The minimum deposit to open a savings account
Most banks and credit unions let you open a savings account with as little as $0 to $25. Some require $100 or $500. The amount varies by institution — a large national bank may have different rules than a local credit union, and online banks often have lower minimums than branches you can walk into.
The key is that the minimum to open an account is separate from the minimum to keep it open without fees. You might open with $50 but need to maintain $500 to avoid a monthly maintenance charge. Before you open, ask the bank or credit union directly what both numbers are for the specific account you want.
If you have very little money right now, look for accounts with no minimum balance requirement at all. These exist — credit unions especially often offer them — and they let you start saving without worrying about falling below a threshold.
Key Takeaways
- Opening minimums range from $0 to $500 depending on the bank, but many institutions let you start with $25 or less.
- The amount needed to avoid monthly fees is usually higher than the opening minimum and is the number that matters for your ongoing account.
- Online banks and credit unions tend to have lower minimums and fewer balance requirements than large national banks.
- Some accounts charge you a fee every month if your balance drops below a certain level, so confirm that number before you open.
- If you cannot meet a minimum balance right now, accounts with no balance requirement exist and are worth seeking out.
The difference between opening minimum and maintenance minimum
When a bank says "open with $25," that is the one-time deposit you make on the day you create the account. Once the account exists, that money can sit there or you can add more — the opening minimum is done.
The maintenance minimum is what you need to keep in the account at all times to avoid a monthly fee. If your maintenance minimum is $500 and your balance drops to $400, you will typically be charged $5 to $15 that month. This fee comes out of your account, making your balance even lower.
Some accounts have no maintenance minimum at all. Others waive the fee if you set up direct deposit — meaning your paycheck goes straight into the account — or if you make a certain number of transactions per month. Read the account agreement or ask a banker to explain the fee structure before you commit.
What happens if your balance falls below the minimum
If you have a maintenance minimum and your balance drops below it, the bank charges you a monthly fee. This is not a one-time penalty — the fee repeats every month you stay below the minimum. Over time, these fees can eat away at the money you are trying to save.
Some banks will also close your account if your balance stays too low for too long, usually after several months of fees. When an account closes, any remaining balance is sent to you, but the account history ends and you lose the account.
The best protection is to choose an account with no maintenance minimum if you are starting out with little money. As your savings grow, you can move to an account that offers better interest rates — accounts with higher minimums often pay more interest on your balance.
How much you should aim to keep in savings
The minimum to avoid fees is not the same as the amount you should actually save. Financial advisors often suggest keeping three to six months of living expenses in a savings account for emergencies — but that is a long-term goal, not a starting point.
If you are new to saving, start with whatever amount feels manageable: $10, $50, $100 per month. The habit of saving matters more than the size of the deposit. Once you have built up a small cushion — even $500 — you have something to fall back on if an unexpected expense comes up.
Your savings account should be separate from the checking account you use for daily spending. This separation makes it less tempting to dip into savings for non-emergencies, and it helps you see your savings grow as a distinct pile of money.
Comparing account types and their minimums
Different kinds of financial institutions have different rules. A traditional bank — one with physical branches — often requires $100 to $500 to open and maintain an account. An online bank — one with no branches, only a website and phone support — typically has lower minimums, sometimes $0, because they have fewer costs to cover.
A credit union is a member-owned financial institution, usually smaller and more local than a bank. Credit unions often have the lowest minimums and the fewest fees, but you have to be a member to open an account. Membership usually requires living or working in a certain area, belonging to a certain employer, or being related to a current member.
If you are choosing between institutions, compare three things: the opening minimum, the maintenance minimum, and the monthly fee if you fall below it. A bank with a $100 opening minimum but no maintenance minimum might be better than one with a $25 opening minimum but a $10 monthly fee if you drop below $500.
How to find accounts with low or no minimums
Start by checking credit unions in your area. Search online for "credit unions near me" or visit CO-OP.org or Alliant.org to find branches and ATMs you can use. Many credit unions have no opening minimum and no maintenance minimum.
Online banks almost always have lower minimums than branch banks. Search for "online savings account no minimum" to see current options. Read the account details carefully — some online banks advertise low minimums but charge fees for other things, like transfers or customer service calls.
If you already have a checking account at a bank, ask that bank about their savings account minimums. You might get a discount or waived fees because you are already a customer. Some banks also waive minimums for students, seniors, or people under 25.
What to ask before you open an account
Before you hand over any money, ask the bank or credit union these specific questions: What is the opening minimum? What is the maintenance minimum? What is the monthly fee if I fall below it? Can the fee be waived if I set up direct deposit? Can I avoid the fee by making a certain number of transactions?
Also ask about the interest rate — this is the percentage the bank pays you on the money you keep in the account. Rates vary widely, and a higher rate means your savings grow faster. Online banks usually pay higher interest than branch banks, so it is worth comparing.
Get the answers in writing if possible — either a printed account agreement or an email confirmation. This protects you if the bank later claims you agreed to something you did not.
Frequently Asked Questions
Can I open a savings account with $0?
Yes, some banks and credit unions allow you to open with no initial deposit. However, you will still need to fund the account eventually — you cannot keep a $0 balance forever. Check with your specific institution about whether they require you to deposit money within a certain timeframe after opening.
What if I cannot meet the maintenance minimum right now?
Choose an account with no maintenance minimum requirement. Credit unions and online banks are your best options. As your savings grow, you can switch to an account that pays higher interest once you can meet the minimum.
Do I get charged a fee every month if I am below the minimum?
Yes, typically. If your account has a maintenance minimum and your balance drops below it, you will be charged a monthly fee — usually $5 to $15 — until your balance rises above the minimum again. Some accounts waive this fee if you set up direct deposit or make regular transactions.
Is a higher interest rate worth switching banks?
It depends on how much money you have saved. If you have $1,000 and one bank pays 0.01% interest while another pays 4.5%, the difference is real money — roughly $45 per year versus $0.10. Once your savings reach several thousand dollars, a higher interest rate becomes worth the effort to switch.
Can a bank close my account if my balance is too low?
Yes. If your balance stays below the maintenance minimum for several months and you keep getting charged fees, the bank may close the account. When this happens, any remaining money is sent to you, but you lose the account and its history. Choosing an account with no minimum prevents this entirely.