Bank of America charges monthly fees on most checking accounts, but you can waive them
Bank of America's standard checking account, called Checking, costs $12 per month. However, you can avoid this fee by meeting one of three conditions: keep a minimum daily balance of $1,500, set up direct deposit of any amount, or maintain an average daily balance of $1,500 across the month. If you do not meet any of these, the $12 monthly maintenance fee will post to your account.
Bank of America also offers Advantage Banking, which costs $10 per month and waives the fee if you keep $500 in minimum daily balance, set up direct deposit, or maintain a $500 average daily balance. This account is marketed toward customers who want lower thresholds, though the monthly fee is still present if you do not meet the waiver conditions.
The third option is Premium Checking, which costs $20 per month and is designed for customers who want higher account limits and additional perks. This fee also waives with a $10,000 minimum daily balance or direct deposit.
Key Takeaways
- Bank of America's standard Checking account has a $12 monthly fee that waives if you keep $1,500 in daily balance, set up direct deposit, or maintain a $1,500 average daily balance.
- Advantage Banking costs $10 per month and waives with a $500 minimum daily balance, direct deposit, or $500 average daily balance.
- Premium Checking costs $20 per month and waives with a $10,000 minimum daily balance or direct deposit of any amount.
- Direct deposit is the easiest waiver method because it requires no minimum balance and works on any account tier.
- Bank of America does not charge per-transaction fees for standard debit card use, checks, or transfers on any of these accounts.
What direct deposit means and why it waives the fee
Direct deposit is an automatic transfer of money from your employer or a government agency into your Bank of America account. It does not have to be your paycheck—Social Security, pension payments, tax refunds, and unemployment benefits all count. The amount does not matter either; even a single dollar of direct deposit per month will waive the monthly fee on any account tier.
This is the most reliable waiver method because it requires no ongoing balance maintenance. If you have direct deposit set up and your employer stops sending it, you will lose the waiver and the fee will resume the following month. You can check whether direct deposit is active by logging into your Bank of America account online or calling customer service at 1-800-432-1000.
How minimum daily balance and average daily balance work
A minimum daily balance means the lowest amount your account holds on any single day during the month. If you need $1,500 to waive the fee and your balance drops to $1,499 on even one day, you do not meet the requirement and the fee posts. This method is strict because it leaves no room for timing mismatches between deposits and withdrawals.
Average daily balance is calculated differently: Bank of America adds up your balance at the end of each day for the entire month, then divides by the number of days. If the result is $1,500 or higher, the fee waives. This method is more forgiving because a single low-balance day does not disqualify you—you can dip below the threshold as long as other days bring the average back up.
For example, if your balance is $2,000 for 20 days and $500 for 10 days, your average is $1,500 exactly, and the fee waives. With the minimum daily balance method, that same pattern would trigger the fee because of the 10 days at $500.
Other fees Bank of America charges on checking accounts
Bank of America does not charge per-transaction fees for debit card purchases, ATM withdrawals at Bank of America machines, check writing, or online transfers. However, the bank does charge fees for specific situations: overdraft fees ($35 per transaction if you spend more than your balance), out-of-network ATM fees ($2.50 per withdrawal at non-Bank of America ATMs), and wire transfer fees ($15 for domestic wires, $45 for international wires).
If you overdraft your account, Bank of America allows up to four overdraft fees per day, meaning you could face $140 in overdraft charges in a single day if multiple transactions post. The bank also charges a fee if you request a stop payment on a check ($30) or if you close your account within 90 days of opening it ($25).
Returned deposit fees (when a check or ACH transfer bounces) cost $25, and if you request a replacement debit card, there is no fee for standard delivery but expedited delivery costs $15. These fees are separate from the monthly maintenance fee and apply regardless of which checking account you hold.
How to set up direct deposit to waive your monthly fee
To set up direct deposit, you need your Bank of America account number and routing number, which you can find at the bottom of a check or in your online account settings. Give this information to your employer's payroll department or to the government agency sending your payment (Social Security, unemployment, etc.). They will process the setup, which usually takes one to two pay periods to activate.
Once direct deposit is active, you can confirm it in your Bank of America account by looking for a deposit labeled with your employer's name or the agency name. The fee waiver takes effect the month after direct deposit first posts. If you are between jobs or do not receive regular deposits, you can use the minimum or average daily balance method instead, but direct deposit is the only option that requires zero balance maintenance.
Comparing Bank of America checking to other banks
Many online banks and credit unions offer checking accounts with no monthly fee and no minimum balance requirement. However, these accounts often come with trade-offs: fewer physical branches, limited ATM networks, or fewer features. Bank of America has over 4,000 branches and 16,000 ATMs nationwide, which is valuable if you deposit cash frequently or need in-person service.
If you already have direct deposit or can maintain the required balance, Bank of America's monthly fee is waived and the account costs nothing. If you cannot meet any waiver condition, the $12 monthly fee on standard Checking adds up to $144 per year, which makes switching to a no-fee bank worth considering. The choice depends on whether the branch and ATM access is worth the cost to you.
What happens if you do not pay the monthly fee
Bank of America automatically deducts the monthly fee from your account balance on the same day each month. If your account does not have enough money to cover the fee, the bank will charge an overdraft fee ($35) on top of the monthly maintenance fee. This can create a cycle where insufficient funds trigger both fees, costing you $47 in a single month.
If you notice the fee posted in error—for example, you believe you met a waiver condition—you can contact Bank of America customer service to request a refund. The bank may reverse one or two months of fees if you can show you met the requirements. However, this is not may provide, and the bank is not required to refund fees that posted correctly according to your account terms.
Frequently Asked Questions
Can I switch to a different Bank of America checking account to avoid fees?
Yes. If you cannot meet the $1,500 balance requirement for standard Checking, you can switch to Advantage Banking, which waives the $10 fee with a $500 balance or direct deposit. You can change account types online or by visiting a branch at no cost. However, if you cannot meet any waiver condition on any account, you will still pay a monthly fee.
Does a savings account balance count toward the checking account fee waiver?
No. Bank of America calculates the minimum or average daily balance using only your checking account balance. Money in a savings account, money market account, or other products does not count toward the checking account waiver threshold, even if the accounts are linked.
What if I set up direct deposit but it stops coming?
The fee waiver ends the month after direct deposit stops posting. If your employer changes payroll providers or you lose your job, you will need to meet one of the other waiver conditions (minimum balance or average daily balance) to avoid the monthly fee. Contact your employer or the agency sending the payment to restart direct deposit if it was interrupted by mistake.
Does Bank of America charge fees on joint checking accounts?
No. A joint checking account has one monthly fee, not one per person. Both account holders can use the account, and the fee waives if either person meets a waiver condition—for example, if one person has direct deposit, the fee waives for both.
Can I get the monthly fee refunded if I close my account?
Bank of America does not refund monthly maintenance fees when you close an account. However, if you close within 90 days of opening, you will be charged a $25 early closure fee in addition to any monthly fees that posted. Plan your account closure timing to avoid this fee if possible.