Most savings accounts do not require a minimum balance, but some do—and the penalty for falling below it can be a monthly fee that eats into your earnings
Whether your savings account needs a minimum balance depends entirely on the bank and the specific account type you choose. Some banks have no minimum at all. Others require anywhere from $100 to $25,000 to keep the account open or to earn interest. The key is knowing what your bank demands before you open the account, because falling short triggers a monthly fee—usually $5 to $15—that gets deducted from your balance.
The minimum balance requirement is separate from the interest rate. A bank might offer you 4.5% annual percentage yield (APY) on a savings account but require you to maintain $10,000 to earn that rate. If you drop below $10,000, you might earn 0.01% instead, or pay a monthly fee, or both. Read the account disclosure document before you fund the account.
Key Takeaways
- Online banks and credit unions typically have no minimum balance requirement, while traditional brick-and-mortar banks often require $500 to $2,500 to avoid monthly fees.
- Some banks waive the minimum if you set up direct deposit or maintain a linked checking account with them.
- Falling below the minimum usually costs $5 to $15 per month, which can wipe out months of interest earnings on a small balance.
- The account disclosure document (sometimes called the Truth in Savings Act disclosure) lists the exact minimum, the fee amount, and any ways to avoid the fee.
Where minimums are most common
Traditional banks—the kind with physical branches—are most likely to require a minimum balance. Banks like Bank of America, Wells Fargo, and Chase typically require $300 to $2,500 depending on the account tier. Some offer a "basic" savings account with no minimum but a lower interest rate, and a "premium" account with a higher rate but a $1,000 or $2,500 minimum.
Credit unions almost never require a minimum balance on savings accounts. Online banks like Marcus, Ally, and Discover also typically have no minimum. If you are comparing accounts and minimum balance is a concern, online banks and credit unions are the faster path to a no-minimum account.
High-yield savings accounts marketed to investors sometimes do require a minimum—often $2,500 to $25,000—because the bank is offering a higher interest rate and wants to limit the number of small accounts it manages. Check the rate and the minimum together; a 5% APY with a $25,000 minimum is not the same offer as a 4.8% APY with no minimum.
How banks let you avoid the minimum
Many banks will waive the minimum balance requirement if you meet one of these conditions: set up direct deposit of your paycheck, maintain a linked checking account at the same bank, or keep a certain balance in a different account (like a money market account). Some banks waive it if you maintain a combined balance across multiple accounts—so $5,000 in checking plus $2,000 in savings counts as $7,000 toward a $5,000 minimum.
Ask the bank directly about waivers before you open the account. The account disclosure will list them, but customer service can also tell you which waiver is easiest for your situation. If you already have a checking account at the bank, linking a savings account to it might automatically waive the minimum.
What happens when you fall below the minimum
The most common penalty is a monthly maintenance fee of $5 to $15, charged on the day the balance drops below the threshold. This fee is deducted from your account, making the problem worse—you fall further below the minimum, and the next month you pay the fee again. On a $500 balance with a $10 monthly fee, you lose 2% of your money every month just to the fee.
Some banks do not charge a fee but instead reduce your interest rate. If you are supposed to earn 4.5% APY but fall below the minimum, you might earn 0.01% instead. Over a year, that difference on a $5,000 balance is roughly $225 in lost interest.
A few banks will close the account if the balance stays below the minimum for a set period—usually 60 to 90 days. When they close it, they send you the remaining balance by check or to a linked account. This does not damage your credit, but it does mean you lose the account and have to open a new one elsewhere.
Comparing minimums across account types
| Bank Type | Typical Minimum | Monthly Fee if Below | Common Waivers |
|---|---|---|---|
| Online banks | $0 | $0 | N/A |
| Credit unions | $0–$25 | $0–$5 | Membership in credit union |
| Traditional banks (basic) | $0–$500 | $5–$10 | Direct deposit, linked checking |
| Traditional banks (premium) | $1,000–$2,500 | $10–$15 | Direct deposit, linked checking, combined balance |
| High-yield savings | $0–$25,000 | $0 (lower rate instead) | Varies by bank |
How to find the minimum before you open an account
The account disclosure document is the only place you need to look. Every bank is required by the Truth in Savings Act to provide this document before you open the account. It lists the minimum balance, the monthly fee, the interest rate, how interest is calculated, and any ways to waive the fee. You can request it online, by phone, or in person.
Do not rely on the marketing language on the bank's website. A headline that says "High-Yield Savings Account" might not mention the $10,000 minimum. The disclosure document will. If you cannot find it on the website, call the bank and ask them to email or mail it to you. Reading it takes five minutes and saves you from surprise fees.
When you compare accounts, write down the minimum, the fee, and the APY for each one. Then calculate: if you plan to keep $2,000 in the account, which bank costs you the least over a year when you factor in fees and interest? A bank with a $1,000 minimum and a $10 fee might cost you less than a no-minimum bank if the no-minimum bank pays 0.5% APY and the other pays 4.5%.
Frequently Asked Questions
Can I keep a savings account open with zero dollars in it?
Most banks will close the account if the balance stays at zero for 60 to 90 days. Some will close it when ready. If you want to keep an account open but are not using it, keep at least $1 in it and check the account terms to see how long the bank will tolerate a zero balance before closing it.
If I have a minimum balance requirement, does the bank count pending deposits?
No. The bank counts only the balance that has actually cleared and settled in your account. A pending deposit does not count toward the minimum, so if you are close to the threshold, do not assume a deposit in transit will save you from the fee. The fee is calculated based on the cleared balance on a specific date each month.
What if my bank changes the minimum balance requirement after I open the account?
Banks can change the terms of an account, including the minimum balance, but they must notify you in writing at least 30 days before the change takes effect. If you disagree with the change, you can close the account and move your money elsewhere. You are not locked in to the terms that existed when you opened it.
Do savings accounts at the same bank share a minimum balance?
Some banks allow you to combine balances across multiple savings accounts to meet the minimum, but others do not. Some require the combined balance to include a checking account as well. Check your account disclosure or ask the bank directly whether multiple accounts are linked for the purpose of meeting the minimum.
Is a minimum balance requirement the same as a monthly fee?
No. A minimum balance requirement is a threshold you must maintain. A monthly fee is the penalty you pay if you fall below it. Some accounts have a minimum but no fee if you fall below it—instead, your interest rate drops. Others have no minimum at all but charge a monthly maintenance fee regardless of your balance. Read the disclosure to see which applies to your account.