Most savings accounts have no monthly fee, but some do—and the cost depends on the bank and the account type

Whether you pay a fee on a savings account depends on which bank you use and what kind of account you open. Many banks charge nothing at all. Others charge a monthly maintenance fee that ranges from $2 to $25, though some waive it if you meet certain conditions like keeping a minimum balance or setting up direct deposit. A few banks charge fees only when you exceed a limit on withdrawals or transfers in a single month.

The fee structure matters because it directly affects how much your money actually grows. A $5 monthly fee on a $500 account costs you 12% of your balance per year in charges alone—money that could have earned interest instead. Knowing what you'll pay upfront helps you choose an account that doesn't eat into your savings.

Key Takeaways

  • Many banks offer savings accounts with no monthly fee, particularly online banks and credit unions.
  • Monthly maintenance fees typically range from $2 to $25 and are more common at large traditional banks.
  • Banks often waive monthly fees if you maintain a minimum balance, usually between $300 and $2,500.
  • Withdrawal limits and transfer limits may trigger additional fees if you exceed them, separate from any monthly charge.
  • Comparing fee structures across banks can save you dozens of dollars per year on the same account type.

When banks charge a monthly maintenance fee

A monthly maintenance fee is a flat charge that appears on your statement each month, regardless of how much money you have or how you use the account. Traditional banks—the kind with physical branches—charge this more often than online-only banks do. Chase, Bank of America, Wells Fargo, and similar large institutions typically charge $5 to $10 per month on basic savings accounts, though the exact amount varies by account type and region.

Banks justify this fee as a cost of maintaining the account and providing customer service. In practice, they often waive it if you meet one of these conditions: keeping a minimum balance (commonly $300 to $2,500), setting up direct deposit of your paycheck, or maintaining a linked checking account at the same bank. Some banks waive the fee for customers under 18 or over 65. Read the account terms carefully—the waiver conditions are usually listed in the fine print, not in the marketing materials.

How minimum balance requirements work

A minimum balance requirement is the smallest amount the bank requires you to keep in the account at all times to avoid a monthly fee. If your balance drops below that threshold even once during a statement period, you typically get charged. The requirement might be $500, $1,000, or higher depending on the bank and account tier.

The catch is that the bank counts your balance on a specific day—often the last day of the month—or sometimes calculates an average balance across the month. If you dip below the minimum on any other day, you may still be charged. Some banks are stricter: they charge the fee if your balance falls below the minimum at any point during the statement cycle, not just on the final day. Before opening an account, ask the bank exactly how and when they measure your balance against the minimum.

Withdrawal and transfer fees

Federal rules once limited savings account withdrawals and transfers to six per month, and many banks charged a fee if you exceeded that limit. Those rules changed in 2020, and most banks removed the limit and the associated fee. However, some banks and credit unions still charge a fee if you make more than a certain number of withdrawals or transfers in a month—commonly after the third or sixth transaction.

This fee typically costs $1 to $10 per excess transaction. It applies to transfers to other banks, transfers to your own checking account, and sometimes even ATM withdrawals, depending on the bank's policy. Online banks and credit unions are less likely to charge this fee than traditional banks. If you plan to move money in and out of your savings account frequently, check the withdrawal policy before you open the account.

Banks that charge no monthly fees

Online banks and credit unions are the most likely to offer savings accounts with no monthly fee and no minimum balance requirement. Banks like Ally, Marcus, Discover, and Vanguard do not charge monthly maintenance fees on their savings accounts. Credit unions—which are member-owned and often have lower overhead costs than traditional banks—typically charge no fee either.

Even some traditional banks with physical branches offer no-fee savings accounts, though they may be harder to find or may have different names than the main savings product. Call your bank's customer service line or visit their website and search for "no-fee savings account" or "basic savings account." The trade-off is often a lower interest rate compared to high-yield savings accounts, but if you are comparing accounts at the same bank, the no-fee option may still be worth it depending on your balance and how often you use the account.

How fees reduce your savings growth

A monthly fee compounds over time and directly reduces the interest your money earns. Suppose you keep $1,000 in a savings account that pays 0.01% annual interest (a rate some traditional banks offer) and charges a $5 monthly fee. Over one year, you earn about $0.10 in interest but pay $60 in fees—a net loss of $59.90. The same $1,000 in a no-fee account at an online bank paying 4% interest would earn about $40 in the same year.

The difference widens as your balance grows. A $10,000 balance in a high-fee, low-interest account loses money to fees faster than it gains money from interest. This is why comparing the full picture—monthly fee, minimum balance, interest rate, and withdrawal limits—matters more than looking at any single factor. A slightly lower interest rate at a no-fee bank often beats a slightly higher rate at a bank that charges $10 per month.

What to ask before opening a savings account

Before you open a savings account, contact the bank and ask these specific questions: Does this account have a monthly maintenance fee? If yes, what conditions waive it? What is the minimum balance requirement, and how does the bank measure it? Are there fees for withdrawals or transfers, and if so, how many are allowed per month? Does the account have any other fees—for example, for overdrafts, ATM use, or paper statements?

Write down the answers or ask the bank to send them to you in writing. Many banks post fee schedules online under names like "Deposit Account Agreement" or "Schedule of Fees." Read that document before you sign up. If a bank representative cannot or will not answer these questions clearly, that is a sign to look elsewhere. Your time spent comparing now saves you money every month the account is open.

Frequently Asked Questions

Can a bank charge me a fee if I have no money in the account?

Yes. If your account balance reaches zero and you still owe a monthly maintenance fee, the bank may charge it anyway, which puts your account into negative balance. Some banks then charge an overdraft fee on top of that. If the account stays negative for 30 to 60 days, the bank may close it and report you to ChexSystems, a banking history database that makes it harder to open accounts elsewhere. Contact the bank when ready if this happens and ask about fee reversal options.

Do savings accounts at credit unions have fees?

Most credit unions charge no monthly maintenance fee on savings accounts and have no minimum balance requirement. However, some credit unions do charge fees for excessive withdrawals or transfers, or for accounts that fall below a very low minimum (like $1). Credit unions vary widely, so ask about fees before you join. Credit union membership is usually limited to people in a certain geographic area, employer, or profession, so check whether you are may be able to access.

What happens if I do not meet the minimum balance one month?

The bank charges the monthly maintenance fee for that statement period. Your balance does not have to recover to the minimum by the end of the month to avoid the fee—once you are charged, the fee is applied. However, if you meet the minimum balance in the following month, you typically avoid the fee for that month. Some banks offer one or two fee reversals per year if you call and ask, especially if you have been a customer for a long time.

Are there savings accounts with no fees and high interest rates?

Yes, but they are usually at online banks, not traditional banks with branches. Online banks like Ally, Marcus, and Discover offer savings accounts with no monthly fee, no minimum balance, and interest rates that change based on market conditions—currently around 4% or higher. The trade-off is that you cannot walk into a branch to deposit cash or speak to someone in person. If you are comfortable banking online and depositing checks by phone camera, these accounts often offer the best combination of low fees and high interest.

Do I get charged for having a joint savings account?

Joint accounts follow the same fee structure as individual accounts—the fee depends on the bank and account type, not on how many people own it. However, some banks charge an additional fee if the account has multiple owners, or they may require a higher minimum balance for a joint account. Ask the bank whether joint accounts have different fees than individual accounts before you open one.