Online banks let you do everything online, including opening a new account. With a suitable online bank, having an account open in minutes is usually possible. Every online bank is different, of course, but the good ones don’t put any unnecessary barriers in your way.
The following is a step-by-step guide to opening an online bank account.
Step #1. Compare Online Banks
Some online banks offer checking accounts, some offer savings products, and some offer both. Many online banks offer access to personal loans, home loans, and other lending products. Some of our best online banks have mobile apps, enabling you to do all your banking from your smartphone.
Step #2. Choose Account Type
On the website of your chosen online bank, you’ll find sign-up options for each account type. Choose your preferred account type and follow the prompts to the online registration form.
Step #3. Fill Out the Application
Filling out an application form for an online bank is generally quick and simple. You’ll need to enter your name, home address, phone number, and email address.
Usually, to open an account with an online bank, you must be a US citizen or resident alien and at least 18 years old.
To verify that you are who you say you are, your bank will ask you to upload a valid driver’s license or state ID and your Social Security number. It may also ask for details about your employment, such as occupation, employer name, and income level. You might want to have your phone with you if the process involves typing in a verification code.
Your bank may run a soft credit check before approving you. If the bank rejects your application, it may ask you to provide additional documentation or to go to a physical branch (if the bank has one).
Step #5. Congratulations on Opening Your New Account
Opening a bank account online is quicker and easier than opening one the old way. In days gone by, you would have actually had to go to a physical bank branch to open a bank account. You would have waited in line, answered dozens of questions, and walked away with a stack of paperwork. With online banks, you get an account without the waiting times and without the paperwork.
Step #4. Make a First Deposit
Some online banks require a minimum deposit as a condition of joining, while others don’t require one at all. If there is a minimum deposit, you won’t get full access to your new online bank account without first depositing these funds. If you’re opening a savings account, you obviously won’t start earning interest until you deposit money in the account. To avoid delays, have your credit card or debit card with you or be ready to transfer money in from an existing bank account. Your new bank may ask for your external bank name, routing number, and account number for verification. Depending on how you make the first deposit, it can take a few days for the funds to arrive in your new account.
Explore Leading Online Banks
1. SoFi®
SoFi is an online bank founded in 2011. It provides a variety of banking services, including credit cards, mortgages, investments, loans, and of course, bank accounts. SoFi Checking and Savings provides a competitive APY, and comes with no account fees*.
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2. Chime®
Chime is a fully digital financial technology company that offers online checking and savings accounts with no monthly fees. It provides features like early direct deposit, over 60,000 fee-free ATMs, and a user-friendly mobile app for managing finances easily.
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3. Western Alliance CD
Western Alliance CD, powered by Raisin, offers high-yield CDs with interest rates up to 5.41% APY and no monthly fees. Raisin’s platform connects users with a variety of savings products from over 400 partner banks and credit unions, providing an easy and fully online banking experience.
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Still haven't made a decision? Explore our full list of top online banks here.
*SoFi Disclosure
1. Up to $300 Bonus Tiered Disclosure
New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 1/31/2026. Full terms at sofi.com/banking. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.
SoFi members with Direct Deposit can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the 4.00% APY for savings (including Vaults). Members without Direct Deposit will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 12/3/2024. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.
2. APY disclosures
SoFi members with Direct Deposit or $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 4.00% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Direct Deposit amount required to qualify for the stated interest rate. Members without either Direct Deposit or Qualifying Deposits, during the 30-Day Evaluation Period will earn
1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Only SoFi members with direct deposit are eligible for other SoFi Plus benefits. Interest rates are variable and subject to change at any time. These rates are current as of 12/3/24. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.
3. Fee Policy
We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at sofi.com/legal/banking-fees/.
