How To Open Checking Account Online Instantly | Top 9 Best Banks

If you are making plans for personal finances, you’ll want to remember that a checking account is at the center of any such plans. This is where you will deposit your paychecks,  pay your monthly bills, as well check your balance to see how much is available for expenses. To get the most out of your checking account, it is vital to make sure it is both convenient and affordable. In effect, those are two of the essential benefits to open checking account online instantly.

Apart from saving time by avoiding long queues at the bank or saving cash by escaping costly charges, the array of benefits of online checking accounts can go a long way to simplify your finances plus your life. They include:

How To Open Checking Account Online Instantly

1. Easier Finances Management

Many people might ask themselves; Can I open a checking account online? The straight answer is Yes. As the need for digital-based solutions keeps growing, banks are optimizing their services to stay up to speed with these developments. As such, you can open a free online checking account no opening deposit and start enjoying the many perks that come with it.

Accessibility is one of the biggest benefits of an online checking account. With features such as low fees and getting balance information on the go, you do not have good enough grounds not to open online checking accounts.

When all you have to do is logging in online to access your account, the teller window will never shut down in this setup. Simply transfer funds, pay bills, and check your balance from nearly anywhere. Whether you are traveling or at home, mobile and online banking give you the opportunity to instantly attend to financial issues.

With the ability to open a free business checking account online with no deposit, you can manage your business finances without the inconveniences of time-wasting lines at a physical branch. This is particularly useful for freelancers and small business owners, where time is vital for proper management.

Besides, the ability to closely monitor your finances is not just about convenience. Being able to regularly, review your account makes it easier to spot any fraudulent transaction details. The best part of an online checking account is to set up alerts via email, phone or text message notifications to unusual activity.

2. Get peace of mind with automated functions

Do you ever feel like your to-do list is infinite? Welcome to the club. The odds are, you are looking at a significant amount of financial activities that require checking off that increasing list. An advantage of online checking accounts is they often come with automated features and tools. For instance, you can utilize an online pay bill to make certain all your bills are paid on time.

Also, automatic transfers are another great benefit to open checking account online instantly. This feature allows consumers to save for the future. This means you get to set up an automatic transfer from the online checking account to a savings one online. If you want, you can as well build up a fund for one of your vital financial goals, such as travel or emergency fund, without difficulties.

If you are always behind schedule with your offline filing system, online checking accounts allow you to sign up for electronic statements, which greatly reduce incoming mail. When it comes to filing tax returns, open a business checking account from where you will download all your financial activity details into a spreadsheet, and have your accountant work on the remaining bits.

3. Save time with online checking

You spend a lot of time waiting in line to deposit or make withdrawals, sorting mail, and paying bills. This time can add up. A good thing with online checking accounts is that they save time. In the place of running to the local bank, all you have to do is use the mobile app to transact.

4. Plenty of rewards

It is only recently that consumers started realizing their checking accounts can earn them money with their money. Initially, most people would think of a certificate of deposit, a savings account, or an investment vehicle. However, online checking accounts can earn you rewards as well.

Concerning the type of online checking account you sign up for, you can receive cash backs for using a debit card for making purchases. With Discover Cashback Debit, for instance, consumers are able to earn a 1% cashback every month if they use the debit card to make purchases.

If you are worried about paying interest and overspending, which are often linked with credit card balance, using an online checking account with a proper rewards structure can be a good alternative.

5. Payless and lower fees

Another benefit of online checking accounts is it might have less and lower charges in comparison with checking accounts at brick-and-mortar banks. Because online-only banks do not maintain physical branches, they are able to save on expenses and pass those savings to their customers.

Many brick-and-mortar banks, for instance, require minimum balance when opening an account. You will discover that most of the online checking accounts do not come with such requirements. Therefore, if you don’t dish out fees from your online checking account, you can maintain a higher balance as well as have more money going into savings.

Even as fewer and lower charges are some of the online checking account advantages, some of these accounts still attract standard fees such as those for overdrafts. You may want to jump online and check your balance before making a substantial purchase to evade account overdrawing.

Are online checking accounts ideal for you?

Some people prefer meeting their bankers face to face. For others, however, the multiple advantages of an online checking account carry the day. This is particularly because many of the said accounts have the same useful features you will find at a branch bank. Consumers can use a debit card to make a purchase, order paper checks, and always access a big network of ATMs with no fees. If you hardly visit a branch for banking, then you can open a checking account online instantly and simplify your life. And you do not even have to do an overhaul of your personal and financial routine.

Open Checking Account Online Instantly

The 9 Best Banks For Online Checking Accounts

Free checking accounts often assist consumers in retaining more money in their pockets. The most popular ones do not have monthly maintenance fees and will provide many other free services. If you are looking to open a checking account online instantly, the following picks feature the best interest rates, rebates, ATM networks, and other factors. Keep reading to see how they compare:

1. AXOS BANK

AXOS Bank

What We Like: Rewards Checking, 1.25% APY

Formerly Bank of Internet, Axos comes with an exceptional rate attached to its rewards checking.

The minimum deposit to open: $0

Interest rate: 1.25% APY

Pros

  • Rewards Checking does not have monthly charges or minimum balance requirements. The bank provides unlimited domestic reimbursements for ATM fees.

Cons

  • To qualify for the high-interest rates of 1.25%, there are two things to do each month: make at least $1,000 direct deposits and 15 transactions using a debit card, each at least $3. Consumers will get lower interest rates by making only 10 of the 15 transactions, or fulfilling only one of the two conditions.

2. ALLIANT CREDIT UNION HIGH-RATE CHECKING

ALLIANT CREDIT UNION

Alliant has the widest network among credit unions due to its solid online presence as well as easy membership requirements. If you do not fulfill other requirements, supporting an Alliant-affiliated non-profit will easily earn you membership with the union.

The minimum deposit to open: $0

Interest rate: 0.65%

Pros

  • Members have access to 80,000+ fee-free ATMs
  • Monthly out of network ATM reimbursements of $20

Cons

  • Qualifying for the high-rate checking account involves opting out of paper statements.
  • You also need to make at least one electronic deposit every month, including ATM, direct, and mobile deposits

3. DISCOVER

Discover Bank

Minimum deposit to open: $0

Interest rate: Discover Cashback Debit offers a 1% rebate on making monthly debit card purchases of at least $3,000

Pros

  • Access to more than 60,000 fee-free ATMs

Cons

  • The only place you can deposit cash is at their Delaware branch

4. CONSUMERS FREE REWARDS CHECKING

Consumers Credit Union

The NCUA federally insures this financial institution. You can apply to be part of the credit union even if you don’t reside in its Illinois headquarters.

Minimum opening deposit: $0

Interest rate: up to 5.09%

Pros

  • No monthly fees
  • No minimum balances
  • Leverage on thousands of nationwide fee-free ATMs and branches courtesy of a partnership with Co-op network

Cons

  • Make a $5 payment to any of its sponsoring associations to open an account
  • Another $5 minimum deposit in a savings account
  • Consumers only have the Illinois branch
  • Earning a high interest is not easy

5. 360 CHECKING BY CAPITAL ONE

Capital One Bank

The overdraft credit line attracting an annual percentage rate under 15% deserves some props. You may as well use the Capital One 360 savings account to take care of your overdrafts free of charge. If you don’t want either transfers or the line of credit, you can just instruct your bank to turn down paying any charges your account cannot cover.

Minimum opening deposit: $0

Interest rate: 0.2% on a balance of less than $50,000

Pros

  • Fee-free transactions
  • Earns interest
  • Access to about 40,000 Allpoint ATM networks free of charge

Cons

  • This is a 100% online account, making it hard for face-to-face customer service

6. ALLY INTEREST CHECKING

ALLY Bank

Customers can use over 43,000 ATMs free with the US

Minimum opening deposit: $0

Interest rate: 0.1% for balances of less than $15,000

Pros

  • The bank makes its digital experience a top priority
  • Online only bank with mobile app
  • Real-time chat service to address issues
  • Active responses to customer queries on social media i.e. Facebook and Twitter
  • Have a 24/7 call center

Cons

  • Being an online-only bank, prepare for customer service that is not in person

7. BANK5 CONNECT HIGH-INTEREST CHECKING

Bank5 Connect

The bank provides a 0.76% APY if you have a balance of $100+. Along with the excellent interest rate, Bank5 Connect continues providing consumers with access to thousands of free ATMs as well as reimbursements of up to $15 every month.

Minimum opening deposit: $0

Interest rate: 0.76%

Pros

  • Bank 5 Connect’s $15 overdraft surcharge is significantly lesser than national banks’ median of $34

Cons

  • An initial deposit of $10 for opening account, as well as a minimum balance of $100 to qualify their interest rates

8. ASPIRATION SPEND \u0026 SAVE ACCOUNT

ASPIRATION Bank

The Aspiration Spend and Save Account have one of the most attractive interest rates of 2.00% APY.

Minimum opening deposit: $10

Interest rate: 2%

Pros

  • Reimbursement of ATM withdrawal charges both domestic and abroad

Cons

  • Online-only account
  • No physical branches

9. CHARLES SCHWAB HIGH YIELD INVESTOR CHECKING

Charles Schwab Bank

Get a Schwab One brokerage account when opening your Charles Schwab checking account.

Minimum opening deposit:$0

Interest rate: 0.37%

Pros

  • No monthly fees
  • No minimum monthly balances
  • Free unlimited ATM reimbursements both abroad and domestic
  • Debit cardholders get free foreign transactions
  • FDIC insures deposits of up to $250,000
  • No overdraft fees

Cons

  • Charles Schwab often conducts hard credit checks when applying for an account. This might slightly affect your credit score.

Summary Of Online Checking Accounts

AccountInterestThe minimum deposit to open
Discover Cashback Debit1% cashback$0
Consumers Credit Union Free Rewards CheckingUp to 5.09%$0
Alliant Credit Union High-Rate Checking0.65%$0
Axos Bank Rewards CheckingUp to 1.25%$0
Capital One 360 Checking0.20% on balances of less than $50K$0
Ally Bank Interest Checking0.10% on balances of less than $15K$0
Bank5 Connect High-Interest Checking0.76% on balances of more than $100$10
Aspiration Spend & Save Account2.00%$10
Charles Schwab High Yield Investor Checking0.37%$0

How To Open A Bank Account Online

Opening a checking account online instantly is quite easy. All it takes is just minutes and it could save you a trip to the local branch. Besides, FDIC insures the top online banks, which often provide higher rates and least or no fees.

Here is what is required to open an online checking account:

  • Social security number, or another identification document for non-citizens
  • Valid driver’s license or an ID issued by the government
  • Debit card details, or account numbers and routing for your other bank account

If you are applying for the account from an institution with multiple savings and checking accounts, make comparisons to determine the best terms and features, including balance requirements, interest rates, and other fees with that account.

Carefully Fill Out the Application

Use a secure internet connection at home or other network and fill out the online application form with your details. The details entail:

  • Name
  • Address
  • Contact details
  • Proof of ID and citizenship

While most times you can send these details online, there are instances where you will be asked to email or fax additional documents like a copy of your driving license. These details will help to authenticate your identity.

Some of the financial institutions are likely to ask for information about your place of work, accounts with other banks, and income. If you are not a legal adult, be sure to get your parents’ details and approval as your co-signer.

You will be asked to check that you have read all pertaining account disclosure agreements. Since you are signing up for an online-only bank account, you may want to accept a paperless agreement. This means no messages and bank statements in your mail.

Make your initial deposit

When opening a new online bank account, you need to make a transfer from another account you already have. In case you do not have another bank account, you can use a money order or simply fund the new online account later. Otherwise, you might be compelled to open the new account at a bank’s local branch using cash.

Once you have entered the details to make the transfer, be sure to select an amount that meets any starting deposit requirements or minimum balances. These funds will often take a few days for processing to be complete. Thereafter, you can begin managing the new account.

Opening your checking online is just a matter of minutes. However, it is essential to learn how to manage checking accounts. They are often the source of consumers getting bad credit ratings. You will want to do your research to ensure you know what mistakes to avoid.  Checking accounts and debit cards are two of the finest tools anyone can have for managing their cash. Nevertheless, how you use the two items is important.

Bottom Line

When you open a checking account online, it gives the ability to track your expenses. By recording debit and checking expenditures, you are more conscious of what using cash on. While this sounds easy enough, it depends on how you will be using your checking account. You do not want to shortchange yourself without knowing it.