What you need to open a savings account

To open a savings account at a bank or credit union, you will need a government-issued photo ID, proof of your current address, and your Social Security number. Most banks ask for a driver's license or passport. For proof of address, a recent utility bill, lease, or mortgage statement works. Some banks will accept a bank statement or government mail instead.

You will also need an initial deposit. The amount varies by bank — some require $25, others $100 or more, and some have no minimum at all. Online banks often have lower minimums than brick-and-mortar branches. If you do not have a Social Security number, some banks and credit unions will open an account with an Individual Taxpayer Identification Number (ITIN) instead, though options are more limited.

Bring these documents with you in person, or upload them online if you are opening an account remotely. Have your phone number and email address ready as well — the bank will use these to contact you about your account.

Key Takeaways

  • You need a photo ID, proof of address, and your Social Security number to open a savings account at most banks and credit unions.
  • Initial deposit requirements range from zero to $100 or more depending on the bank, and online banks typically have lower minimums than branches.
  • You can open an account in person at a branch or online through the bank's website, and the process usually takes 10 to 20 minutes.
  • Once your account is open, you can deposit money by direct deposit, transfer from another bank, ATM deposit, or in-person at a branch.

Opening an account in person at a branch

Walk into any branch of the bank where you want to open an account during business hours. Tell a teller or banker that you want to open a savings account. They will ask you to fill out a form with your name, address, phone number, email, and Social Security number. Bring your ID and proof of address with you.

The banker will review your information, run a check through ChexSystems (a banking history database), and ask about your initial deposit. You can bring cash, a check, or a debit card to fund the account right there. The whole process takes 10 to 20 minutes. You will walk out with a debit card application, account number, and routing number.

If you have had banking problems in the past — overdrafts, fraud, or unpaid fees — ChexSystems may flag your record. Some banks will still open an account for you; others will decline. If you are declined, ask the banker which banks in your area work with people who have ChexSystems records, or look for a credit union instead, as they sometimes have more flexible policies.

Opening an account online

Go to the bank's website and click the link to open a savings account. You will enter your name, address, phone number, email, and Social Security number into a form. Upload a photo of your ID and proof of address using your phone camera or computer. The bank will verify these documents, usually within 24 hours.

Once your identity is confirmed, you will choose how to fund the account. Most online banks let you transfer money from another bank account you already have. You will provide the routing number and account number of the account you are transferring from. The transfer usually takes one to three business days. Some online banks also let you mail in a check or use a debit card to fund the account.

Online account opening is faster than going to a branch — you can start the process at any time of day — but you will not have a debit card immediately. Most banks mail the card to you within 5 to 10 business days. Until it arrives, you can transfer money out of the account online, but you cannot use it to pay in stores or withdraw cash at an ATM.

Funding your account after it opens

Once your account is active, you have several ways to add money. Direct deposit is the fastest and most common method. Give your employer or the organization sending you money (Social Security, a pension, unemployment) your bank's routing number and your account number. The money will land in your account on the scheduled payment date, usually within one business day of when it is sent.

Bank transfers let you move money from another account you own at a different bank. Log into your new savings account online or through the mobile app, find the transfer option, and enter the routing number and account number of the account you are sending from. The transfer takes one to three business days. You can also transfer money the other direction — from your savings account to another bank — using the same method.

ATM deposits work if your bank has ATMs that accept cash and checks. Find an ATM with a deposit slot, insert your debit card, and follow the on-screen instructions. The bank will usually credit the deposit to your account by the next business day. In-person deposits at a branch are instant — hand cash or a check to a teller, and the money shows up in your account right away.

Understanding account features and fees

Before you open an account, check what the bank charges. Most savings accounts have no monthly fee, but some charge $5 to $15 per month if your balance falls below a certain amount — often $500 or $1,000. Online banks almost never charge monthly fees. Read the fee schedule on the bank's website or ask a banker to show you in writing.

Check the interest rate the bank pays on savings. This is called the Annual Percentage Yield (APY). Rates vary widely — online banks often pay 4% to 5%, while traditional banks may pay 0.01% to 0.5%. The higher the rate, the more money you earn just by keeping your balance in the account. The rate can change at any time, so do not assume it will stay the same forever.

Ask whether the account has withdrawal limits. Federal rules used to cap savings account withdrawals at six per month, but that rule was suspended. However, some banks still impose their own limits. If you think you will need to withdraw money frequently, choose an account with no withdrawal restrictions, or ask the bank to waive the limit.

What happens if you are denied

If a bank denies your account application, they must tell you why. The most common reasons are a negative ChexSystems record, unpaid bank fees from a previous account, or fraud. You have the right to see your ChexSystems report for free. Go to www.chexsystems.com and request your report online. If there is an error, you can dispute it.

If you are denied at one bank, try a credit union instead. Credit unions are member-owned and often have more flexible policies for people with banking history issues. You may need to join the credit union first — membership is usually free and based on where you live or work. Some credit unions also offer "second chance" checking accounts designed for people who have been denied elsewhere.

Another option is a prepaid debit card, which is not a bank account but works similarly. You load money onto the card and use it to pay and withdraw cash. Prepaid cards do not require a credit check or ChexSystems review, though they usually charge fees for each transaction. Use a prepaid card as a temporary step while you rebuild your banking history, then move to a real savings account once you are able.

Frequently Asked Questions

Can I open a savings account without a Social Security number?

Yes, if you have an Individual Taxpayer Identification Number (ITIN). Some banks and most credit unions will open an account with an ITIN instead of a Social Security number. Call ahead to confirm the bank accepts ITINs, as not all do. You will still need a photo ID and proof of address.

How long does it take to open an account?

In person at a branch, the process takes 10 to 20 minutes. Online, it takes 5 to 10 minutes to fill out the form, but the bank needs 24 hours to verify your identity. Your debit card will arrive by mail within 5 to 10 business days after your account opens.

What if I do not have a proof of address?

If you do not have a utility bill or lease, some banks will accept a bank statement, government mail, or a letter from a shelter or social service agency. Call the bank before you go in and ask what documents they accept as proof of address. Some banks are more flexible than others.

Can I open a savings account if I am under 18?

Yes, but you will need a parent or guardian to co-sign. The adult will need to provide their ID and Social Security number as well. Some banks have special youth savings accounts with lower minimums and no fees. Ask the banker about options for minors.

Do I need to keep a minimum balance?

It depends on the bank. Some have no minimum balance requirement at all. Others require you to keep $500, $1,000, or more to avoid a monthly fee. Check the fee schedule before you open the account, or ask the banker to explain the minimum balance rule in writing.