As you compare our best online banks, you'll find that student accounts are specifically designed with young adults in mind. These accounts typically offer valuable perks like minimal fees, convenient digital access, and reward programs that match student lifestyles.
In this guide, we'll explain everything you need to know about student bank accounts, from essential features like fee structures and mobile banking capabilities to money-transfer options like Zelle.
What Is a Student Banking Account?
A student banking account is a checking or savings account tailored for college students. These accounts typically offer benefits like waived fees, no or low minimum balance requirements, and access to online and mobile banking platforms. Some accounts also include free overdraft protection, ATM fee reimbursement, and discounts on financial products like credit cards or loans.
Expert Tips: Find the Best Bank Account for College Students
Here's what you may prioritize when searching for a student bank account:
Opt for no minimum balance requirements: Your account balance will likely fluctuate throughout the semester as you manage expenses like textbooks, meal plans, and daily costs. Look for banks that understand this pattern and don't penalize you for maintaining a low balance, especially during end-of-term periods when funds typically run low.
Consider ATM access and fees: Will you need regular access to cash for campus dining, local businesses, or social activities? Choose a bank with ATMs near your dorm, classes, or frequent hangout spots. Better yet, find one that reimburses out-of-network ATM fees, giving you flexibility when you're traveling or visiting home.
Consider overdraft protection: Even with careful budgeting, college expenses can be unpredictable. Prioritize banks offering robust overdraft protection or zero-fee policies. Some banks provide automatic transfers from savings accounts or send low-balance alerts before transactions post, helping you avoid costly overdraft charges.
Our Best Student Banking Account Options - Breakdown
1. Chime
- Great for: Students with tight budgets
- Fees: No minimum balance, monthly fees, or overdraft fees
- ATMs: 50,000+ fee-free ATMs
- Minimum deposit and balance requirements: $0
- Payment transfer options: In-app transfer to anyone
- Bonuses or promotions: None currently, but often offers a referral bonus
Chime provides a straightforward digital banking experience tailored for students on a budget. With no monthly fees and features like early direct deposit and fee-free overdraft protection through SpotMe®, Chime ensures that students can access their funds without worry.
The app’s intuitive design simplifies money management, while a network of over 50,000 fee-free ATMs makes it easy to withdraw cash whenever needed.
2. Discover
- Great for: Students prioritizing cashback perks
- Fees: no-fee
- ATMs: 60,000+ fee-free ATMs
- Minimum deposit and balance requirements: $0
- Payment transfer options: Zelle
- Bonuses or promotions: 1% cashback up to $3,000 in debit card purchases each month
Discover Cash Back Debit is perfect for students who want to earn rewards while managing their finances simply. With 1% cash back on debit card purchases up to $3,000 each month and no monthly maintenance fees, this account maximizes both savings and convenience.
The Discover mobile app offers powerful tools for tracking spending and rewards, along with access to over 60,000 fee-free ATMs nationwide.
What Is the Minimum Deposit to Open a Student Checking Account?
Most banks recognize that students often have limited financial resources, leading many to offer student checking accounts with low or no minimum deposit requirements. This is particularly true for online banks, which tend to have more flexible policies than traditional ones.
Traditional Banks: Some traditional banks may require a small opening deposit, typically ranging from $25 to $100. For example, the US Bank Student Checking Account has a minimum deposit requirement of $25.
Online Banks: Many online institutions allow students to open accounts with as little as $0. Accounts like the Chase College Checking Account and the Discover Bank Student Checking don’t require any initial deposit.
How Much Should a Student Have in Their Bank Accounts?
The amount of money a student should keep in their bank account depends on individual circumstances, including living expenses, part-time work income, and savings goals. Most student checking account balances range between $500 and $1,500, with higher balances typically occurring at the start of each semester after financial aid disbursements and lower balances toward the end of the term.
Financial experts recommend maintaining a balance that covers at least one month of essential expenses like rent, food, and transportation. For students with irregular income from part-time jobs or allowances, a cushion of $500 to $1,000 can help avoid overdrafts and unexpected fees.
Pros and Cons of Student Banking Account
| Pros | Cons |
|---|---|
No or low monthly fees | Once you graduate, you may be switched to a graduate or standard account |
No minimum balance requirements | Limited ATM network for some banks |
Free ATM withdrawals | Fewer in-person branches for online banks |
Higher interest rates for savings (in some cases) | Overdraft fees for some accounts |
How To Choose a Student Banking Account
Once you've identified banks with student-friendly features, consider these factors to find your best match:
Compare fees: Avoid banks that charge monthly maintenance fees, overdraft fees, or low balance fees; these can eat into your limited budget.
Assess mobile banking access and ease of use: Students rely heavily on mobile banking. Key features should include mobile check deposits, budgeting tools, and instant notifications.
Look for banks with high-yield savings options and student incentives: Choose accounts that cater specifically to students, offering features like cashback on debit card purchases, discounts, or higher savings interest rates.
Customer service support: Access to 24/7 support can be invaluable, especially if you encounter issues while studying late or traveling. Check whether the bank offers live chat, phone support, or in-person assistance.
Flexible terms after graduation: Research that your student account remains affordable after you leave school before opening an account. Some accounts for students transition into regular accounts with higher fees or balance requirements.
How To Open a Student Banking Account
Opening a student banking account is a straightforward process, but you should ensure you have all the required documents and information ready. Here’s a step-by-step guide to help you get started:
Step 1: Research Your Options
Start by researching banks that offer student-specific banking accounts. Compare features like minimum deposit requirements, fees, and benefits to find the one that best suits your needs.
Step 2: Gather Required Documentation
To open a student banking account, you’ll typically need the following documents:
Valid government-issued ID: A driver's license, state ID, or passport.
Proof of enrollment: A student ID, transcript, or a letter from your educational institution confirming your current enrollment status.
Social Security Number (SSN): This is required for identification purposes.
Proof of address: Utility bills, lease agreements, or other documents to verify your current address.
Initial deposit: Some banks require a small initial deposit to open an account, though many student accounts have a $0 deposit requirement.
Step 3: Submit Your Application
Once you’ve chosen a bank and gathered your documents, you can apply online or visit a local branch. During the application process, you’ll provide your personal information, submit the required documents, and make your initial deposit (if applicable).
Step 4: Verification Process
After you submit your application, the bank will verify your identity and enrollment status. Depending on the bank, this may take a few days. Once verified, you’ll receive your debit card and access to online banking tools.
How To Get a Student Banking Account Bonus
Many banks offer promotional bonuses for new student account holders. These bonuses can provide a financial boost, but they often come with specific terms and conditions. Here's an overview of how you can qualify for these bonuses:
Step 1: Look for Promotional Offers
Some banks, like Chase and Bank of America, periodically offer bonuses (e.g., $100 to $300) for new student checking accounts. These promotions are typically advertised on the bank’s website or through partner deals.
Step 2: Set Up Direct Deposit
To qualify for most student banking bonuses, you’ll need to set up direct deposit within a specific time frame (usually 60 to 90 days after opening the account). Direct deposits can come from a paycheck, financial aid disbursements, or government payments.
Step 3: Meet Minimum Balance Requirements
Some promotional offers may require maintaining a minimum balance in your account for a set period (e.g., $500 for 30 days). Be sure to read the fine print to ensure you meet all balance requirements to receive the bonus.
Step 4: Monitor Your Account
After meeting the requirements, banks typically credit the bonus to your account within 10 to 30 days. Check your account to ensure the bonus is deposited as promised.
Tips for Qualifying for Bonuses
- Sign up at the right time: Bonuses are often offered at the beginning of the school year, so be on the lookout for promotions during the fall semester.
- Direct deposit timing: If you have a part-time job or receive financial aid, set up direct deposit right away to meet the bank's bonus requirements.
- Keep track of deadlines: Some offers are only valid within the first few months of opening an account, so ensure you complete the necessary actions within the required time frame.
Student Banking Account vs. Regular Checking Account
Here’s a comparison table highlighting the key differences between a student banking account and a regular checking account:
| Feature | Student Banking Account | Regular Checking Account |
|---|---|---|
| Monthly fees | Typically no monthly fees or fees are waived during enrollment | May have monthly maintenance fees (e.g., $10 to $15) |
| Minimum balance requirements | Usually low or no minimum balance requirement | Often requires maintaining a minimum balance to avoid fees |
| Overdraft protection | May offer free or reduced overdraft protection options | Overdraft protection available, often with associated fees |
| Age restrictions | Generally available for students aged 18 to 24 | No specific age restrictions |
| Requirement of student status | Requires proof of current enrollment | No student status required |
| Availability of joint accounts | Some banks allow joint accounts with a parent or guardian | Joint accounts are usually available for anyone |
Student banking accounts are designed to accommodate the unique needs of students, with flexibility around fees, balances, and age restrictions, making them a more attractive option for college students than regular checking accounts.
However, remember that individual offers may vary by financial institution. For precise details, it's best to consult the terms and conditions of specific student and regular checking accounts from the banks you're considering.
Bottom Line
Student banking accounts offer specialized features that align with college life—from waived fees and minimal balance requirements to mobile tools and overdraft protection. While these accounts help build money management skills, choosing the right one depends on your specific needs and banking habits. Compare key features and long-term benefits to find an account that supports your financial journey through college and beyond.
Disclaimer
Chime is a financial technology company, not a bank. Banking services and debit card provided by The Bancorp Bank or Stride Bank, N.A.; Members FDIC. Chime Checking Account is required to be eligible for a Savings Account.
* Out-of-network ATM withdrawal fees may apply except at MoneyPass ATMs in a 7-Eleven, or any Allpoint or Visa Plus Alliance ATM. Cash deposit or other third party fees may apply.
*Eligibility requirements apply. Overdraft only applies to debit card purchases and cash withdrawals. Limits start at $20 and may be increased up to $200 by Chime. See chime.com/spotme.
^Early access to direct deposit funds depends on the timing of the submission of the payment file from the payer. We generally make these funds available on the day the payment file is received, which may be up to 2 days earlier than the scheduled payment date.
⁺The Annual Percentage Yield (“APY”) for the Chime Savings Account is variable and may change at any time. The disclosed APY is accurate as of October, 25th, 2022. No minimum balance required. Must have $0.01 in savings to earn interest.
¹ Round Ups automatically round up debit card purchases to the nearest dollar and transfer the round up from your Chime Checking Account into your savings account. Save When I Get Paid automatically transfers 10% of your direct deposits of $500 or more into your savings account.
² FDIC deposit insurance limit to $250,000 per depositor, per insured bank, per ownership category. For Stride Savings Account depositors, funds are eligible for FDIC insurance when it arrives at the bank. Please visit www.chime.com/savings-apy-and-program-banks/ for more details on FDIC insurance.
³ Sometimes instant transfers can be delayed. The recipient must use a valid debit card to claim funds. See your issuing bank’s Deposit Account Agreement for full Pay Friends Transfers details.
⁴ The average national savings account interest rate of 0.17% is determined by FDIC as of September 19, 2022 based on a simple average of rates paid (uses annual percentage yield) by all insured depository institutions and branches for which data are available. Visit National Rates and Rate Caps to learn more.
⁵ Chime will be offering members a chance to get their federal tax refund up to 5 days early when they file directly with the IRS and direct deposit with Chime. Getting your federal tax refund early is simple, just sign up for a Chime Checking Account, file your return with the IRS, and set up your tax refund to direct deposit into your Chime Checking Account. After setting up direct deposit, members will also be eligible to get regular paychecks up to 2 days early^.
Banking services and debit card provided by The Bancorp Bank N.A. or Stride Bank, N.A., Members FDIC, pursuant to a license from Visa U.S.A. Inc. and may be used everywhere Visa debit cards are accepted.
*To qualify for Bonus: Apply for your first Discover Online Savings Account, enter Offer Code NI924 at
application, deposit into your Account a total of at least $15,000 to earn a $150 Bonus or deposit a total
of at least $25,000 to earn a $200 Bonus. Qualifying deposit(s) may consist of multiple deposits and
must post to Account within 45 days of account open date. Maximum bonus eligibility is $200.
What to know: Offer not valid for existing or prior Discover savings customers, including co-branded, or
affinity accounts. Eligibility is based on primary account owner. Account must be open when bonus is
credited. Bonus will be credited to the account within 60 days of the account qualifying for the bonus.
Bonus is subject to tax reporting. Offer ends 03/13/2025, 11:59 PM ET. Offer may be modified or
withdrawn without notice. Due to new customer funding limits, you may wish to initiate fund transfers at
your other institution. For information on funding your Account, see FAQs on DiscoverBank.com.
