Bank of America is a large national bank with low fees and broad access, but whether it suits you depends on what you do with your money
Bank of America (BofA) operates over 4,600 branches and 16,000 ATMs across the United States, which means you can deposit checks and withdraw cash almost anywhere. The bank offers checking and savings accounts with no monthly maintenance fee if you meet basic requirements—usually keeping a minimum balance or setting up direct deposit. For everyday banking, this setup works well if you use branches regularly or need the ATM network.
The real question is not whether BofA is "good" in the abstract, but whether its structure matches how you actually move money. Some people find the account requirements straightforward; others hit fees they did not expect. Some value the branch network; others never set foot in one. This guide walks through what BofA offers, what it costs, and the situations where it makes sense versus where another bank might serve you better.
Key Takeaways
- Bank of America waives monthly fees on its main checking account if you maintain a $1,500 minimum balance or set up direct deposit, but falling below that threshold triggers a $12 monthly charge.
- The bank's checking account comes with no overdraft fees if you opt out of overdraft protection, but opting in allows charges of $35 per overdraft transaction.
- ATM access is broad within the BofA network, but using another bank's ATM typically costs $2.50 unless you belong to a fee-sharing network like Allpoint or MoneyPass.
- Interest rates on savings accounts are lower than many online-only banks offer, so BofA works better for transaction banking than for saving money.
- Customer service is available by phone, in-branch, and online, but wait times during peak hours can stretch beyond 30 minutes.
What the checking account actually costs
Bank of America's Advantage SafePass Checking account charges $12 per month unless you meet one of two conditions: keep a $1,500 minimum balance in the account, or receive direct deposits totaling at least $250 per month. If you do neither, the fee hits automatically. Many people set up direct deposit specifically to avoid this, which works if your employer or benefit provider supports it.
Overdraft fees are $35 per transaction, but only if you opt into overdraft protection. If you decline overdraft protection, the bank will straightforward deny transactions that exceed your balance—no fee, but also no coverage. This choice matters: someone who occasionally overdraws by $50 might prefer the $35 fee to a declined debit card at the grocery store, while someone who overdrafts frequently will pay hundreds in fees.
Out-of-network ATM withdrawals cost $2.50 per transaction. If you travel or live outside a BofA service area, this adds up. The bank participates in Allpoint and MoneyPass networks, which means you can use thousands of ATMs at retailers and other banks without the fee, but you have to know which ones participate.
How interest rates compare to other banks
Bank of America's savings account currently earns interest at a rate that varies by account type and balance tier. As of early 2024, rates on standard savings accounts sit well below 1 percent annually—typically around 0.01 percent. This means $10,000 in a BofA savings account earns roughly $1 per year.
Online-only banks and credit unions often offer rates between 4 and 5 percent on savings accounts, which would earn $400 to $500 annually on the same $10,000. The difference compounds over time. If you are holding money for more than a few months, the interest rate gap matters enough to consider moving savings to a different institution while keeping checking at BofA.
BofA does offer higher-yield savings products like money market accounts, but these typically require larger minimum balances ($2,500 or more) and still do not match online alternatives. The bank's strength is in transaction banking, not in growing savings.
Branch access and when it actually matters
The 4,600 BofA branches across the country mean you can walk in to deposit a check, withdraw cash, or speak to someone in person. This matters if you handle cash regularly, need to deposit checks without a mobile app, or prefer face-to-face service for complex transactions. For someone who receives rent payments in cash or runs a small business, branch access is real value.
For someone who deposits checks by phone, pays bills online, and rarely carries cash, the branch network is irrelevant. Many people open a BofA account for the branches, then never use them. Before choosing BofA for this reason, check whether you actually visit branches or whether you could handle everything through the app.
BofA's mobile app lets you deposit checks by photograph, transfer money between accounts, and pay bills. The app works reliably for most people, though some users report occasional delays in processing or difficulty with image quality on older phones.
Customer service and how long you will wait
Bank of America offers phone support 24/7, in-branch service during branch hours, and online chat during business hours. The phone line is staffed, not automated, which is useful when you have a specific problem. However, wait times during business hours (9 a.m. to 5 p.m. weekdays) often exceed 30 minutes, especially on Mondays and around the first of the month.
In-branch service is faster if a location is near you, but availability depends on your local branch's staffing. Some branches have dedicated appointment slots, which can reduce wait time if you call ahead. Online chat is available but limited to account questions and straightforward transactions; complex issues get escalated to phone support anyway.
BofA also offers a rewards program called Preferred Rewards that gives cash back on debit card purchases and higher interest rates on savings if you maintain a certain balance or investment portfolio with the bank. The rewards are modest—typically 0.25 to 0.75 percent cash back—but they add up if you use the debit card regularly.
Who BofA works well for versus who should look elsewhere
Bank of America makes sense if you live or work near a branch, use direct deposit, and do not mind lower savings rates. It also works if you travel frequently within the United States and want reliable ATM access without fees. The account structure is straightforward once you understand the minimum balance requirement, and the app is functional for daily banking.
BofA is less suitable if you are trying to build savings and want competitive interest rates, if you live in a rural area with few branches, or if you want to avoid overdraft fees entirely. It is also not the best choice if you frequently use ATMs outside the BofA network, because the $2.50 fee per transaction adds up quickly.
Credit unions often offer lower fees and better rates on savings, but they have fewer branches and ATMs. Online banks have the highest savings rates but no physical locations. The choice depends on whether you value convenience and branch access more than interest rates and low fees.
What happens if you fall below the minimum balance
If your account balance drops below $1,500 and you do not have direct deposits, the $12 monthly fee appears on your statement. This fee is charged automatically on the same day each month. If your balance is low because you are between paychecks or waiting for a transfer, the fee still applies—there is no grace period.
Some people set up a small automatic transfer from savings to checking on payday to stay above the minimum. Others use direct deposit as their primary method. If neither option works for you, the fee becomes a regular cost of banking at BofA, which might make another bank more economical.
The fee can also trigger a cascade: if you are already low on funds and the $12 fee pushes you below zero, you then face a $35 overdraft fee on top of it. This is why understanding the fee structure before you open the account matters.
Frequently Asked Questions
Can I avoid the monthly fee without direct deposit?
Yes, by keeping a $1,500 minimum balance in the account at all times. If you can maintain that balance, the fee does not explore. Many people find it easier to set up direct deposit, which requires only one setup step and then happens automatically.
What happens if I use an ATM that is not Bank of America?
You will be charged $2.50 per withdrawal. However, BofA participates in the Allpoint and MoneyPass networks, so you can use ATMs at many retailers, credit unions, and other banks without a fee. Check the BofA app or website to find participating ATMs near you before you need cash.
Is the savings account worth keeping at Bank of America?
Only if you are using it for short-term holding or emergency funds. The interest rate is too low to build savings effectively. Many people keep a checking account at BofA for transactions and move savings to an online bank or credit union that offers rates above 4 percent.
How long does it take to transfer money out of Bank of America?
Internal transfers between BofA accounts are when ready. Transfers to another bank typically take one to three business days, depending on the receiving bank. Wire transfers are faster but cost $15 to $30 and are usually reserved for large amounts or urgent moves.
What should I do if I get hit with overdraft fees?
Call BofA customer service and ask for a fee reversal. The bank sometimes reverses one or two overdraft fees per year if you have a good account history. If overdraft fees are a pattern, opting out of overdraft protection prevents future charges but means transactions will be denied instead.