What you need to do to open a savings account

Opening a savings account takes about 15 minutes online or 30 minutes in a branch. You'll need a government-issued ID, proof of your address, and your Social Security number. Most banks let you start the process on their website or app, finish it in person, or complete it entirely online depending on the bank and your state. You can open an account with as little as $0 to $25 at many banks, though some require a minimum deposit.

The actual steps are straightforward: choose a bank, gather your documents, fill out the account application, verify your identity, and make your first deposit if required. Some banks complete this in minutes; others take a few business days to verify everything. Once your account is open, you can start depositing money right away.

Key Takeaways

  • You need a government ID, proof of address, and your Social Security number to open any savings account.
  • Most banks let you open an account online, by phone, or in person, and the process usually takes 15 to 30 minutes.
  • Minimum opening deposits range from $0 to $25 at most banks, though some require more.
  • Your account is usually ready to use within one business day, though some banks activate it immediately.
  • You can deposit money by transferring it from another bank account, using a debit card, or depositing cash in person.

Gather the documents you'll need

Before you start, have these three things ready: a government-issued photo ID (driver's license, passport, or state ID), a recent piece of mail or utility bill showing your current address, and your Social Security number. The bank uses the ID to confirm you are who you say you are, the address to verify where you live, and your Social Security number to check your banking history and prevent fraud.

If you don't have a government ID yet, you'll need to get one first—banks cannot open accounts without it. If you're not a U.S. citizen, some banks accept an Individual Taxpayer Identification Number (ITIN) instead of a Social Security number, but you'll need to call ahead to confirm. If you've moved recently and your ID doesn't match your current address, bring both your ID and a recent bill or lease showing your new address.

Choose a bank and account type

Decide whether you want to bank online, in person, or both. Online-only banks (sometimes called direct banks) have no physical branches but usually offer higher interest rates on savings. Traditional banks have branches where you can deposit cash and talk to someone in person, but their interest rates are often lower. Credit unions are member-owned and sometimes offer rates between the two, but you have to be a member to open an account.

Once you've picked a bank, look at their savings account options. Most banks offer a basic savings account, but some have high-yield savings accounts that pay more interest, money market accounts that work like savings accounts but sometimes require larger deposits, or certificates of deposit (CDs) that lock your money away for a set time in exchange for higher interest. For your first account, a basic savings account is usually the right choice.

Start your application online or in person

If you're opening online, go to the bank's website or download their app and look for a button that says "Open an Account" or "get your free guide." You'll fill in your name, address, date of birth, Social Security number, and employment information. The form usually takes 5 to 10 minutes. Some banks let you finish the whole process online; others will ask you to verify your identity in person or by video call before your account is active.

If you're opening in a branch, bring your ID and address proof and ask to speak with someone about opening a savings account. They'll walk you through the same information on a form or computer, answer questions about fees and interest rates, and often can activate your account on the spot. Either way, read the account agreement before you submit—it explains the bank's fees, how interest is calculated, and what happens if your balance drops below any minimum.

Verify your identity and activate your account

After you submit your application, the bank verifies who you are. Online banks usually do this through a video call where you show your ID to a representative, or by asking you questions only you would know (based on your credit history). This step usually takes a few minutes to a few hours. Some banks send a code to your phone or email that you enter to confirm you control that number.

Once verification is complete, your account is active. Some banks activate accounts immediately; others wait until the next business day. You'll receive a confirmation email with your account number and routing number. If you opened in a branch, you may get a debit card on the spot or have one mailed to you within 5 to 10 business days.

Make your first deposit

Most banks don't require a minimum opening deposit, but some do—usually $25 to $100. Check the bank's website or ask before you open the account. You can deposit money in several ways: transfer it from another bank account (the fastest method, usually taking 1 to 3 business days), use a debit card to fund the account, deposit cash at a branch or ATM if the bank has one, or mail a check (slowest, taking 5 to 10 business days).

If you're transferring from another bank, you'll need that bank's routing number and your account number there. The bank will ask you to confirm a small deposit (usually under $1) that they send to your old account—you then tell them the amount to prove you control that account. After that, larger transfers go through automatically. If you're depositing cash, bring it to a branch or use the bank's ATM if they have one.

Understand fees and how interest works

Before your account is open, know what fees the bank charges. Most savings accounts have no monthly fee, but some charge $5 to $15 per month if your balance drops below a minimum (often $500 to $1,000) or if you make too many withdrawals. Some banks charge a fee if you close the account within a certain time period. Read the fee schedule on the bank's website or ask in the branch.

Interest is money the bank pays you for keeping your money there. The rate varies by bank and changes over time—it's usually between 0.01% and 5% depending on the bank and current economic conditions. The bank tells you the Annual Percentage Yield (APY), which is the actual amount you'll earn in a year. A higher APY means you earn more money. Interest is usually deposited into your account monthly, and you can leave it there to earn interest on your interest (called compounding).

Frequently Asked Questions

Can I open a savings account if I have bad credit?

Yes. Banks don't check your credit score to open a savings account—they only check your banking history through ChexSystems, a system that tracks overdrafts and fraud. Even if you're on ChexSystems, many banks will still open an account for you. Call ahead and ask if the bank accepts customers with banking history issues.

How long does it take to open an account?

Online applications take 15 to 30 minutes to complete. Identity verification can happen immediately (through video call) or take up to one business day. In-branch accounts are usually active the same day. You can start using your account as soon as it's verified, though transfers from other banks take 1 to 3 business days to show up.

What's the difference between a savings account and a checking account?

A savings account is meant for money you're keeping and earning interest on. A checking account is meant for money you spend regularly—it comes with a debit card and checks. Savings accounts limit how many withdrawals you can make per month (usually 6), while checking accounts don't. You can have both at the same bank.

Do I need to keep a minimum balance?

It depends on the bank and account. Many banks have no minimum balance requirement. Others require $500 to $2,500 to avoid a monthly fee. Check the bank's fee schedule before you open the account. If you can't meet the minimum, choose a bank with no minimum requirement.

Can I open an account for someone else?

No, you can only open an account in your own name using your own ID and Social Security number. If you want to open an account for a child, you'll open a custodial account in their name, but you'll be the legal guardian and control the account until they reach adulthood (usually 18 or 21, depending on your state).