Yes, you can open an online bank account entirely from your computer or phone

Most online banks let you open an account without visiting a branch. You will need a valid government ID, a Social Security number or ITIN, proof of your current address, and an initial deposit (which varies by bank—some have no minimum, others require $25 or more). The whole process usually takes 10 to 15 minutes, though some banks take up to one business day to verify your information before you can use the account.

The main difference between online banks and traditional banks is that online banks have no physical locations. You manage everything through their website or mobile app. Deposits work differently too: instead of handing a check to a teller, you photograph it with your phone using mobile deposit, mail it in, or transfer money from another account. Withdrawals happen through ATMs (some networks are free, others charge per transaction) or by transferring money out.

Key Takeaways

  • You need a government-issued ID, Social Security number or ITIN, proof of address, and an initial deposit amount that varies by bank.
  • The account opens online in 10 to 15 minutes for most banks, though verification can take up to one business day before you can use it.
  • Online banks have no branches, so deposits happen by photographing checks, mailing them, or transferring from another account.
  • Withdrawals happen through ATM networks or transfers; some networks are free to use, others charge per transaction.
  • Online banks typically charge lower or no monthly fees because they have lower overhead costs than traditional banks.

What documents and information you need to have ready

Before you start, gather a valid government ID (driver's license, passport, or state ID card), your Social Security number or ITIN, and a document showing your current address. A recent utility bill, lease agreement, or bank statement all work for the address proof. Some banks accept a government-issued ID with an address on it, which covers both requirements.

You will also need to decide on your initial deposit amount. Check the specific bank's requirements—some have zero minimum, while others require $25, $100, or more. You can usually fund the account by transferring money from an existing bank account, using a debit card, or mailing a check. A few banks offer direct deposit setup during the account opening process, which is useful if you want your paycheck to go straight in.

The step-by-step process for opening an account online

Go to the bank's website or read their mobile app. Look for a button that says "Open an Account" or "Sign Up"—it is usually on the homepage. The bank will ask you to enter your name, date of birth, Social Security number or ITIN, and current address. You will also create a username and password for logging in later.

Next, the bank will ask you to verify your identity. Most banks do this by asking security questions based on your credit history, or by having you photograph your ID with your phone. Some use third-party verification services that check your information against public records. Once verified, you will choose which type of account you want (checking, savings, or both) and agree to the terms and conditions.

Finally, you will fund the account. The bank will give you options: transfer from another bank account, use a debit card, or mail a check. If you choose a transfer, the bank provides routing and account numbers so you can move money in. The account is usually ready to use when ready, though some banks hold the funds for one business day while they confirm the transfer went through.

How long it takes from start to finish

The process itself takes 10 to 15 minutes. Identity verification happens in real time for most banks—you photograph your ID and answer security questions, and the system approves or denies you on the spot. A few banks take longer and verify manually, which can add a few hours or up to one business day.

Once your identity is verified, the account opens when ready. However, if you are funding the account by transfer from another bank, that money may take one to three business days to arrive, depending on both banks' processing times. If you mail a check, add five to seven business days for it to arrive and clear. Some banks let you use the account before the deposit clears, while others require the money to be there first.

What happens if you do not have a Social Security number

If you are a non-citizen without a Social Security number, you can use an ITIN (Individual Taxpayer Identification Number) instead. Most online banks accept ITINs for account opening. A few do not, so call the bank's customer service line before you start the process to confirm they will take an ITIN.

If you do not have either a Social Security number or an ITIN, some banks will not open an account for you online. In that case, you may need to visit a physical bank branch with additional documentation, or look for banks that specialize in serving people without SSNs. Community banks and credit unions sometimes have different rules than large national banks.

Differences between online banks and banks with branches

Online banks have lower fees because they do not pay for buildings, tellers, or branch staff. Most charge no monthly maintenance fee, while traditional banks often charge $10 to $15 per month unless you meet certain conditions (like keeping a minimum balance or setting up direct deposit). Online banks also tend to pay higher interest on savings accounts.

The trade-off is convenience for deposits and withdrawals. With a branch bank, you can walk in and deposit cash or get a cashier's check. With an online bank, you deposit checks by photograph, and cash deposits are not an option at most banks. Withdrawals happen through ATM networks, which may or may not be free depending on the bank. If you need frequent in-person service, a traditional bank or a credit union may be a better fit.

What to do if your process is denied

Banks deny applications for a few reasons: failed identity verification, a history of fraud or unpaid overdrafts reported to ChexSystems (a banking history database), or a mismatch between the information you provided and what the bank found. If you are denied, the bank should tell you why, either in the app or by email.

If the denial was due to ChexSystems, you can request a copy of your report from ChexSystems directly and dispute any errors. If it was a verification failure, try again with a different form of ID or contact the bank's customer service to ask what went wrong. Some banks will reconsider if you provide additional documentation. If one bank denies you, try a different bank—they use different verification methods and may approve you.

Frequently Asked Questions

Can I open an online bank account without a credit card?

Yes. You do not need a credit card to open a checking or savings account. You will need a debit card (which the bank issues) or the ability to transfer money from another account to fund it. Some banks let you mail a check instead.

What if I do not have a current address to provide?

Most banks require proof of a current address dated within the last 60 to 90 days. If you are homeless or living temporarily, ask the bank whether they accept mail forwarding addresses, care-of addresses, or shelter addresses. Some do; others do not. Call customer service before you explore.

Can someone else open an account for me?

No. The person whose name is on the account must be the one who opens it and verifies their identity. A parent or guardian cannot open an account in a child's name online; they would need to visit a branch or open a custodial account, which has different rules.

Is my money safe in an online bank?

If the bank is FDIC-insured, your deposits are protected up to $250,000 per account type per bank. Most online banks are FDIC-insured. Check the bank's website or call them to confirm. FDIC insurance protects you if the bank fails, not if your account is hacked—use a strong password and enable two-factor authentication for that.

How do I deposit cash into an online bank account?

Most online banks do not accept cash deposits because they have no branches. Some partner with retail locations like Walmart or CVS where you can deposit cash for a fee. Others let you transfer money from another account instead. Check your bank's website for their cash deposit options before you open the account.