Most banks require nothing upfront to open a checking or savings account
You do not need to deposit money to open an account at most banks. The account itself is free to create. What you will need instead is an ID, a Social Security number or ITIN, and proof of your current address — a utility bill, lease, or recent bank statement works. Some banks ask for these documents in person; others let you upload them online.
The confusion comes from mixing up two different things: the cost to open the account, and the cost to use it. Opening is free. Using it may not be, depending on which bank you choose and how you use the account.
Key Takeaways
- Opening a bank account requires no money upfront at most institutions — you need ID and proof of address instead.
- Monthly maintenance fees range from zero to $15 depending on the bank and account type, and many banks waive them if you keep a minimum balance or set up direct deposit.
- Some banks charge fees for overdrafts, ATM use outside their network, or paper statements, so compare fee schedules before you choose.
- Online banks and credit unions typically charge lower or no monthly fees than traditional brick-and-mortar banks.
Monthly maintenance fees and how to avoid them
Once your account is open, some banks charge a monthly maintenance fee — usually $5 to $15 — just to keep the account active. This is not universal. Many banks charge nothing at all, and many others waive the fee if you meet one of these conditions: keeping a minimum balance (often $500 to $1,500), setting up direct deposit, or maintaining a certain number of debit card transactions per month.
The minimum balance requirement is the most common condition. If your balance drops below it, the fee kicks in. Direct deposit is often the easiest way to avoid the fee — if your paycheck or benefits deposit automatically, the fee disappears. Some banks also waive fees for customers under 25 or over 65, or for students with a valid school ID.
Online banks — institutions like Ally, Charles Schwab, and Discover — almost never charge monthly maintenance fees, period. Credit unions also tend to have lower or zero fees, though you have to be a member to open an account, which sometimes requires living or working in a specific area or joining an organization.
Other fees that add up after you open
Monthly maintenance is only one cost. Banks charge fees for specific actions: overdrafting your account (spending more than you have), using an ATM outside their network, requesting a paper statement instead of online, stopping a check, or closing an account within a certain window.
Overdraft fees are the most expensive. A single overdraft can cost $25 to $35, and if you overdraft multiple times in one day, you can be charged multiple times. Some banks charge a daily overdraft fee if your account stays negative. ATM fees from out-of-network machines typically run $2 to $3 per transaction, which adds up if you travel or live far from branches.
Before you open an account, look at the bank's fee schedule — usually available on their website under "Pricing" or "Fees" — and ask yourself which fees you are most likely to encounter. If you rarely use ATMs, ATM fees do not matter. If you overdraft frequently, a bank with no overdraft fees or overdraft protection (which links your checking to savings to prevent overdrafts) is worth choosing.
Minimum opening deposits at some banks
A small number of banks do require money upfront to open an account, though this is becoming less common. When they do, the minimum is usually $25 to $100 for a basic checking account. Premium accounts — those with higher interest rates or more features — may require $500 or more.
If a bank requires an opening deposit, that money goes into your account when ready. It counts toward any minimum balance requirement, so if the bank requires you to keep $500 in the account to avoid monthly fees, and you deposit $500 to open it, you have already met that requirement.
Most major banks (Chase, Bank of America, Wells Fargo, Citibank) do not require an opening deposit for standard checking or savings accounts. Credit unions and online banks almost never do. If you are shopping around and a bank asks for money upfront, it is usually a sign that other banks in your area offer better terms.
What happens if you cannot meet the minimum balance
If a bank requires a minimum balance and you cannot maintain it, you have options. The first is to choose a different bank — one with no minimum balance requirement or no monthly fee at all. Online banks are the easiest route here; most have no minimums and no fees.
The second option is to use a second account to park money. Some people open a savings account at the same bank and transfer money between checking and savings to keep the checking balance above the minimum. This works, but it requires discipline and attention.
The third option is to ask the bank about fee waivers. Many banks will waive the minimum balance requirement or the monthly fee if you call and ask, especially if you have been a customer for a while or if you set up direct deposit. It costs nothing to ask.
Comparing costs across account types
| Account Type | Typical Opening Deposit | Monthly Fee (if any) | Common Fee Waivers |
|---|---|---|---|
| Basic checking (traditional bank) | $0–$100 | $5–$12 | Direct deposit, minimum balance, age-based |
| Premium checking (traditional bank) | $500–$2,500 | $15–$25 | Minimum balance, account activity |
| Checking (online bank) | $0 | $0 | N/A — no fees |
| Savings (traditional bank) | $0–$25 | $0–$5 | Minimum balance, direct deposit |
| Savings (online bank) | $0 | $0 | N/A — no fees |
| Credit union checking | $0–$50 | $0–$5 | Membership status, account activity |
How to find the lowest-cost account for your situation
The cheapest account is not the same for everyone. If you receive direct deposit and keep a steady balance, a traditional bank with a $10 monthly fee that waives it for direct deposit costs you nothing. If you overdraft frequently or use out-of-network ATMs, an online bank with zero fees and no overdraft charges saves you hundreds per year.
Start by listing the things you actually do with your account: Do you get direct deposit? Do you overdraft? Do you use ATMs? How often? Then look at three to five banks' fee schedules and calculate what you would actually pay in a typical month. Many banks have fee calculators on their websites, or you can call and ask directly.
Do not choose based on the monthly fee alone. A bank with a $0 monthly fee but $35 overdraft charges is more expensive than a bank with a $10 monthly fee and no overdraft fees if you overdraft once a month. Read the full fee schedule, not just the headline.
Frequently Asked Questions
Do I need to deposit money on the day I open the account?
No. Most banks let you open an account with zero dollars. If the bank requires an opening deposit, it will tell you the amount before you complete the process. You can then decide whether to open there or choose a different bank.
What if I do not have a Social Security number?
You can use an ITIN (Individual Taxpayer Identification Number) instead. Some banks accept ITINs without question; others require you to ask or visit in person. Call ahead to confirm the bank accepts ITINs before you go in.
Can I open an account with just a driver's license?
A driver's license covers the ID requirement, but you still need proof of address — usually a utility bill, lease, or recent bank statement. Some banks accept a second form of ID instead of a separate address document. Ask what the bank accepts before you visit.
What is the cheapest way to open a bank account?
Online banks charge the lowest fees overall — most have zero monthly fees, zero opening deposits, and zero overdraft fees. Credit unions are the second-cheapest option if you are may be able to access to join one. Both are cheaper than traditional banks on average.
Do I have to keep money in the account after I open it?
Not unless the bank requires a minimum balance to avoid monthly fees. If there is no minimum balance requirement and no monthly fee, you can open the account and leave it empty. However, most banks close accounts that show no activity for six months to a year, so use it occasionally if you want to keep it open.