Most checking accounts have no minimum balance requirement at all
Many banks and credit unions now offer checking accounts with zero minimum balance. You can open an account, deposit $1, and keep it there indefinitely without penalty. However, some banks still impose minimums, and the amount varies widely—from $25 to $2,500 depending on the institution and account type.
The minimum balance requirement is separate from overdraft fees or monthly maintenance fees. A bank might charge you $12 per month for account maintenance even if you have $500 in the account, or it might waive that fee if you maintain a $1,500 balance. Understanding which applies to your specific account matters, because the two work differently.
The account type you choose determines whether a minimum exists. A basic checking account often has no minimum. A premium or rewards checking account frequently does. A student or senior checking account typically does not. Before you open an account, the bank's website or a teller can tell you the exact requirement for that specific product.
Key Takeaways
- Many banks offer checking accounts with no minimum balance, but some require $25 to $2,500 depending on the account type and institution.
- A minimum balance requirement is different from a monthly maintenance fee—you might have one, both, or neither.
- If your balance drops below the minimum, the bank typically charges a fee rather than closing the account immediately.
- Online banks and credit unions are more likely to have no minimum than traditional brick-and-mortar banks.
- You can ask a bank to waive the minimum requirement if you set up direct deposit or maintain a linked savings account.
What happens when your balance falls below the minimum
If your account has a $500 minimum and your balance drops to $450, the bank does not close your account or freeze it. Instead, you are charged a fee—usually $10 to $25—at the end of the statement period. That fee is separate from any overdraft charges if you spend money you do not have.
Some banks charge the fee only once per month, even if you stay below the minimum all month. Others charge it every day the balance is low. A few banks waive the fee the first time it happens, then charge it on repeat violations. Read your account agreement or call the bank to know which rule applies to your account.
The fee stacks on top of other charges. If you overdraft and incur a $35 overdraft fee, and you also fall below the minimum balance and incur a $15 minimum balance fee, you pay both. This is why people with tight budgets often choose accounts with no minimum at all.
How to find out your account's specific minimum
Log into your online banking portal and look for the account details or account summary section. Most banks display the minimum balance requirement there. If you cannot find it, call the customer service number on the back of your debit card or visit a branch in person.
When you call or visit, ask three things: the minimum balance requirement for your account type, what fee you pay if you fall below it, and whether the bank will waive the requirement if you set up direct deposit or link a savings account. Many banks will remove the minimum if you meet one of these conditions.
If you are opening a new account, the bank's website lists the minimum for each product. Compare accounts side by side before you choose. A bank's basic checking might have no minimum, while its rewards checking requires $1,000.
Banks and credit unions with no minimum balance
Online banks almost universally have no minimum balance requirement. Institutions like Ally, Charles Schwab, and Discover have checking accounts with zero minimum. They can afford to do this because they have no physical branches and lower overhead costs.
Many credit unions also have no minimum. If you are a member of a credit union, ask whether your checking account has a minimum. If it does, ask whether they offer a second checking product without one.
Traditional banks with physical branches vary. Some, like Ally and Schwab, have no minimum even though they offer in-person services. Others require $500 or more. The only way to know is to check the specific bank's website or call them directly.
Waiving or removing a minimum balance requirement
If your bank requires a minimum balance but you cannot maintain it, ask whether they will waive it. Many banks will remove the requirement if you set up direct deposit of your paycheck. Others will waive it if you link a savings account with a certain balance, or if you use your debit card a set number of times per month.
Call the customer service number on your debit card and ask what conditions would remove the minimum. Be specific: "I have a $500 minimum balance requirement and I want to know what I can do to have it waived." The bank may have a formal waiver process, or a representative may be able to remove it on the spot.
If the bank refuses to waive it and you do not want to pay the fee, you can close the account and move to a bank with no minimum. This takes about 10 minutes online or in person. You will need to set up direct deposit or transfers at your new bank if you want your paycheck to go there.
Minimum balance versus average daily balance
Some banks measure the minimum differently. A few require you to maintain the minimum balance every single day. Most measure your average daily balance over the statement period instead. If your minimum is $500 and your average daily balance for the month is $600, you meet the requirement even if you dipped to $300 on one day.
Ask your bank which method they use. If they use average daily balance, you have more flexibility—you can temporarily drop below the minimum without triggering a fee, as long as your average stays above it. If they require the minimum every day, you need to be more careful.
Frequently Asked Questions
Can a bank close my account if I don't maintain the minimum balance?
No. Banks charge a fee instead. However, if you repeatedly overdraft or violate the account agreement in other ways, the bank can close your account. A low balance alone does not trigger closure.
Do I need a minimum balance to open a checking account?
No. Many banks let you open an account with $0 and deposit money later. Some require a small deposit to open—$25 or $100—but that is different from an ongoing minimum balance requirement. Ask the bank before you open.
What's the difference between a minimum balance and a monthly maintenance fee?
A minimum balance is money you must keep in the account. A maintenance fee is a monthly charge the bank takes out. You might have one, both, or neither. Some banks waive the maintenance fee if you maintain the minimum balance.
If I have a savings account linked to my checking, does that count toward the minimum?
Usually no. The minimum balance requirement applies only to the checking account itself. However, some banks will waive the minimum if you maintain a linked savings account with a certain balance. Ask your bank whether they offer this option.
Can I negotiate the minimum balance requirement?
Not usually, but you can ask the bank to waive it. Many banks will remove the requirement if you set up direct deposit, use your debit card regularly, or maintain a linked savings account. It costs nothing to ask.