Most working adults have at least one savings account, but the numbers shift by age and income
About 63% of American adults have a savings account at a bank or credit union, according to the most recent Federal Deposit Insurance Corporation survey data. That means roughly one in three adults does not. The gap widens sharply by income: households earning less than $30,000 per year are far less likely to have one than households earning $75,000 or more. Age matters too—adults under 30 are less likely to have opened a savings account than those over 50.
The reasons people skip savings accounts vary. Some have had bad experiences with banks—overdraft fees, minimum balance requirements, or past account closures. Others live in areas with few bank branches and no nearby credit unions. Some distrust banks altogether. A smaller group simply has not gotten around to opening one yet. Understanding why the number is lower than you might expect helps explain what barriers exist and what options work around them.
Key Takeaways
- About 63% of American adults have a savings account, meaning roughly one in three does not.
- Savings account ownership drops significantly for households earning under $30,000 per year and for adults under 30.
- Common reasons people lack savings accounts include past overdraft fees, no nearby bank branches, distrust of banks, or simply never opening one.
- Online banks, credit unions, and no-fee accounts now offer alternatives to traditional bank savings accounts with lower barriers to entry.
Who has savings accounts and who does not
The breakdown by demographics tells a clear story. Adults with steady employment and higher income are more likely to have a savings account than those working part-time, gig work, or irregular jobs. College graduates open savings accounts at higher rates than those with high school diplomas. Married couples are more likely to have accounts than single adults.
Geography also plays a role. People in rural areas with limited bank presence are less likely to have savings accounts than those in cities and suburbs. Immigrants and non-English speakers sometimes face barriers to opening accounts—language, unfamiliar documentation requirements, or distrust based on experiences in their home countries. These patterns matter because they show that having a savings account is not evenly distributed across the population.
Why some people do not have savings accounts
The most common reason people cite is lack of money to save. If you are living paycheck to paycheck, opening a savings account feels pointless when you have nothing to put in it. Some banks also require a minimum opening deposit—often $25 to $100—which can be a real barrier for someone with $50 in the bank.
Past negative experiences with banks keep others away. Overdraft fees, unexpected charges, or account closures due to low balances create lasting distrust. Some people have had accounts frozen or closed without clear explanation, which makes them reluctant to try again. Others have heard stories from friends or family and decided banks were not worth the risk.
A third group simply has not prioritized it. They may use cash for everything, keep money at home, or not think about the future far enough ahead to open an account. Some younger adults grew up in households where banking was not normal and never learned the habit.
What changed in recent years
Online banks have lowered the barrier to entry significantly. Many now offer savings accounts with no minimum deposit, no monthly fees, and no balance requirements. You can open one from your phone in minutes. This has made savings accounts more accessible to people who could not or would not walk into a physical bank branch.
Credit unions have also expanded their reach, especially through shared branching networks that let members use other credit unions' ATMs and teller services. Some credit unions now serve specific communities or professions and have lower fees than traditional banks. Community banks in some areas have also started offering no-fee accounts to compete with online options.
The difference between having an account and using it
Opening a savings account is not the same as actually saving money. Some people open accounts but never deposit anything, or they deposit once and then forget about it. Others open accounts but withdraw money whenever they need it, so the balance never grows. The account exists, but it is not functioning as a savings tool.
This matters because the statistic—63% have a savings account—does not tell you how many people are actually building savings. Someone with $15 in a savings account technically has one, but it is not serving the purpose of a financial cushion. The real picture is that fewer people are actively saving than the raw account ownership number suggests.
How savings account ownership connects to financial stability
People with savings accounts are more likely to have money set aside for emergencies. Even a small cushion—$500 to $1,000—can prevent a car repair or medical bill from becoming a crisis that requires high-interest debt. This is why financial advisors emphasize opening a savings account as a first step, regardless of how much you can put in it initially.
The inverse is also true: people without savings accounts are more vulnerable to financial shocks. A job loss, unexpected expense, or medical emergency can spiral into debt, eviction, or other serious consequences. This is one reason why the unbanked and underbanked populations face higher rates of poverty and financial instability.
Where to start if you do not have a savings account
If you have been putting it off, the easiest entry point is an online bank. You need a valid ID, a Social Security number or tax ID, and an initial deposit (often as little as $1 or $0). You can open an account in 10 to 15 minutes from your phone. Popular options include Ally, Marcus, Discover, and others—all offer no monthly fees and no minimum balance requirements.
If you prefer a physical location, a local credit union is often a good choice. Membership requirements vary, but many credit unions serve geographic areas or communities and have lower fees than big banks. You can search for credit unions near you through the CO-OP network or your state's credit union league.
If you have had problems with banks before, be honest about what went wrong. If overdraft fees were the issue, look for banks that do not charge them or that let you opt out. If minimum balances were the problem, choose an account with no minimum. If you distrust banks, start small—open an account, deposit $20, and leave it alone for a month to build confidence.
Frequently Asked Questions
Do I need a savings account if I have a checking account?
A checking account and a savings account serve different purposes. Checking is for money you spend regularly; savings is for money you want to keep separate and grow. Many people use both. If you only have checking, you might spend money you meant to save. A separate savings account creates a psychological and practical barrier that helps money stay put.
What if I have bad credit or a history with ChexSystems?
ChexSystems is a banking history report that some banks check before opening accounts. If you are listed, some banks will decline you. However, many online banks and credit unions do not use ChexSystems or are more lenient with past issues. You can also look for "second chance" banking programs designed for people with banking history problems. Start by calling local credit unions and asking directly.
Can I open a savings account without a Social Security number?
Most banks require a Social Security number or Individual Taxpayer Identification Number (ITIN). Some credit unions and community banks may work with ITINs if you are not may be able to access for a Social Security number. Call ahead and ask—do not assume you cannot open an account without trying. Some banks have specific programs for immigrants and non-citizens.
Is it better to save money at home or in a bank account?
Keeping cash at home is riskier—it can be lost, stolen, or spent impulsively. A bank account protects your money and earns interest, even if the rate is small. A savings account also creates a record and a barrier between you and the money, which makes it easier to leave it alone. The only real advantage of cash at home is privacy and immediate access, but those come at the cost of security and growth.
How much do I need to open a savings account?
Most online banks and many credit unions let you open an account with $0 or $1. Some traditional banks still require $25 to $100. Check the specific bank's requirements before you start the process. Even if there is a minimum, it is usually low enough that most people can meet it. The important thing is to open the account; you can add more money later.