Most savings accounts have no fee to open, but some charge monthly maintenance fees

You do not pay to open a savings account at most banks. The bank does not charge you an upfront cost, and you do not need to bring a minimum amount of money on day one — though some banks do require you to deposit something before the account becomes active.

Where fees come in is the monthly maintenance charge. Some banks charge $5 to $15 per month just to keep the account open, while others charge nothing at all. A few banks waive the monthly fee if you keep a certain balance in the account — often $500 to $2,500 — or if you set up direct deposit from your paycheck.

The fee structure varies widely between banks, so it is worth asking before you open an account. A bank employee or the bank's website will tell you the exact monthly cost, any balance requirements that waive it, and whether there are other fees you should know about.

Key Takeaways

  • Opening a savings account itself costs nothing at most banks, and you can start with any amount of money.
  • Monthly maintenance fees range from zero to around $15 per month, depending on the bank you choose.
  • Many banks waive the monthly fee if you keep a minimum balance or set up direct deposit from your employer.
  • Asking about fees before you open an account takes five minutes and can save you money over time.

When banks charge monthly maintenance fees

A monthly maintenance fee is a charge the bank takes from your account each month, usually between $5 and $15. Not all banks charge this — many community banks and online banks have zero monthly fees — but larger national banks often do.

The bank uses this fee to cover the cost of maintaining your account. Whether that cost is actually $15 per month is a separate question, but that is what they charge. If you have $100 in the account and the bank charges a $10 monthly fee, your balance drops to $90 after one month (before any interest you earn).

Some banks charge the fee on a specific day each month — often the first or the last day. Others charge it whenever your balance falls below a certain amount. Read the account agreement or ask the bank directly so you know when to expect it.

How to avoid monthly fees

The easiest way to avoid a monthly fee is to choose a bank that does not charge one. Many online banks and credit unions offer savings accounts with no monthly maintenance fee, no minimum balance requirement, and no strings attached. If you are new to banking, this is often the simplest path.

If you prefer a bank that does charge a fee, you can usually waive it by meeting one of these conditions: keeping a minimum balance in the account (often $500 to $2,500), setting up direct deposit from your paycheck, or maintaining a certain number of transactions per month. Some banks waive the fee if you also have a checking account with them.

Ask the bank which waivers are available before you open the account. A bank representative can walk you through the options and help you pick the one that fits your situation.

Other fees beyond the monthly charge

Monthly maintenance is not the only fee a savings account can have. Banks may also charge for overdrafts (spending more than you have), wire transfers, closing the account early, or requesting a paper statement instead of viewing it online.

These fees are less common with savings accounts than with checking accounts, but they do exist. When you are comparing banks, ask about the full fee schedule, not just the monthly charge. Many banks publish this information on their website under "Fees and Charges" or "Schedule of Fees."

The good news is that if you use the account as intended — depositing money and letting it sit — you will likely only encounter the monthly maintenance fee, if any. You will not trigger overdraft fees because you are not spending from the account, and you will not need wire transfers or early closures.

Comparing banks to find the lowest cost

When you are deciding between banks, write down the monthly fee for each one and any conditions that waive it. Then ask yourself: do I have $1,000 to keep in the account, or would that be hard? Will I get direct deposit from my job? If the answer is no to both, a bank with no monthly fee is the better choice.

You can also compare the interest rate the bank pays on savings. A bank with a $10 monthly fee but a higher interest rate might cost you less over time than a bank with no fee but almost no interest. This matters more if you plan to keep a large balance in the account for a long time.

Most banks let you open an account online in 10 to 15 minutes. You can research several banks, compare their fees and interest rates, and open an account with the one that makes the most sense for you — all without leaving home.

What happens if you cannot avoid the fee

If you open an account at a bank that charges a monthly fee and you cannot meet the waiver conditions, the fee will come out of your balance each month. Over a year, a $10 monthly fee costs $120. Over five years, it costs $600.

If this is a problem, you have options. You can close the account and move to a bank with no monthly fee — most banks make this straightforward, and you can transfer your money online. You can also ask the bank to waive the fee temporarily if you are facing hardship, though they are not required to say yes.

The best time to avoid this situation is before you open the account. Spend a few minutes comparing banks and choosing one that does not charge a fee you cannot waive. It is one of the easiest ways to keep more of your money.

Frequently Asked Questions

Do I have to pay to open a savings account?

No. Banks do not charge an upfront fee to open a savings account. You may need to deposit some money to set up the account, but that money is yours — it is not a fee. The bank keeps the account open for free once it is active.

Can a bank charge me a fee if I have no money in the account?

Yes, some banks will charge a monthly maintenance fee even if your balance is zero or negative. If the fee brings your balance below zero, you may then owe an overdraft fee as well. This is why it is important to know the fee structure before you open an account.

What is the difference between a monthly fee and interest?

Interest is money the bank pays you for keeping your money there — it adds to your balance. A monthly fee is money you pay the bank — it subtracts from your balance. One grows your money, the other shrinks it.

If I move my money to a different bank, do I have to close my old account?

You do not have to, but most people do. Keeping an old account open costs nothing if there is no monthly fee, but it can be confusing to track multiple accounts. If the old account has a monthly fee and you are not using it, closing it saves you money.

Can I negotiate the monthly fee with my bank?

You can ask, but banks rarely negotiate fees. What they will do is explain which waivers are available — keeping a minimum balance, setting up direct deposit, or linking a checking account. If none of those work for you, switching to a different bank is usually faster than trying to negotiate.