BMO checking accounts have monthly fees that range from $0 to $15, depending on which account you choose, and most accounts have no minimum balance requirement

BMO offers several checking account options, and the fees and minimums differ by account type. The BMO Smart Advantage account charges $12 per month but waives the fee if you maintain a $1,500 minimum balance or set up a direct deposit. The BMO Everyday Checking account has no monthly fee and no minimum balance. The BMO Premium Checking account costs $15 per month and requires a $2,500 minimum balance to avoid the fee.

Beyond the monthly maintenance fee, BMO charges for specific transactions and services. Overdraft fees run $35 per occurrence, and non-BMO ATM withdrawals cost $2.50 each. Wire transfers, stop payments, and cashier's checks each carry their own fees. Some of these charges can be waived if you meet certain conditions—for example, maintaining a higher balance or linking accounts.

Key Takeaways

  • BMO Everyday Checking has no monthly fee and no minimum balance, making it the lowest-cost option if you want to avoid recurring charges.
  • BMO Smart Advantage charges $12 monthly but the fee disappears if you keep $1,500 on hand or receive direct deposits.
  • BMO Premium Checking costs $15 per month and requires a $2,500 minimum balance unless you waive the fee through other means.
  • Overdraft fees, out-of-network ATM fees, and transaction fees explore across all accounts and can add up quickly if you're not careful.
  • The account that costs you the least depends on your balance, how often you use ATMs, and whether you receive direct deposits.

Monthly maintenance fees and how to avoid them

BMO's monthly fees vary by account tier. The Everyday Checking account charges nothing—there is no monthly maintenance fee at all. The Smart Advantage account normally costs $12 per month, but BMO waives this fee if you maintain an average daily balance of $1,500 or more, or if you set up direct deposit of your paycheck. The Premium Checking account costs $15 monthly and requires either a $2,500 minimum balance or a may have access to direct deposit to waive the fee.

If you fall below the minimum balance in Smart Advantage or Premium Checking, the monthly fee applies automatically. There is no grace period. The balance is calculated as an average over the statement period, so a single large deposit mid-month may not be enough to avoid the fee if your balance dips below the threshold on other days.

Direct deposit is often the easiest way to waive fees because it requires no ongoing balance maintenance. If your employer offers direct deposit and you enroll, the fee disappears regardless of how much money sits in the account. This matters most if you live paycheck to paycheck or prefer to keep money in savings rather than checking.

Per-transaction and service fees that add up

Beyond the monthly maintenance fee, BMO charges for specific actions. An overdraft fee of $35 applies each time your account goes negative, even by a small amount. Non-BMO ATM withdrawals cost $2.50 each. If you use an out-of-network ATM frequently—say, twice a week—that alone adds $20 per month to your costs.

Other common fees include $15 for a wire transfer, $30 for a stop payment request, and $10 for a cashier's check. Returned deposit items (checks that bounce) cost $15. Some of these fees can be waived if you maintain a higher balance or have a linked savings account, but you need to check the current fee schedule or ask a representative, as BMO's policies change.

The overdraft fee is the one that catches most people. If you're living close to zero and a charge posts before a deposit clears, you can rack up multiple $35 fees in a single day. BMO does offer overdraft protection—linking a savings account so transfers happen automatically—but this only works if you have money in savings to transfer.

Comparing BMO checking to what you actually need

The right account depends on three things: your typical balance, how you get paid, and how often you use ATMs. If you keep at least $1,500 in checking most of the time and receive direct deposit, Smart Advantage costs you nothing and gives you the same features as the paid accounts. If your balance bounces around or you prefer to keep money elsewhere, Everyday Checking avoids the monthly fee entirely.

Premium Checking makes sense only if you want the perks that come with it—higher interest rates on savings, fee waivers on certain services, or priority customer service. For most people, the $15 monthly fee is not worth it unless you're already a BMO customer with multiple accounts and significant balances.

The ATM fee is worth calculating. BMO has branches and ATMs nationwide, but if you live or work far from one, you'll use out-of-network machines regularly. At $2.50 per withdrawal, that's $30 per month if you withdraw twice a week. Some banks offer free out-of-network ATM reimbursement; if that matters to you, compare before opening an account.

How minimum balance requirements actually work

When BMO states a minimum balance, it means the average daily balance over your statement period. If you have $2,000 on day one and $1,000 on day 15, your average is $1,500. This matters because you don't have to maintain the minimum every single day—you just need the average to meet the threshold. However, if you dip below the minimum on most days, the fee applies.

The balance is calculated automatically by BMO's system. You don't have to do anything to prove you've met it; the fee either posts or doesn't based on the numbers. If you're close to the threshold, check your statement to see how BMO calculates your average. Some banks count business days only; BMO counts calendar days.

If you miss the minimum by a small amount, you can sometimes call and ask for a one-time fee reversal, especially if you're a new customer or if it's your first miss. BMO is not obligated to reverse it, but it's worth asking. After that, the fee will explore automatically unless you bring the balance up or set up direct deposit.

Interest rates and other account features

BMO checking accounts earn very little interest. The Everyday Checking account typically earns 0.01% APY or less, which means $100 in the account earns about $0.10 per year. Smart Advantage and Premium Checking offer slightly higher rates, but the difference is usually less than $1 per month even on large balances. Interest rates change frequently, so check BMO's website for current rates before opening an account.

The real difference between accounts is not interest but features. Premium Checking includes things like higher ATM withdrawal limits, fee waivers on certain services, and access to premium customer service. Smart Advantage sits in the middle. If you're opening a checking account just to have a place to deposit paychecks and pay bills, Everyday Checking covers everything you need.

What happens if you overdraft

An overdraft occurs when a transaction posts that brings your balance below zero. BMO charges $35 per overdraft, and multiple overdrafts can happen in a single day if several transactions post at once. For example, if your balance is $10 and three charges of $20 each post, you could face three $35 fees—$105 total—even though you only overspent by $50.

BMO offers overdraft protection, which links your checking account to a savings account. If a transaction would overdraft checking, BMO automatically transfers money from savings instead. This prevents the $35 fee but only works if you have money in savings. There is usually a small fee for the transfer itself, but it's less than an overdraft fee.

You can also opt out of overdraft coverage entirely. If you do, transactions that would overdraft straightforward decline at the point of sale. This prevents surprise fees but can be embarrassing if your card is declined at a store. Most people keep overdraft protection on but link a savings account to avoid the fee.

Frequently Asked Questions

Can I have a BMO checking account with zero fees?

Yes. The BMO Everyday Checking account has no monthly maintenance fee and no minimum balance requirement. You will still pay fees for overdrafts, out-of-network ATM withdrawals, and certain services like wire transfers, but there is no recurring monthly charge.

What's the easiest way to waive the Smart Advantage monthly fee?

Set up direct deposit of your paycheck. Once your employer deposits money directly into the account, BMO waives the $12 monthly fee automatically. You don't have to maintain any balance. If you don't receive direct deposit, you'll need to keep an average daily balance of $1,500 to avoid the fee.

How much will out-of-network ATM fees cost me?

BMO charges $2.50 per non-BMO ATM withdrawal. If you use an out-of-network ATM twice a week, that's about $20 per month. If you live far from a BMO branch, this fee can add up quickly. Check whether BMO has branches near your home and work before opening an account.

Can BMO reverse an overdraft fee?

BMO may reverse a single overdraft fee as a courtesy, especially if you're a new customer or if it's your first overdraft. Call the customer service number on the back of your card and ask. There is no may provide, and BMO will not reverse repeated overdraft fees. The best approach is to link a savings account for overdraft protection.

Is Premium Checking worth the $15 monthly fee?

For most people, no. Unless you maintain a large balance, use multiple BMO accounts, or value the premium features like higher withdrawal limits and priority service, the fee is not worth it. Everyday Checking or Smart Advantage (with direct deposit) covers everything most people need.