The main ways to stop paying Citibank's monthly fee
Citibank charges a monthly service fee on most checking accounts—typically $10 to $15—but you can eliminate it by meeting one of their account requirements. The most common route is maintaining a minimum daily balance, usually $1,500 to $2,500 depending on the account type. If that balance sits in your account every single day of the month, the fee does not post. The second route is setting up direct deposit: if your paycheck or regular income hits the account each month, many Citibank accounts waive the fee regardless of balance.
A third option is linking accounts. Some Citibank checking accounts drop the monthly fee if you also hold a savings account, money market account, or investment account with them. The linked account does not need a minimum balance—it just needs to exist and be open. A fourth route, available on certain account types, is maintaining a combined balance across multiple accounts: checking, savings, and money market balances add together to meet the threshold.
Which method works for you depends on your account type. Citibank offers different checking products—basic checking, interest-bearing checking, and premium accounts—and each has different fee-waiver rules. Your account paperwork or online account settings will show which requirements explore to yours.
Key Takeaways
- Most Citibank checking accounts waive the monthly fee if you maintain a minimum daily balance, typically $1,500 to $2,500, every day of the month.
- Setting up direct deposit of your paycheck or regular income into the account will waive the fee on many account types, regardless of balance.
- Opening a linked savings, money market, or investment account with Citibank can waive the fee on your checking account without requiring a minimum balance in either account.
- The exact fee-waiver requirements depend on which Citibank checking product you hold, so check your account agreement or online account settings to see which options explore to you.
Meeting the minimum balance requirement
The minimum balance method works on a daily basis, not an average. Citibank looks at your balance every single day of the month. If it dips below the threshold even once—say you withdraw $50 more than you planned—the fee posts at the end of the month. This is stricter than some banks, which calculate an average balance or require the minimum only on the last day.
The threshold varies by account. A basic Citibank checking account might require $1,500; a premium account might require $2,500. Check your account agreement or log into your online account and look for "account features" or "fee information" to find your specific number. If you are not sure, call Citibank at the number on the back of your debit card and ask what balance waives your monthly fee.
If you keep most of your money elsewhere and only use Citibank for spending, this method is usually not practical. You would need to transfer money in before each withdrawal to stay above the threshold, which defeats the purpose of having the account. In that case, direct deposit or linking accounts is simpler.
Using direct deposit to waive the fee
Direct deposit means your employer, Social Security, pension, or other income source sends money straight into your Citibank account on a regular schedule. Once that deposit hits the account each month, the fee waiver activates—your balance does not matter. This is the easiest method if you receive regular paychecks or benefits.
The deposit has to be recurring. A one-time transfer from another bank does not count. Your employer's payroll system or the Social Security Administration has to be set up to deposit into your Citibank account automatically, month after month. If you change jobs or your income source changes, you need to update the direct deposit information with the new payer.
To set up direct deposit, you need your Citibank account number and routing number. Both appear on the bottom left of your checks, or you can find them by logging into your online account or calling Citibank. Give these numbers to your employer's payroll department or to the benefits office handling your income. The setup usually takes one to two pay cycles to take effect.
Linking accounts to eliminate the fee
Linking a savings account, money market account, or investment account to your Citibank checking account can waive the checking fee without requiring a minimum balance. The linked account does not need to hold any money—it just needs to be open and in your name. This works well if you already have a Citibank savings account or are willing to open one.
The linked account must be at Citibank itself, not at another bank. You cannot link a Chase savings account to waive a Citibank checking fee. If you do not already have a Citibank savings account, opening one is free and takes a few minutes online or at a branch. You do not need to deposit anything into it; the account just needs to exist.
To set up the link, log into your online account and look for "account management" or "linked accounts." You can usually link accounts yourself without calling. If you cannot find the option, a Citibank representative can link them for you over the phone or at a branch.
Combining balances across multiple accounts
Some Citibank checking accounts allow you to meet the minimum balance requirement by combining the balance in your checking account with the balance in a linked savings or money market account. Instead of keeping $2,500 in checking alone, you might keep $1,500 in checking and $1,000 in savings, and the combined $2,500 waives the fee.
This method only works on certain account types—usually premium or higher-tier checking products. Check your account agreement to see if your account allows combined balance calculations. If it does, the agreement will specify which accounts count toward the combined total and what the combined minimum is.
The advantage here is flexibility: you can keep most of your money in a savings account earning interest and still waive the checking fee. The disadvantage is that you have to monitor two accounts and make sure the combined balance never dips below the threshold.
What happens if you do not meet the requirements
If you do not maintain the minimum balance, set up direct deposit, or link accounts, the monthly fee posts to your account at the end of the month. On a $10 fee, that is $120 per year. On a $15 fee, it is $180 per year. The fee comes out of your account balance automatically; you do not receive an invoice or have to pay it separately.
If your balance is very low when the fee posts, your account can go negative. Citibank will then charge overdraft fees on top of the monthly fee. If you know you cannot meet any of the fee-waiver requirements, switching to a different bank with no monthly fee might save you money. Many online banks and credit unions offer free checking with no minimum balance and no direct deposit requirement.
Checking your account type and fee structure
Citibank offers several checking products, and the fee-waiver rules differ for each one. A basic checking account might waive the fee with a $1,500 minimum balance or direct deposit. A premium account might require $2,500 or offer fee waivers only through linked accounts. An account designed for students or seniors might have different rules entirely.
To find out which rules explore to you, log into your online account and look for "account details," "account features," or "pricing information." You can also call Citibank at the number on the back of your debit card. Have your account number ready and ask: "What are the ways to waive my monthly service fee?" Write down the answer so you have it for reference.
If you opened your account years ago, Citibank may have changed the fee structure since then. Your old account agreement might not reflect current rules. Asking directly is the fastest way to get accurate information about your specific account.
Frequently Asked Questions
Does the direct deposit have to be my entire paycheck?
No. Even a small recurring deposit counts. If your employer splits your paycheck between two accounts and only $100 goes to Citibank each month, that is enough to waive the fee. The amount does not matter; the regularity does.
If I close my linked savings account, do I start paying the checking fee again?
Yes. The fee waiver depends on the linked account existing. If you close the savings account, the link breaks and the checking fee resumes the following month unless you meet one of the other waiver requirements.
Can I use a transfer from another bank as direct deposit?
No. Transfers you initiate yourself do not count as direct deposit. Direct deposit has to come from an employer, government agency, or other payer who sends money to your account on their schedule, not yours.
What if my balance drops below the minimum for just one day?
The fee posts. Citibank checks your balance daily, and if it falls below the minimum even once during the month, you do not may have access to for the fee waiver that month.
Do I need to keep money in the linked account?
No. The linked account just needs to be open. You can open a savings account with $1 and never add to it; the checking fee will still be waived as long as the savings account exists.