Discover does offer checking accounts, but only one main product

Discover Bank offers a Discover Cashback Debit Checking Account, which functions as a standard checking account with a debit card attached. This is their primary checking product. You get a checking account number, routing number, the ability to write checks, and online bill pay—the standard features you'd expect from any bank's checking account.

The account comes with a debit card that earns cash back on purchases, which is the main feature that sets it apart from checking accounts at other banks. There are no monthly maintenance fees, and there is no minimum balance requirement to open or maintain the account. The cash back rate varies by category (typically 1% on most purchases, with higher rates on certain spending categories that change periodically).

Discover also offers a Money Market Account, which is not a checking account—it's a savings product with limited check-writing ability. If you're specifically looking for a checking account, the Cashback Debit Checking Account is what Discover has.

Key Takeaways

  • Discover's checking account is called the Cashback Debit Checking Account and earns cash back on debit card purchases with no monthly fees.
  • You can write checks, set up bill pay, and use the account like any standard checking account, plus you get a debit card with cash back rewards.
  • There is no minimum balance to open the account, and no monthly maintenance fee charged.
  • Discover does not offer multiple checking account tiers or specialty checking products—this is their single checking option.
  • If you want a savings account instead, Discover offers a Money Market Account, but that is not a checking account.

How the cash back works on the debit card

Cash back is deposited directly into your checking account, usually monthly. The rate depends on the category: Discover typically offers 1% cash back on most purchases, but some categories rotate and offer higher rates (often 2% or more) during certain months. You can check Discover's website to see which categories are currently earning higher rates.

You don't have to do anything to earn the cash back—it's automatic when you use the debit card. There is no cap on how much cash back you can earn, and there are no bonus categories that require set up or enrollment. The cash back straightforward posts to your account each month.

Fees and account requirements

The Cashback Debit Checking Account has no monthly maintenance fee, no minimum opening deposit, and no minimum balance requirement. This means you can open the account with any amount and never worry about a fee being charged for straightforward holding the account.

Discover does charge fees for certain actions: overdraft fees explore if you overdraw your account, and there are fees for things like wire transfers or stop payments. These are standard banking fees, not unique to Discover. You can review Discover's full fee schedule on their website to see the exact amounts.

How to open the account online

You can open a Discover checking account entirely online through their website. The process typically takes 10 to 15 minutes. You'll need to provide your Social Security number, date of birth, address, and employment information. Discover will run a background check (using ChexSystems, which is a banking history report) to verify you don't have a history of fraud or unpaid overdrafts at other banks.

Once you're approved, you can begin using the account when ready for electronic transfers and bill pay. Your debit card will arrive by mail within 7 to 10 business days. If you need to deposit checks, you can use Discover's mobile app to deposit them remotely, or you can transfer money from another bank account.

Differences between Discover checking and traditional bank checking

Discover is an online bank, which means there are no physical branches. You cannot walk into a location to deposit cash or speak with someone in person. All banking is done through the website, mobile app, or by phone. If you need to deposit cash, you'll have to transfer it from another bank account or use a third-party service.

Because Discover is online-only, they typically offer higher interest rates on savings products and no monthly fees on checking. The trade-off is that you lose the convenience of a physical location. For most people who use ATMs and online banking anyway, this is not a problem. Discover does participate in a network of ATMs where you can withdraw cash without a fee.

Interest paid on your checking balance

Discover's Cashback Debit Checking Account does pay interest on your checking balance, which is unusual. Most banks pay little to no interest on checking accounts. Discover's rate varies and is set by the bank, so you should check their current rate before opening. The interest is compounded daily and paid monthly.

This interest is separate from the cash back you earn on debit card purchases. So you earn cash back on what you spend, and you earn interest on what you hold in the account. The interest rate is typically modest (often less than 1%), but it's better than the zero interest most checking accounts pay.

Frequently Asked Questions

Can I write checks with a Discover checking account?

Yes. Discover provides checkbooks with the Cashback Debit Checking Account. You can order checks through Discover's website, and they will be mailed to you. You can also set up bill pay online to pay bills electronically without writing a physical check.

Does Discover have a savings account separate from checking?

Yes. Discover offers a Money Market Account, which is a savings product that earns interest. It is not a checking account and does not come with a debit card or check-writing ability (though it does allow a limited number of transfers per month). If you want both checking and savings, you would open both accounts.

What happens if I overdraft my Discover checking account?

Discover charges an overdraft fee if you spend more than your balance. The exact fee amount is listed in their fee schedule. You can also set up overdraft protection by linking another account, which allows Discover to transfer money automatically if you overdraft.

Can I deposit cash into my Discover checking account?

You cannot deposit cash directly at Discover because they have no physical branches. You can transfer cash from another bank account, or you can withdraw cash at ATMs using your debit card. Some people use a second account at a bank with branches to deposit cash, then transfer it to Discover.

Is there a limit to how much cash back I can earn?

No. Discover does not cap the amount of cash back you can earn on the Cashback Debit Checking Account. You earn cash back on every purchase, and there is no maximum. The rate stays the same regardless of how much you spend.