Minimum balance requirements vary by bank and account type
Most banks do not require you to keep a specific amount of money in a savings account. Many banks offer savings accounts with zero minimum balance — you can open one, deposit a dollar, and leave it there. But some banks do set minimums, and the amount depends on which bank you use and which savings product you choose.
Common minimums range from $25 to $2,500, though a few banks ask for $10,000 or more. Banks use minimums to cover the cost of maintaining your account and to discourage people from opening accounts they do not plan to use. If your balance falls below the minimum, the bank may charge a monthly fee, close your account, or move you to a different account type.
The best way to know what your bank requires is to check your account agreement or call the bank directly. Do not assume that because one savings account has a minimum, all of them do — requirements change from product to product and bank to bank.
Key Takeaways
- Many banks offer savings accounts with no minimum balance requirement at all.
- When a minimum does exist, it typically ranges from $25 to $2,500, depending on the bank and account type.
- If your balance drops below the required minimum, your bank may charge a monthly fee or close the account.
- Your account agreement or the bank's website will show the exact minimum for your specific account.
- High-yield savings accounts and money market accounts are more likely to have minimums than basic savings accounts.
Where minimums are most common
Banks are most likely to set a minimum balance on accounts that pay higher interest rates. A high-yield savings account at an online bank might require $1 to $25,000 to open, depending on the bank. A money market account — which combines savings and checking features — often requires $2,500 to $10,000. Traditional savings accounts at brick-and-mortar banks sometimes have minimums of $300 to $500.
Credit unions often have lower minimums than banks, sometimes as little as $5 or $25. However, credit unions may require you to become a member first, which can involve a small deposit into a share account (a credit union's version of a checking account).
Online-only banks are the most likely to have no minimum at all. Because they do not maintain physical branches, their costs are lower, and they can afford to accept small deposits. If you want to avoid a minimum entirely, an online savings account is usually your best option.
What happens if your balance falls below the minimum
If your account has a minimum and your balance drops below it, the consequences depend on your bank's policy. Some banks charge a monthly fee — typically $5 to $25 — each month you stay below the minimum. Others may close your account after a set period of time, usually 30 to 90 days.
A few banks will automatically move you to a different account type with no minimum, though this usually means you will earn less interest or lose certain features. Before this happens, your bank should send you a notice warning that your balance is low. Read these notices carefully, because they tell you how much time you have to bring your balance back up.
The fee itself is not huge, but it adds up. If you are charged $10 a month for being below a $500 minimum, that is $120 a year — money that could have stayed in your account and earned interest instead.
How to find your bank's minimum balance requirement
The fastest way to find out what your bank requires is to log into your online banking account and look for your account agreement or account details. Most banks post this information under a section called "Account Terms," "Disclosures," or "Account Features." You can also call your bank's customer service line and ask directly — they will tell you in under a minute.
If you are thinking about opening a new account, check the bank's website before you start. Most banks list minimum balance requirements on the product page for each account type. If the information is not there, call or use the bank's online chat before you open the account.
Keep in mind that minimums can change. Banks sometimes lower minimums to attract new customers or raise them during economic downturns. If you have had an account for years, it is worth checking whether the minimum has changed since you opened it.
Minimums at different types of financial institutions
| Account Type | Typical Minimum | Where You Find It |
|---|---|---|
| Basic savings account (online bank) | $0–$25 | Online banks like Marcus, Ally, Discover |
| Basic savings account (traditional bank) | $100–$500 | Chase, Bank of America, Wells Fargo |
| High-yield savings account | $1–$25,000 | Online banks; varies widely |
| Money market account | $2,500–$10,000 | Banks and credit unions |
| Credit union savings account | $5–$500 | Local or online credit unions |
Whether a minimum balance actually matters for you
A minimum balance requirement only matters if you cannot or do not want to keep that much money in the account. If you are building an emergency fund and plan to keep at least $500 in savings anyway, a $500 minimum does not change your behavior — you were going to keep that money there regardless.
But if you are saving small amounts and expect your balance to dip below the minimum sometimes, a fee-free account with no minimum is worth more to you than a high-interest account with a $2,500 minimum. The interest you earn on $2,500 at 4% per year is about $100. If you fall below the minimum twice a year and pay a $10 fee each time, you have lost $20 of that interest gain.
The math changes if you have a larger amount to save. If you are putting away $5,000 or more, a high-yield account with a minimum makes sense — the higher interest rate will outweigh any risk of fees. If you are saving $500 or less, stick with a no-minimum account.
Frequently Asked Questions
Can a bank close my account if I go below the minimum?
Yes, but only after giving you notice. Most banks send a warning letter when your balance drops below the minimum and give you 30 to 90 days to bring it back up. If you do not, they may close the account and send you any remaining balance by check or transfer.
Do I have to keep the minimum in my account at all times?
It depends on the bank. Some banks require the minimum only on the day you open the account. Others require you to maintain it every day. Check your account agreement to see which rule applies to you.
What if I cannot afford to keep the minimum right now?
Open an account with no minimum instead. Online banks like Ally, Marcus, and Discover offer savings accounts with zero minimum balance. You can switch to a higher-interest account later when you have more money saved.
Does the minimum balance earn interest?
Yes. Whatever balance you keep in the account, including the minimum, earns interest at the rate your bank advertises. The interest rate is the same whether you have $100 or $10,000 in the account.
Can I negotiate a lower minimum with my bank?
Rarely. Banks set minimums based on account type, not individual customers. However, some banks waive minimums if you set up automatic deposits or link your checking account to your savings account. Ask your bank what options are available.