in person.

Is the interest rate may provide to stay the same?

No. Metabank can change the interest rate at any time. The post office will notify you of rate changes, but you should check the current rate periodically by asking at your local post office or checking the Post Office website.

What if I want to move my money to a different bank?

Withdraw all your funds from the Post Office account and deposit them into the new account. There is no fee for closing the Post Office account. You can do this in person at a post office or by mail using a withdrawal request form.