- The first step to opening a checking account is choosing one that's right for you.
- To open one, you'll need a government ID, Social Security number, and proof of address.
- You'll fill out an application, then make an opening deposit.
A checking account is a great tool for storing money you plan to spend soon, whether it's on rent, gifts, or a night out with friends.
Here's how to choose a checking account for your needs, and what's needed to fill out an application. You can also refer to our best checking accounts guide to find accounts with minimal bank fees.
Choosing the right checking account
First things first — figure out which checking account you want to open. Here are some tips for making your decision.
Decide which type of checking account you want
There are several types of checking accounts, and the right fit depends on what you want your checking account to do for you.
- Standard checking account: There aren't many bells and whistles. You just want a place to keep your spending money, and for anything fancier, you're more interested in a savings account or CD.
- High-yield checking: Unlike most checking accounts, high-interest checking accounts help you earn money on top of your money. You can find high-interest checking accounts at many types of institutions, but they're most commonly at credit unions.
- Cash-back checking: These accounts also help your money work for you. For example, the Discover® Cashback Debit Account pays 1% cash back on up to $3,000 of purchases each month (see website for details).
- Other types: Maybe you want to open a checking account for a college student or teen. Some banks also have checking accounts that waive fees for senior citizens.
Consider fees
You'll probably want a checking account that either doesn't charge monthly service fees or makes it easy to waive them. You should also consider overdraft fees, foreign transaction fees, and out-of-network ATM fees. For example, if you're worried about overdrawing, find a bank that doesn't charge overdraft fees or has free overdraft protection.
Read the bank's fee schedule, available on its website, to understand what is charged and when.
Comparing traditional banks, credit unions, and online banks
Brick-and-mortar banks are good if you want the option to walk into a branch and speak with a professional. But online banks tend to charge lower fees. Credit unions may be good for those looking for a personalized banking or loan experience.
If you want a high-interest or cash-back checking account, you'll have more options at the best online banks and credit unions.
It's important to find a bank that's accessible. If you like to bank from your phone, choose one with a strong mobile app. If you're using a brick-and-mortar bank, find one with a branch near your home.
Once you've made your choice, you can prepare to open your account, either at the bank or from your computer.
Insurance protection
Bank failures are a rare occurrence, but in the event one happens your money is safe if your bank is FDIC-insured or your credit union is NCUA-insured. Insurance limits are $250,000 per account holder, per account type, per institution. Coverage is automatic, so you don't have to sign up or opt in.
Required documentation
Bring the following documents to the bank or have them handy at your computer if you're opening an account online:
- Government-issued ID, such as a driver's license, passport, military ID, or state-issued ID (Some banks allow immigrants and non-US citizens to open an account with a Matricula Consular or foreign passport)
- Social Security number (SSN)
- Proof of address, such as a utility bill mailed to your home
You may need some additional things if you plan to open a bank account for a minor, or if you're opening a joint account.
The application process
When you fill out the application, you'll provide the aforementioned documents to a banker if you're applying in person or on a secure webpage if you're applying online. You will also be asked to provide your phone number and current address.
Once you've completed the brief application, the banker will let you know whether you've been approved. For an online bank, you'll wait for a confirmation email.
Understanding the account terms
Whether you apply online or in person, you will be supplied with documents outlining the account terms and conditions. Read this carefully to understand all of the fees associated with the account, plus minimum balance requirements and interest rates, if applicable.
Some accounts charge for mailing paper statements to your home, so decide whether you want to opt for paperless billing to waive the fee.
Make an initial deposit
Some checking accounts have a minimum opening deposit, maybe $25 or $50. You'll need to have this on hand to open the account.
If the checking account doesn't require a minimum deposit, you can deposit money at this time or wait until later.
Most checking accounts come with checks and a debit card, which will likely be mailed to you within a few days of the account opening.
Set up direct deposit
You may also want to set up a direct deposit for your paychecks.
You should receive a digital or paper form from your employer to set up direct deposit, where you will need to provide your bank account and routing numbers. These can be found online in your account dashboard or on a bank statement. Some banks may provide you with a pre-filled direct deposit form, so you only need to fill in your employer's information and submit it to them.
Applying for a checking account FAQs
What do you need to open a checking account?
To open a checking account, you'll need the following: a government-issued ID, Social Security number, and proof of address, such as a bill that has been mailed to your house. If you don't have all of these requirements, you can still use a foreign passport or Matricula Consular at some banks.
Can you open a checking account online?
Yes, you can open a checking account online with digital banks and credit unions. Big banks, like Bank of America and Chase, also let you open accounts online. It typically takes just a few minutes.
What should you look for in a checking account?
Evaluate the fees, balance requirements, and benefits of the account. Try to match the account to your financial habits. If, for example, you travel frequently, choose a bank with a large ATM network and no foreign transaction fees so that you don't rack up charges.
Are there checking accounts with no fees?
Plenty of banks offer no-fee checking accounts, particularly online-only banks that have lower overhead costs. Many also offer higher interest rates on checking balances than traditional banks.
How soon can you use a checking account after opening it?
You can typically begin using your account instantly, or as soon as your initial deposit clears if you were required to make one. Your debit card and checks may take several days to arrive in the mail.
Editorial Note: Any opinions, analyses, reviews, or recommendations expressed in this article are the author’s alone, and have not been reviewed, approved, or otherwise endorsed by any card issuer. Read our editorial standards.
Please note: While the offers mentioned above are accurate at the time of publication, they're subject to change at any time and may have changed, or may no longer be available.
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