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Best Free Online Bank Accounts for 2025: Checking and Savings

All digital, fee-free checking and savings accounts with high APYs and fancy tools.

Haven’t visited a physical bank in years and want a free checking account? If so, then digital banks are probably right up your alley. Online banks don’t pay to maintain physical branches, and they pass those savings on to their customers. With no monthly fees, top-of-the-line mobile apps and quick online applications, the best free online bank accounts can offer numerous benefits.

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  • 300+ banks and credit unions reviewed
  • 190+ checking accounts analyzed and rated by our team of experts
  • Evaluated under our unbiased rating system covering 8 categories
  • 20+ years of combined experience covering financial topics

We're big on editorial independence. That means our content, reviews and ratings are fair, accurate and trustworthy. We don't let advertisers or partners sway our opinions. Our financial experts put in the hard work, spending hours researching and analyzing hundreds of products based on data-driven methodologies to find the best accounts and providers for you. Explore our editorial guidelines to see how we work.

7 best free online bank accounts

Best for second-chance banking

Chime® Checking Account

9.6 Excellent

on Chime's secure site
Read review
Chime is a fintech that offers banking services without using ChexSystems, which can boost approval if your record is messy. Its checking has no monthly or foreign transaction fees. One of Chime's better perks is the overdraft service called SpotMe®, which allows qualified users to fee-free overdraft up to $200 and is repaid with their next direct deposit. Cash advances and a Credit Builder Secured Visa are also up for grabs, and there's the P2P service called Pay Anyone. However, you can't do joint accounts or wire transfers, and Chime doesn't offer CDs or MMAs.
Fee $0 per month

Best for credit building

Step Visa Card

9.4 Excellent

on Step's secure site
Read review
Step is a banking app with a secured card for building credit. No monthly fees, overdraft fees or opening deposit. The card works like a debit card, but it’s backed by your Step deposit account and auto-paid monthly with no interest. Earn up to 3% cash back at select brands and 1% to 2% on other purchases like dining, delivery and entertainment. If you want an upgrade, Step Black bumps rewards to up to 8%, adds Visa Signature event access and $1 million FDIC insurance. Step Black costs $4.99 a month, but that fee can be waived with $500 in monthly direct deposits. But there's no customer service phone line.
APY 3.00%
Fee $0 per month

Best for business checking

Bluevine Business Checking

9 Excellent

You can earn $500 when you open a new Bluevine Business Checking account and meet eligibility requirements. Apply with referral code CA300. T&Cs apply.
Read review
Bluevine is a fintech with business checking from FDIC-insured Coastal Community Bank. Standard at $0, Plus at $30 and Premier at $95 (paid plans also offer fee waivers). All plans include unlimited transactions, no overdraft or foreign transaction fees, some free checks, team tools, custom invoices and up to $3 million in FDIC coverage. The Standard plan earns up to 1.5% APY with qualifying activity, while paid plans offer 2.7% or 3.7% APY with no requirements. On the downside, there's only weekday support and a 2.9% credit card bill pay fee.
APY Up to 3.70%
Fee From $0 per month

Best credit union

Alliant Credit Union High-Rate Checking

8.4 Great

Prefer not-for-profit? Alliant Credit Union is online and open to almost anyone. Its high-yield checking has no monthly or overdraft fees or balance requirements, earns 0.25% APY, includes 80,000 free ATMs and up to $20 in out-of-network reimbursements. Outside the service area, join with a one-time donation to the Alliant Credit Union Foundation. Strong rates with few fees plus lending, investing, savings and CDs, teen checking and kid savings. But if you were looking for business banking, you're out of luck with Alliant.
APY 0.25%
Fee $0 per month

Best for cashback checking

Upgrade Rewards Checking Plus

8.6 Great

Read review
Upgrade is a fintech with banking partners. The Rewards Checking Plus account has no monthly or overdraft fees. Setting up direct deposit of at least $1,000 a month unlocks up to 2% cash back at convenience stores, drugstores, restaurants and bars up to $500 a year, plus 1% on other purchases. You get one free domestic wire per month and 55,000 Allpoint ATMs. But if you miss the deposit threshold the rewards drop, and you can't make cash deposits.
Fee $0 per month

Best for traveling

Capital One 360 Checking

9.2 Excellent

Earn a $250 bonus with 360 Checking. No fees, no minimums. T&Cs apply.
Read review
Capital One 360 Checking is a strong choice for travelers. The account has no foreign ATM fees, foreign transaction fees or currency conversion fees. And there are also no monthly fees or minimums. Access 70,000 fee-free Capital One and Allpoint ATMs, choose overdraft settings like auto-decline or a free transfer from another account, use Zelle and request checkbooks. But there's a $9 insufficient funds fee, so choose an overdraft protection option carefully if you want to avoid that.
APY 0.10%
Fee $0 per month

Best for budgeting

Ally Bank Spending Account

8.6 Great

Read review
Ally Bank is a large online bank. The Ally Spending account has no monthly or overdraft fees and offers buckets to organize savings or spending goals. The account is also interest-bearing, offering 0.1% APY for balances under $15,000 and 0.25% APY for balances higher than that. Ally’s savings and CD rates are strong, and it also offers mortgages, credit cards, auto loans and personal loans. To offset no branches, you get extended phone hours and 24/7 chat, but you can't make cash deposits.
APY Up to 0.25%
Fee $0 per month

Methodology

Finder’s banking experts analyze over 150 online federally-insured banks and fintechs to narrow down the best options. We chose the best options based on multiple factors, including state availability, monthly fees, mobile apps and more. We also favor online banks that accept cash deposits, although it’s not a requirement.

  • $0 monthly fee
  • $0 minimum opening deposits
  • $0 overdraft fees
  • Must be an online bank, credit union or fintech company
  • Available in all 50 states

How to compare free online checking accounts

Online banks may not have all the same products as traditional banks, but they make up for it with fewer fees, higher insurance coverage and top-of-the-line tech.

  1. Monthly fee. Online banks typically offer fee-free checking accounts. Traditional banks may nickel and dime you with monthly maintenance fees of $5 to $25 per month just to keep the account open.
  2. Insurance coverage. Some online fintech companies offer banking services through an FDIC-insured partner bank or a network of banks. Those that partner with more than one bank provide insurance that exceeds the typical $250,000 coverage amount, such as SoFi, which offers up to $3 million in FDIC coverage.
  3. Site and mobile app. Look for speed, accuracy and ease of navigatation on the bank’s website and online platform. After all, you’ll need to manage your account primarily online.
  4. Customer service. Some online banks are limited in terms of customer service, but many offer 24/7 chat support, phone support and automated chat support. Since you can’t visit a branch, make sure the customer service is accessible and offers extended support hours.
  5. ATMs. Most online banks don’t have their own ATM network. Instead, they’re part of a shared network of ATMs like AllPoint. However, many online banks don’t offer cash deposits, and those that do often use Green Dot locations, which typically charge a $4.95 fee.
  6. Savings APYs. Online banks consistently have some of the highest savings APYs in the market, including Varo, Upgrade and Marcus.

Are online banks worth it?

If you don’t need to make frequent cash deposits and are comfortable with online banking, the payout and convenience of digital banks can be worth the lack of branch access. Many of us have said goodbye to regular bank trips anyway, thanks to mobile and online banking.

But if you prefer branch access or frequently make cash deposits, a traditional bank or credit union may be more your speed.

Pros and cons of free online banking

Pros

  • Convenience. With bank apps and online portals, trips to the bank have nearly become obsolete. An app allows you to make mobile check deposits, access early paychecks, transfer funds between accounts, view bank statements, pay bills and much more.
  • No monthly fees. Since online banks don’t have to pay for physical branches, most offer checking and savings accounts without annoying monthly maintenance fees.
  • High APYs. For the same reason online banks often don’t charge monthly fees on deposit accounts, they can offer higher APYs and pass on more savings to their customers with high savings rates. Many online banks offer savings accounts with APYs around 5% — over 11 times higher than the national average of 0.40%.(1)
  • Souped-up mobile apps. Without physical branches, online banks are compelled to provide great mobile apps since that’s how their customers will manage their accounts. You’ll likely get mobile check deposit features, peer-to-peer payment options, budgeting tools, in-app chat features and much more.

Cons

  • No physical branches. Without branch locations, you’ll have to rely mainly on electronic communication to resolve issues, such as chat support or email. If possible, look for an online bank with a customer support phone line.
  • May not accept cash deposits. Unless the online bank has an ATM network that can accept cash, you’ll have to do electronic transfers or mobile check deposits.
  • Limited account options. Some online banks, like Ally or SoFi, only offer one or two account options. Traditional banks like Wells Fargo or Chase tend to offer various account options.

Digital banking adoption

Digital banking is growing in popularity in the US, with roughly 37% of American adults saying they do at least some of their banking online, and 19% saying they exclusively bank online.

How to open an account with an online bank

Opening a bank account online is pretty straightforward:

  1. Visit the bank’s site.
  2. Select the account you want.
  3. Follow the application instructions.

You may need to submit some documents to verify your identity, such as a driver’s license or government-issued identification, and provide a deposit via ACH transfer from an existing, external bank account.

Bottom line

Choosing the best online bank for your needs ensures you can manage your money with ease wherever life takes you. Learn more about how online banking works so you know what to expect when you open and set up your account.

Frequently asked questions

What is the best online bank?

A few of the best online banks include SoFi, Ally Bank, First Internet Bank and Axos Bank. These banks are FDIC-insured on their own and have accounts with low fees and high savings rates.

Can you trust an online bank?

The most important factor when choosing an online bank is making sure it has FDIC or NCUA insurance. Typically, banks offer up to $250,000 in coverage, meaning that if the bank were to fail, your deposit accounts are covered up to that amount.

Just keep in mind that deposit insurance is per depositor, not per deposit account. If you need more insurance, look to banks or fintechs like SoFi, Wealthfront or Bluevine for higher-than-average deposit insurance.

What’s the easiest bank account to open?

Most online banking options have fast and easy online applications that can be completed in minutes, and approval can be sent near-instantly. Online banks with quick applications that only take a few minutes to complete include SoFi, Axos and Ally Bank.

Sources

Holly Jennings's headshot
To make sure you get accurate and helpful information, this guide has been edited by Holly Jennings as part of our fact-checking process.
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Written by

Banking editor

Bethany Hickey is the banking editor and personal finance expert at Finder, specializing in banking, lending, insurance, and crypto. Bethany’s expertise in personal finance has garnered recognition from esteemed media outlets, such as Nasdaq, MSN, Yahoo Finance, GOBankingRates, SuperMoney, AOL and Newsweek. Her articles offer practical financial strategies to Americans, empowering them to make decisions that meet their financial goals. Her past work includes articles on generational spending and saving habits, lending, budgeting and managing debt. Before joining Finder, she was a content manager where she wrote hundreds of articles and news pieces on auto financing and credit repair for CarsDirect, Auto Credit Express and The Car Connection, among others. Bethany holds a BA in English from the University of Michigan-Flint, and was poetry editor for the university’s Qua Literary and Fine Arts Magazine. See full bio

Bethany's expertise
Bethany has written 492 Finder guides across topics including:
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2 Responses

    Default Gravatar
    CandyDecember 9, 2018

    Does bank of America have a fee free checking account if so where do I apply

      Default Gravatar
      nikkiangcoDecember 12, 2018

      Hi Candy,

      Thanks for reaching out! Upon checking, Bank of America doesn’t have a fee free checking account. Hope this was helpful. Don’t hesitate to message us back if you have more questions.

      Best,
      Nikki

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