Chase savings accounts have no monthly fee, but you need a minimum opening deposit

Chase does not charge a monthly maintenance fee on any of its savings accounts. You will not pay to keep the account open or to make deposits. However, you do need money to start: Chase requires a minimum opening deposit of $25 for most savings accounts, though some branches or promotions may waive this. Once the account is open, there is no minimum balance requirement to avoid fees — you can let the balance drop to zero without penalty.

The real cost of a Chase savings account is the interest rate you earn, which is low compared to online banks. Chase savings accounts currently earn between 0.01% and 0.04% annual percentage yield (APY), depending on the account type and your balance. Online banks often pay 4% to 5% APY on the same money. If you keep $10,000 in a Chase savings account earning 0.01% APY, you earn about $1 per year; the same $10,000 at an online bank earning 4.5% APY earns $450 per year. The difference compounds over time.

Key Takeaways

  • Chase savings accounts charge no monthly fee and require only a $25 minimum deposit to open.
  • Interest rates on Chase savings accounts are 0.01% to 0.04% APY, which is significantly lower than rates offered by online banks.
  • You pay for convenience and branch access by accepting lower interest earnings on your savings.
  • Overdraft fees and ATM fees apply to linked checking accounts, not the savings account itself, but they affect your total banking cost.

Which Chase savings account you choose affects your interest rate

Chase offers three main savings products: Chase Savings, Chase Premier Savings, and Chase Sapphire Preferred Savings. Chase Savings is the basic option and earns the lowest rate, typically 0.01% APY. Chase Premier Savings requires a higher opening deposit (usually $25,000) and earns a slightly higher rate, around 0.04% APY. Chase Sapphire Preferred Savings is linked to the Sapphire Preferred credit card and also earns around 0.04% APY, but you must be a credit card holder to open it.

The difference between 0.01% and 0.04% is small in dollar terms on most balances, but it matters if you are saving a large sum. On $100,000, the difference between 0.01% and 0.04% is $30 per year. The main reason to choose one over another is whether you already have a Chase checking account (which makes opening savings easier) or whether you want to consolidate your banking in one place for convenience.

Fees that can add up if you link a checking account

The savings account itself has no fees, but if you open a Chase checking account alongside it, you may face overdraft fees. Chase charges $35 per overdraft transaction if you spend more than your balance. You can opt out of overdraft protection, which means transactions will be declined rather than charged a fee. Some customers link their savings account to their checking account for overdraft protection, which transfers money automatically — Chase does not charge for this transfer itself, but it only works if your savings account has the money available.

ATM fees also apply if you use an out-of-network ATM. Chase does not charge you to withdraw from your own Chase ATM, but other banks' ATMs may charge $2 to $3 per withdrawal, and Chase will not refund those fees. If you frequently need cash and do not live near a Chase branch, this can add $20 to $50 per month to your cost of banking.

How interest rates change and what that means for your savings

Chase adjusts its savings rates based on the Federal Reserve's interest rate decisions. When the Fed raises rates, banks eventually raise savings rates — but the increase is usually smaller than the Fed's increase, and it takes weeks or months to happen. When the Fed cuts rates, banks cut savings rates quickly. This means your earnings will fluctuate, and you have no control over the rate you receive.

If you are saving for a specific goal and want a may provide rate, a Chase Certificate of Deposit (CD) locks in a rate for a set term — typically 3 months to 5 years. CD rates are higher than savings rates (currently around 4% to 5% depending on the term), but you cannot withdraw the money early without paying a penalty. A savings account gives you flexibility; a CD gives you a better rate if you can commit to leaving the money untouched.

Comparing Chase to online banks and credit unions

The main trade-off with Chase is convenience versus earnings. You can walk into a branch, talk to a person, and deposit cash or checks without a fee. Online banks like Marcus, Ally, or American Express have no branches but pay 4% to 5% APY on savings. Credit unions often pay rates between Chase and online banks (around 0.5% to 2% APY) and may have lower fees overall.

If you keep less than $5,000 in savings, the difference in interest earnings is small enough that convenience may be worth it. If you keep $10,000 or more and do not need branch access, an online bank or credit union will earn you significantly more. Some people use both: a Chase savings account for emergency cash they might need to withdraw quickly, and an online savings account for longer-term savings where the higher rate matters.

How to open a Chase savings account and what to bring

You can open a Chase savings account online, by phone, or in person at a branch. Online is fastest — you will need a valid government ID, your Social Security number, and a way to fund the account (a debit card or bank account number). The account opens within minutes, and you can start using it the same day. In-person or phone applications take longer and may require additional verification.

If you already have a Chase checking account, opening a savings account takes about five minutes online. If you are new to Chase, the process is slightly longer because the bank verifies your identity. You will need to fund the account with at least $25 to complete the opening. After that, you can deposit money by transfer, direct deposit, mobile check deposit, or in-branch cash deposit.

Frequently Asked Questions

Can I have multiple Chase savings accounts?

Yes. Chase allows you to open more than one savings account under the same Social Security number. Some people use separate accounts to organize savings by goal — one for emergencies, one for a vacation, one for a down payment. Each account earns interest independently, but they all count toward the Federal Deposit Insurance Corporation (FDIC) insurance limit of $250,000 per account type per bank.

What happens if my balance drops below $25?

Nothing. There is no minimum balance requirement after the account is open. You can let the balance fall to $0 without fees or penalties. However, you will not earn interest on money you do not have, and if you try to withdraw more than your balance, you will overdraft your account if overdraft protection is enabled.

Does Chase charge for transfers between my savings and checking accounts?

No. Transfers between your own Chase accounts are free and usually instant. You can move money from savings to checking or vice versa as many times as you want without fees. The Federal Reserve used to limit these transfers to six per month, but that rule was suspended in 2020.

Will I earn interest on money I deposit today?

Interest accrues daily on your balance, but it is credited monthly. If you deposit $1,000 today, it starts earning interest immediately at the current APY, and the interest is added to your account at the end of the month. The amount of interest is small (less than $1 per month on $1,000 at 0.01% APY), but it compounds over time.

What if I want a higher interest rate?

You can move your money to an online bank, a credit union, or a Chase CD. Online banks currently pay 4% to 5% APY on savings accounts with no fees and no minimum balance. Chase CDs pay around 4% to 5% depending on the term, but you cannot withdraw early without a penalty. Compare rates at Bankrate or DepositAccounts to see current offers.