What you need to bring and where to go
To open a bank account, you walk into a bank or credit union branch (or do it online) with a government-issued ID, proof of your address, and your Social Security number or tax ID. The bank verifies these, you sign paperwork, and the account opens the same day or within 24 hours. You can start using it immediately, though some banks hold the first deposit for a day or two before the money clears.
Most banks and credit unions let you open an account online without visiting a branch. You upload photos of your ID and proof of address, answer security questions, and fund the account with a transfer from another bank or a debit card. Online accounts open faster—sometimes in minutes—but you may not be able to deposit cash until you visit a branch or use an ATM.
If you don't have a government ID, some banks will open an account with a passport, state ID card, or tribal ID. A few banks work with people who have no ID at all, though the process takes longer and may require additional proof of address or a reference from someone with an account at that bank.
Key Takeaways
- You need a government ID, proof of your current address, and your Social Security number to open an account at most banks and credit unions.
- Online accounts open faster than in-person accounts and require only photos of your documents, but you may not be able to deposit cash right away.
- Banks and credit unions are different: credit unions are member-owned nonprofits, often with lower fees and more flexible lending, while banks are for-profit and may have more branches and ATMs.
- Some banks charge monthly fees; others waive them if you keep a minimum balance or set up direct deposit.
- If you have a history of overdrafts or fraud at other banks, some institutions will decline you, but second-chance banking programs exist specifically for this situation.
Banks versus credit unions
A bank is a for-profit business that takes deposits, makes loans, and charges fees for services. A credit union is a nonprofit owned by its members. Both hold your money safely and offer checking and savings accounts, but they differ in cost and access.
Banks typically have more branches and ATMs nationwide, which matters if you travel or move often. Credit unions usually have fewer locations but charge lower fees and pay higher interest on savings. Credit unions also tend to be more flexible about lending to people with thin credit histories or recent financial trouble.
To join a credit union, you must meet a membership requirement—usually living or working in a certain area, belonging to a particular employer or profession, or being related to a current member. Some credit unions have no membership requirement at all. Banks have no membership requirement; anyone can walk in and open an account.
What documents count as proof of address
Banks accept a current utility bill (electric, gas, water, internet), a lease or mortgage statement, a government tax return, a bank statement from another institution, or a recent piece of mail from a government agency. "Current" usually means from the last 60 days, though some banks accept documents up to 90 days old.
If you don't have any of these, some banks will accept a letter from a shelter, transitional housing program, or social services agency on official letterhead stating your address. A few will accept a cell phone bill or insurance statement. Call ahead and ask what the specific bank accepts rather than showing up with documents that don't work.
Monthly fees and how to avoid them
Many banks charge a monthly maintenance fee—typically $5 to $15—just to keep the account open. Some waive the fee if you maintain a minimum balance (often $500 to $1,500), set up direct deposit, or use the bank's debit card a certain number of times per month. Others charge no monthly fee at all.
Online-only banks almost never charge monthly fees because they have lower overhead. Traditional banks with physical branches are more likely to charge, though many have created low-fee or no-fee accounts to compete. Credit unions typically charge lower fees than banks and are more likely to waive them.
Beyond the monthly fee, watch for overdraft fees (charged when you spend more than you have), ATM fees (charged when you use another bank's ATM), and transfer fees (charged for moving money between accounts). Some banks charge $30 to $35 per overdraft. Others offer overdraft protection, which links your checking account to a savings account or credit line so you don't overdraft in the first place.
If you've been denied before
Banks use ChexSystems, a reporting system that tracks overdrafts, fraud, and closed accounts. If you have a history of bounced checks, unpaid overdraft fees, or fraud allegations, a bank may deny you. This doesn't mean you can't get an account anywhere.
Second-chance banking programs exist at many banks and credit unions specifically for people with ChexSystems records. These accounts often have lower limits on spending and transfers, may charge higher fees, and require a larger initial deposit. But they let you rebuild your banking history. After 12 to 24 months of clean activity, you can usually move to a standard account.
Credit unions are often more forgiving than banks about past problems. Some will open an account even with a ChexSystems record if you explain what happened. Call your local credit union and ask whether they work with people in your situation.
What happens after you open the account
Once the account is open, you receive a debit card (usually within 5 to 10 business days), a checkbook (if you opened a checking account), and online banking access. You can log in immediately and see your balance, set up bill pay, and transfer money to other accounts.
The bank assigns you a routing number and account number, which you need to set up direct deposit or automatic bill payments. You can find these on your checks, in your online banking portal, or by calling the bank's customer service line.
If you deposit cash or a check, it may not be available to spend right away. Most banks hold deposits for one to two business days. Transfers from another bank take three to five business days. Direct deposits usually post within one business day.
Choosing between checking and savings
A checking account is designed for frequent deposits and withdrawals—paying bills, getting paid, buying things. You get a debit card and checks. A savings account is designed to hold money you're not spending right now and earns interest (a small amount of money the bank pays you for letting them use your deposit).
Most people open both: a checking account for daily spending and a savings account to build emergency funds or save toward a goal. Some banks let you open both at the same time; others require you to open checking first. Interest rates on savings accounts vary widely—from nearly zero at large banks to 4% to 5% at online banks. Compare rates before you choose.
A few banks offer money market accounts, which are savings accounts that pay higher interest if you keep a larger balance. These usually require a minimum deposit of $2,500 to $10,000 and limit how many withdrawals you can make per month.
Frequently Asked Questions
Can I open a bank account without a Social Security number?
Yes, if you have an Individual Taxpayer Identification Number (ITIN) instead. Some banks also accept a passport number or state ID number. Call the bank first to confirm they accept your form of ID, because policies vary.
How long does it take to open an account online?
Online accounts usually open in minutes to a few hours. The bank verifies your identity and address through a third-party service, and if everything checks out, you can start using the account the same day. Depositing cash requires a visit to a branch or ATM.
What if I don't have a permanent address?
Some banks will open an account using a shelter address, a PO box, or a friend's address if you can provide a letter from a social services agency or shelter confirming your residency. Credit unions are often more flexible about this. Call ahead and explain your situation rather than showing up unprepared.
Do I need to keep a minimum balance?
It depends on the bank and the account type. Some accounts have no minimum. Others require $100 to $2,500 to avoid monthly fees. Online banks typically have no minimum. Ask about the minimum before you open the account so you know what to expect.
Can I open an account for someone else?
No. The person whose name is on the account must be present and provide their own ID. Parents can open accounts for minors, but the minor's name must be on the account. If you want to manage someone else's money, you need a power of attorney document or to be listed as an authorized user on their existing account.