Finding the right checking account to meet your needs can be a challenge. Some common checking account must-haves include low minimum balance requirements, no monthly fees, overdraft protection, and widespread ATM networks so you can access your money easily. But not every checking account includes all of these features.

So how do you go about finding the best checking account for you? Here’s what to consider.

Table of contents

• How to find the best checking account for you

• How to find the best online checking accounts

• How to open a checking account

• Frequently asked questions

How to find the best checking account for you

With so many checking accounts available from banks and credit unions these days, your account options are seemingly endless, and choosing one can feel overwhelming.

The good news is that if you don’t want to spend a ton of time comparing checking accounts and hunting down the best options, we did the heavy lifting for you. Our team of experts identified the best free checking accounts available today based on key metrics including monthly fees, overdraft fees, ATM reimbursements, rewards, bonuses, and more.

See our top picks for the 10 best free checking accounts>>

If getting the highest interest rate is most important to you, we also compared and ranked the top high-yield checking accounts from online banks.

See our top picks for the 10 best high-yield online checking accounts>>

However, if you’d prefer to do your own research and compare your options, we get it. Here are the most important factors you should consider when choosing a checking account.

1. Understand your needs

All checking accounts have the same basic features: They allow you to deposit funds and withdraw them as needed using checks, a debit card, or electronic transfer.

Other features and perks vary widely across financial institutions, and the right account for you depends on your banking preferences.

There are several types of checking accounts. Depending on the bank you choose, you may have the following options:

• Free checking: A free checking account is open to anyone 18 or older. These accounts do not have monthly maintenance fees and tend to charge few fees in general.

• Student checking: These accounts are intended for teens or young adults attending school. They usually have low minimum deposit requirements and no monthly fees. They also may earn higher interest rates than the typical checking account.

• Senior checking: Senior accounts are for older adults — usually those 55 and older. Again, they tend to have low minimum balance requirements and few, if any, fees.

• Interest checking: Most checking accounts pay little to no interest, so your balance won’t grow over time. However, some interest-bearing checking accounts allow you to earn a return on your balance. The catch: Interest checking accounts often have monthly fees or minimum balance requirements. Be sure to read the fine print if you open one of these accounts.

• Rewards checking: A rewards checking account allows account holders to earn cash back or points on purchases. For example, you may earn 1% cash back on purchases made with your debit card. However, you usually must maintain a certain balance or complete a minimum number of transactions to qualify for the rewards. There may also be monthly fees involved.

• Online checking: Many banks offer online checking accounts, which you can open and manage digitally. These can make it easier to pay bills, transfer money, and manage your account no matter where you are.

Read more: The 10 best online banks of 2024

2. Research financial institutions

Once you know the type of checking account you want, you can decide on the best place to open one. Options include:

• Banks: They offer a wide range of account types and services, including checking accounts. You can choose from large national banks, regional banks, or community banks, all of which have their own unique advantages and drawbacks. There are also banks that operate exclusively online.

• Credit unions: Credit unions are not-for-profit financial cooperatives. You must qualify for membership with a credit union in order to open an account (though there are some credit unions anyone can join). Because credit unions are nonprofits, they tend to have lower fees and more competitive interest rates than for-profit banks.

• Neobanks and fintech companies: These ​financial institutions usually have a digital focus and provide checking accounts with innovative features such as early direct deposit and no overdraft fees. Examples include SoFi and Chime.

Regardless of which type of institution you choose, make sure it’s backed by either the Federal Deposit Insurance Corporation (FDIC) or National Credit Union Administration (NCUA), which insures deposits up to $250,000, protecting your money if the institution fails.

Read more: Credit union vs. bank: Which is right for you?

3. Compare fees

Checking account fees vary by financial institution, so it’s important to compare fees and choose a low-cost account. Common fees to look out for include:

• Monthly fees: Monthly service fees, also known as monthly maintenance fees, are charged by some banks to cover the cost of administering the account. However, some banks will waive monthly fees if you meet certain criteria, such as maintaining a minimum balance or setting up direct deposit.

• Overdraft fees: These are fees you may incur if you spend more than your available balance, putting your account in the red. Overdraft fees can be steep — around $35 per transaction.

• Non-sufficient fund fees: Non-sufficient fund (NSF) fees are similar to overdraft fees. If the bank declines a transaction because you don’t have enough money in your account to cover it, you may be charged an NSF fee (the average penalty is $34).

• ATM fees: Most financial institutions have their own network of branded, fee-free ATMs. If not, they’re often part of free ATM networks. However, if you use an ATM outside of your bank’s network, you may incur a fee. The average out-of-network ATM fee is $4.73.

4. Consider added features

Some banks and credit unions offer additional perks and services to help customers get the most value from their checking accounts. Some features you may be interested in include:

• Interest: Checking accounts don’t always pay interest, but some do. Make sure to compare rates if you’re looking for an interest-earning checking account. The national average rate for an interest-earning checking account is 0.08%, but many banks and credit unions offer rates upwards of 1% or more.

• Mobile banking: Mobile banking apps are increasingly popular among those who prefer to manage their money on the go, but not all banks have one. If mobile banking is important to you, find out if the checking account you’re considering offers this tool. Having access to a mobile app can make it easier to check your account balance, pay bills, transfer money between accounts, and more.

• ATM fee reimbursement: Some checking accounts offer reimbursements or rebates for out-of-network ATM fees. Learn more about how to avoid ATM fees.

• Free checks: Banks and credit unions often provide customers their first box of checks for free, but may charge for additional checks. However, some accounts come with free checks.

• Overdraft protection: Overdraft protection is a feature that allows a transaction to go through even when you don’t have sufficient funds in your account to cover it. It acts as an extra cushion for your account and helps you avoid the inconvenience of a declined transaction. This service often comes with a fee, but it’s usually much lower than an overdraft or NSF fee.

• Bonuses: Some banks offer cash incentives to new customers who open checking accounts. In most cases, a bank will require that you meet certain requirements to qualify for a bonus. See our list of the best checking account bonuses available here.

How to find the best online checking accounts

These days, you probably turn to the internet for news, entertainment, and shopping … so why not your checking account? Online checking accounts make it easier than ever to manage your money and often come with lower fees and higher interest rates than traditional checking accounts.

When it comes to opening an online checking account, the choices can seem overwhelming. There are more than 350 digital banks alone. Plus, many brick-and-mortar banks and credit unions offer online accounts. So how do you go about selecting the right one?

If you’re interested in finding the top online checking accounts specifically, there are certain features you should keep in mind in addition to what we outlined above.

What is an online checking account?

An online checking account is just that — a checking account that you can open and manage via the web. There’s no need to visit a local branch to perform basic tasks such as depositing checks, reviewing transactions, or sending payments. These accounts are offered by traditional banks, credit unions, and online banks.

Benefits of online checking accounts

You might be wondering why anyone would want a bank account that exists online only. After all, doesn’t that make it harder to manage your money and keep it safe from hackers?

Quite the opposite, actually. Online checking accounts come with several benefits:

• Access anywhere: You can view your balance, make deposits, pay bills, and more, as long as you have a computer and internet access.

• Bank from your phone: Many banks that offer online checking accounts also have a mobile app, allowing you to perform all these tasks from your phone or tablet. Most allow for mobile check deposit, where you can deposit a check to your account just by snapping a picture.

• Electronic transfers: Online checking accounts allow for electronic bill payment and transfers between accounts, eliminating the need for writing checks or visiting a physical branch or ATM.

• ATM networks: Worried about how you’ll pull out cash? Most providers of online bank accounts are part of national ATM networks, such as Allpoint. These allow checking account customers to use any ATM in the network without incurring a fee.

• Lower fees: Because online accounts don’t come with the same overhead costs as traditional accounts, those savings are often passed on to account holders in the form of lower (or no) fees. In some cases, the interest rates may be higher, too.

• Easy setup: One major perk of online accounts is that you can set them up in a matter of minutes. There’s no scheduling an appointment with a local banker or driving up to a branch location. You can open your account from anywhere using only your computer or smartphone.

Are online checking accounts safe?

It’s important not to downplay the risks that come with managing your financial life online. However, the best online checking accounts should have robust security measures in place. And there are things you can personally do to keep your banking information out of the hands of identity thieves.

For one, your bank's website and mobile apps should use strong encryption to protect your personal and financial information. Many banks also employ two-factor authentication, which requires you to verify your identity using two separate methods before you can access your account. For example, after entering your password, you might have to enter a code sent to your phone.

Another security measure to look out for is automatic logout. If you're inactive on your online account or mobile app for a certain period, the bank should automatically log you out of your account. This helps to protect your information if you accidentally leave your device unattended.

Features to look for in the best online checking accounts

1. Fees

The fees associated with an online checking account are one of the most important factors to consider. Fees can hurt your bottom line and wipe out any interest earnings or rewards your account offers.

Some financial institutions charge monthly maintenance fees. You may also be charged fees for using out-of-network ATMs, receiving paper statements, and more. So be sure to choose an online checking account with low fees.

2. Minimum balance requirements

Many banks require a minimum deposit in order to open an account. In some cases, you may also be required to maintain a minimum balance. Failing to maintain this minimum will often result in a fee, so make sure you’re confident you can meet a bank’s minimum balance requirements before opening your account.

3. Interest rates

The primary purpose of a checking account is to manage daily transactions, not grow long-term savings, so checking account rates tend to be much lower than those offered on savings accounts. That said, it can be nice to earn a little extra return on the money you have sitting in your account.

Currently, the average checking account rate is just 0.08%. However, some higher-yield online checking accounts offer rates of 1% or higher.

4. ATM access

If you use cash frequently or travel often, you’ll want to consider the bank's ATM availability. Again, banks and credit unions that provide online checking accounts often belong to surcharge-free ATM networks, but that’s not always the case. Additionally, some online banks reimburse any fees incurred for using out-of-network ATMs as an added perk.

5. Digital banking tools

With an online checking account, the bank's digital features are even more important, including the usability of their mobile app and online banking platform. Find out if the account comes with helpful features such as mobile check deposit, bill pay, money transfer options, and real-time bank alerts.

You should also find out if your checking account works with Zelle or similar peer-to-peer payment platforms. You can often use these to pay bills, service providers, and friends and family.

6. Customer service and reputation

Since online banks don’t have physical branches, strong customer service is important. You should be able to reach a representative through various channels, including phone, email, live chat, and social media. Some even offer 24/7 support.

You’ll also want to find out whether the bank is reputable overall. Sites such as the Better Business Bureau and Trust Pilot can give you an idea of what other customers’ experiences have been. Comb through reviews and see if you notice any themes regarding account issues.

Finally, you’ll also want to double-check that the institution is federally insured by the FDIC or NCUA.

Managing your online checking account

Once you’ve opened your checking account, be sure to monitor your account carefully.

Regularly check on your transaction activity, set up bank alerts, and periodically change your password. If you spot suspicious activity or transactions you don’t recognize, report it to your bank immediately.

How to open a checking account

Whether you choose to open a checking account in person or online, you will generally need to provide information about yourself so the bank can verify your identity. Below is a checklist of information and documentation you should have handy when applying for a checking account:

• Identification, such as a driver’s license or passport

• Your Social Security number or taxpayer identification number

• Proof of address, such as a utility bill that lists your name and address

• Money for the initial deposit (typically between $25 and $100)

Once you submit your application, the bank will verify your information and run a deposit account inquiry through a system such as ChexSystems. If your application is approved, you can start using your account immediately (though it may take a few days to receive your debit card and checks).

If you receive your paycheck or government benefits via direct deposit, make sure you the appropriate parties have your new checking information, including account and routing numbers.

Read more: Can non-U.S. citizens open a bank account?

Frequently asked questions

Do checking accounts earn interest?

Interest-earning checking accounts do exist. However, high-interest checking accounts are somewhat rare. Based on the most recent data from the FDIC, interest-earning checking accounts have an average APY of 0.08%.

If you’re looking for an FDIC-insured account that offers high interest rates, a high-yield savings account may be a better option for your personal finance goals.

Can I have two checking accounts at the same bank?

Each bank has its own policies, but having more than one checking account with the same bank is usually possible for qualifying customers. Check with your bank to learn about the process for opening a second checking account. While some allow you to open another account online and link it to your online banking, others may require you to contact them or open the account in person.

Can you open a checking account online?

Yes, you can open a checking account online in many cases. Online banks and credit unions offer this option, as do many traditional brick-and-mortar banks.

What are some alternatives to checking accounts?

If a checking account doesn’t sound like the best fit for your personal financial needs, consider the following alternatives:

• Savings accounts: A savings account is best for specific savings goals, such as building an emergency fund. While savings accounts usually pay higher interest rates than checking accounts, they often have monthly withdrawal limits and typically don’t come with debit cards or checks.

• Money market accounts: Money market accounts have rates comparable to savings accounts but often come with a debit card and/or checks as well. Monthly withdrawal limits may apply.

• Prepaid debit cards: Prepaid debit cards are similar to debit cards, except they aren’t connected to a checking account. They’re also known for charging high fees.

• Cash management accounts (CMAs): A cash management account combines certain features of checking and savings accounts. CMAs are available at brokerages and investment firms rather than banks or credit unions.