Most banks charge nothing to open a savings account

Opening a savings account is free at the vast majority of banks and credit unions in the United States. You will not pay a fee to create the account, and you will not pay a fee just for having it open.

What you might pay for instead is what happens after you open it — monthly maintenance fees, fees for falling below a minimum balance, or fees for certain transactions. These vary widely by bank and by account type, so the real cost depends on which bank you choose and how you use the account.

Key Takeaways

  • Opening a savings account itself costs nothing at most banks and credit unions.
  • Monthly maintenance fees (usually $5 to $15) are charged by some banks if your balance drops below a set amount, typically $500 to $2,500.
  • Online banks and credit unions are more likely to have no monthly fees than traditional brick-and-mortar banks.
  • You can avoid most fees by keeping a minimum balance or by choosing a bank that does not charge them.
  • Some banks waive monthly fees if you set up direct deposit or keep a linked checking account open.

Monthly maintenance fees and minimum balance requirements

The most common ongoing cost is a monthly maintenance fee, which some banks charge just for keeping the account open. These fees typically range from $5 to $15 per month, though some banks charge more. Not all banks charge them — many have eliminated monthly fees entirely to attract customers.

Banks that do charge a monthly fee often waive it if you meet certain conditions. The most common condition is keeping a minimum balance — a set amount of money that must stay in the account at all times. Minimum balances vary widely: some banks set them at $500, others at $1,000, $2,500, or higher. If your balance drops below the minimum even for one day, the fee may be charged that month.

Other ways banks waive monthly fees include setting up direct deposit (having your paycheck automatically transferred into the account), keeping a linked checking account open at the same bank, or maintaining a certain number of transactions per month. Read the account terms carefully to see which waivers explore.

Where you are more likely to find no-fee accounts

Online banks — banks that operate only through websites and apps, with no physical branches — almost never charge monthly maintenance fees. Because they have lower overhead costs than traditional banks with buildings and staff, they can offer accounts for free. Examples include Ally Bank, Marcus by Goldman Sachs, and Discover Bank, though there are many others.

Credit unions are also more likely to have no monthly fees than traditional banks. Credit unions are member-owned financial institutions, and they often prioritize keeping costs low for their members. You must be a member to open an account, but membership is usually free or very low-cost and is often based on where you live or work.

Traditional banks with physical branches do charge monthly fees more often than online banks or credit unions, but many have introduced no-fee options to compete. It is worth asking your bank directly or checking their website before assuming you will be charged.

Other costs you might encounter

Overdraft fees occur when you try to withdraw more money than you have in the account. A typical overdraft fee is $25 to $35 per transaction. Some banks charge multiple overdraft fees in a single day if you make several transactions that overdraw the account. Many banks now offer overdraft protection, which links your savings account to a checking account and automatically transfers money to cover the shortfall — this may have a small fee (usually $1 to $3) or no fee at all.

ATM fees are charged by some banks when you use an ATM that does not belong to their network. These are typically $2 to $3 per withdrawal. Banks that are part of a large ATM network (or that are online-only and reimburse ATM fees) do not charge these. Credit unions often participate in shared branching networks, which means you can use ATMs at other credit unions for free.

Inactivity fees are rare but do exist at some banks. These are charged if you do not make any deposits or withdrawals for a long period — usually six months to a year. If you are opening a savings account and plan to use it regularly, this is unlikely to affect you.

How to compare costs across banks

When you are deciding between banks, look at the account terms document, which is usually available on the bank's website or in the branch. This document lists all fees, all minimum balance requirements, and all ways to waive fees. Compare the same account type across at least two or three banks before deciding.

Pay attention to the conditions that matter to you. If you know you will not be able to keep a $2,500 minimum balance, do not choose a bank that requires it just because the monthly fee is slightly lower. If you do not have a job yet and cannot set up direct deposit, choose a bank that waives fees without requiring it.

Many banks offer a trial period or a new-customer promotion with no fees for the first few months. This can be a good way to test whether the account works for you before committing long-term.

What to bring when you open an account

You will not be charged for opening the account, but you will need to provide information and documents. Bring a government-issued photo ID (a driver's license, passport, or state ID card) and proof of your address (a recent utility bill, lease, or bank statement with your name and address on it). Some banks also ask for a Social Security number or tax ID number.

If you are opening an account in person at a branch, the process usually takes 15 to 30 minutes. If you are opening online, it typically takes 10 to 15 minutes. You will choose how much money to deposit to start the account — many banks have no minimum opening deposit, though some ask for $25 or $100.

Frequently Asked Questions

Do I have to keep money in the account to avoid fees?

Only if your bank charges a monthly maintenance fee and requires a minimum balance to waive it. Many banks have no monthly fee at all, so you can keep any amount — even $1 — without being charged. Check your bank's specific terms to know what applies to your account.

What happens if I cannot keep the minimum balance?

You will be charged the monthly maintenance fee. If this happens repeatedly, consider switching to a bank with no minimum balance requirement or no monthly fee. The fee is usually small ($5 to $15), but it adds up over time if you cannot meet the requirement consistently.

Can I avoid all fees?

Yes. Many banks offer accounts with no monthly maintenance fees, no minimum balance, and no overdraft fees (if you opt out of overdraft protection). Online banks and credit unions are good places to start looking. Read the account terms to confirm which fees explore before opening.

Is there a fee to close a savings account?

Most banks do not charge a fee to close an account. However, some banks require you to maintain a minimum balance for a certain period before closing, or they may charge a fee if you close the account within a few months of opening it. Check the terms before opening to see if this applies.