Best Free Checking Accounts

Final Verdict

SoFi t's checking account is worth looking into because of its customer-friendly features, lack of fees, and competitive APY. But there are a lot of strong options on this list depending on the attributes that are important to you.

For example, the best APY opportunity is an impressive 3.0% from Lake Michigan Credit Union, while Axos Bank offers unlimited reimbursement for ATM fees. If you want to go with a more well-known banking brand, you can’t go wrong with Ally or Capital One 360.

Whether you prefer online banking, walking into a physical branch, or having the choice to do either, you’ll find free checking account options on the list to match your preference.

Compare the Best Free Checking Accounts

Guide to Choosing a Free Checking Account

Factors to Consider When Opening a Free Checking Account

• FDIC insured: This means up to $250,000 in your checking account is federally protected. Credit unions offer similar insurance coverage through the National Credit Union Administration.
• Minimum deposit requirements: Many checking accounts require a certain amount to open an account, so that’s something to ask about in case you have limited funds available.
• Fees: While free checking means no monthly maintenance fees, you should see if there are other charges that you might have to pay, like overdraft fees, ATM fees, paper statement fees, and others.
• ATM network: If you make withdrawals often, the number of fee-free ATMs in your area will be an important consideration because those out-of-network fees can add up.
• APY: While checking accounts aren’t traditionally big interest earners, some free checking accounts offer the opportunity to earn a bit.
• Promotions, rewards, or cash back: Some free checking accounts give you the chance to earn extra cash, whether it’s as a bonus for account opening or for using your debit card for transactions.
• Mobile app functionality: Look into how a bank’s app is rated and to see what features it has, like the ability to make mobile deposits, transfers, and bill pay, as well as tools to track your spending and set goals.
• Online or brick-and-mortar availability: Depending on your comfort level with online-only banks, you may or may not wish to have the option to walk into a physical branch.

How to Open a Free Checking Account

Opening a free checking account should be a fairly simple process whether you’re doing it online, in person, or by phone. There will be basic requirements to meet such as being 18 years of age or older, having proper identification, and sometimes a funding source or minimum deposit. Some online checking accounts can be opened in just a few minutes.

If you’re opening an account with a credit union, you may also have to become a member, which sometimes can mean proving a certain affiliation or making a small donation to an outside organization.

Common Checking Account Fees

• Monthly maintenance fee: Free checking accounts will not have this recurring fee, which basically charges you each month to keep the account open. Some accounts with these fees offer ways to have them waived (i.e. setting up direct deposit).
• Overdraft fee: If you do not have or do not opt into overdraft protection and you overdraw your account, you could be hit with a fee, sometimes multiple times per day. Not all free checking accounts charge overdraft fees, but the ones that do can be as high as $30.
• Non-sufficient funds (NSF) fee: If you try writing a check and do not have the funds available when it is cashed, you can be charged this fee.
• ATM fee: Most free checking accounts have a fee-free ATM network. But if you go to an ATM that is not supported, you can pay a fee to that third party and sometimes an additional fee from your bank. Some banks reimburse you up to a certain amount for external ATM use.
• Paper statement fee: Many banks charge a small fee if you prefer to receive paper statements in the mail. Opting into paperless statements will save you this fee.
• Foreign transaction fee: Using your checking account debit card abroad will typically incur a fee, although there are some banks that do not charge.
• Account closure fee: There is sometimes a charge for closing your account, most commonly if it’s within a short time frame after account opening.

Methodology

Investopedia is dedicated to providing consumers with unbiased, comprehensive reviews. To rate free checking accounts, we collected hundreds of data points, including, APYs, fees, and account requirements from a dozen popular banks to ensure that our review helps readers make informed decisions about their banking needs.