How to Open a Bank Account: What You Need

Opening a bank account is usually quick once you have chosen the institution. The part that causes delays is often not the application itself but arriving without the right identification, discovering an unexpected opening requirement, or applying for an account whose fee rules do not match the way you plan to use it.

A little preparation solves most of that. Gather the information the institution needs to identify you, confirm the account terms before money moves, and know what you will do if the application is not approved immediately.

First Decide Which Account You Are Opening

The opening process is easier when you know the job of the account.

A checking account is generally designed for frequent transactions such as direct deposit, debit-card purchases, bill payments, ATM withdrawals, checks, and transfers.

A savings account is designed primarily to hold money rather than serve as the household’s everyday payment account. Savings products can differ substantially in APY, transfer access, fees, and minimum-balance requirements.

You may also encounter money market deposit accounts and certificates of deposit, which have different access and rate structures.

If you are still deciding where everyday cash and savings should sit, start with our checking vs. savings vs. HYSA comparison.

Expect to Provide Basic Identifying Information

Federal Customer Identification Program rules require banks to use risk-based procedures that allow them to form a reasonable belief that they know the true identity of each customer.

For an individual opening an account, the rules require identifying information that includes:

• name;
• date of birth;
• address; and
• an identification number permitted under the rules.

For a U.S. person, the identification number is generally a taxpayer identification number. For a non-U.S. person, the rule permits certain other identifying numbers, such as a passport number with country of issuance or another government-issued identification number permitted by the regulation.

The bank then uses documentary methods, non-documentary methods, or a combination of both to verify identity according to its Customer Identification Program.

FinCEN gave banks additional flexibility in 2025 to obtain Tax Identification Number information from approved third-party sources under specified procedures. That change does not remove the institution’s obligation to identify and verify the customer.

The Documents You Need Depend on the Institution

There is no universal consumer document checklist that every bank and credit union uses in exactly the same way.

CFPB materials tell consumers to be prepared with identification and documents such as:

• a driver’s license or other government-issued photo ID;
• a U.S. or foreign passport, where accepted;
• a Social Security card;
• a birth certificate;
• a bill or other document showing your name and address; or
• other identification accepted under the institution’s policy.

You may not need every item on that list. Some institutions can verify customers electronically with fewer physical documents, while others ask for additional documentation when information cannot be confirmed automatically.

You May Be Able to Open an Account Without an SSN

Not having a Social Security number does not automatically mean every U.S. bank account is unavailable.

Federal identity rules distinguish between U.S. and non-U.S. persons and permit certain alternative identification numbers for non-U.S. customers. CFPB consumer materials also note that institutions may accept an Individual Taxpayer Identification Number (ITIN) and, depending on their policies, foreign passports or other consular or government identification.

However, acceptance is institution-specific. A bank or credit union can have its own account-opening procedures as long as they comply with applicable law.

If you do not have an SSN:

1. Ask which identification number the institution accepts for your situation.
2. Ask which photo ID or foreign-issued documents it accepts.
3. Confirm whether the account you want is available with those documents.
4. Do not submit altered or borrowed identification to work around a requirement.

If the institution cannot open the account, another federally insured bank or credit union may have a different verification process or product.

Check the Opening Deposit and Ongoing Balance Rules Separately

An opening deposit is the amount you must put into the account to open or fund it. A minimum balance requirement is an ongoing account rule that can affect fees, interest, or account eligibility.

They are not necessarily the same number.

Some accounts can be opened with no minimum deposit. Others require a specific amount, and a credit union can also require the purchase or maintenance of a membership share.

Before applying, answer four questions:

• Is there a minimum opening deposit?
• How can I fund it — ACH transfer, debit card, check, cash, or another method?
• Is there an ongoing minimum balance?
• What happens if my balance falls below it?

Do not transfer a large amount merely because the account accepts it. A modest initial deposit can give you time to test transfers, mobile access, customer service, and other features before moving the rest of your cash.

Read the Fee and Overdraft Rules Before You Click “Open Account”

Account approval is not the point at which you should first learn what the account costs.

CFPB recommends asking about account terms and fees before opening. Our bank-fee guide explains the major charges in more detail. Review:

• monthly maintenance fee;
• conditions for waiving that fee;
• ATM fees;
• check or transaction fees where applicable;
• wire and expedited-transfer fees;
• paper-statement fees;
• overdraft treatment;
• linked-account transfer options; and
• low-balance or transaction alerts.

Also confirm whether a direct deposit is required to waive a fee or unlock a particular account feature. Do not assume you can meet a recurring condition until payroll or benefits actually support it.

When comparing institutions rather than just account types, use our bank and credit union selection checklist.

Verify Deposit Insurance Before You Fund the Account

The application screen should not be your only source for determining where your money is held.

For a bank, verify the institution through the FDIC’s BankFind Suite. Qualifying deposits at an FDIC-insured bank are generally insured up to $250,000 per depositor, per insured bank, for each ownership category, subject to the insurance rules.

For a federally insured credit union, verify the institution through NCUA resources. The NCUA-administered Share Insurance Fund provides federal coverage under its rules.

This check is especially important when you are opening an account through a financial app. An app may be offered by:

• an insured bank itself; or
• a nonbank technology company that places customer funds with one or more partner banks.

If the provider is not itself the bank, identify the underlying institution and understand how the company says deposit insurance applies.

Our online vs. traditional bank guide explains this distinction in more detail.

A Credit Union Adds a Membership Step

Opening a credit union account usually includes becoming a member of the cooperative.

The credit union’s field of membership determines who can join. Depending on the charter, eligibility may be connected to:

• where you live or work;
• an employer;
• an association or organization;
• a family or household relationship; or
• another qualifying common bond.

Some credit unions have broad eligibility; others serve narrow groups. You may also need to open a basic share account and maintain the institution’s required membership share.

Eligibility does not mean every product is automatically available. A credit union can separately underwrite loans, credit cards, or other products after you become a member.

For the structural differences, see Bank vs. Credit Union.

Your Checking-Account History Can Affect Approval

Some banks and credit unions use specialty consumer reports when deciding whether to open a checking account.

CFPB identifies companies such as Chex Systems and Early Warning Services as checking-account reporting companies. Their reports can include information about previous account applications, openings and closures, unpaid negative balances, suspected fraud, or other deposit-account history.

That is different from a traditional credit report, although CFPB notes that some institutions may also consider traditional credit-report information.

If a bank denies your application because of a checking-account consumer report, the adverse-action notice should identify the reporting company. CFPB says you can request a free copy of the report and dispute inaccurate information. See what to do after a checking-account denial for the report, dispute, and second-chance-account process.

Different banks and credit unions can apply different account-opening policies, so a denial at one institution does not necessarily mean you will be denied everywhere.

After Approval, Set Up the Account Before You Rely on It

A newly opened account is not fully integrated into your finances just because the balance is positive.

Before making it your primary account:

1. Secure the login. Use a unique password and enable the institution’s available multifactor authentication or security controls.
2. Set alerts. Consider low-balance, large-transaction, debit-card, and deposit alerts.
3. Test transfers. Link external accounts and make a small test transfer before moving large balances.
4. Confirm the debit card. Activate it and understand ATM access and limits.
5. Set up direct deposit. Wait until you know the account and routing details are correct.
6. Move bill payments deliberately. Do not cancel an old payment route before the replacement is confirmed.
7. Add savings automation last. Make sure checking can cover scheduled bills before recurring savings transfers begin.

If the account will be part of an automatic saving system, our pay-yourself-first guide explains how to use direct deposit and recurring transfers without creating cash-flow problems.

If you are replacing an existing primary bank, keep both accounts open long enough to make sure outstanding transactions, deposits, and automatic payments have moved successfully. Use the bank-switching checklist rather than simply transferring the visible balance and closing the old account.

Use This Opening Checklist

Opening the account is the easy part. The useful account is the one whose requirements you can meet, whose costs you understand, and whose access matches the way money actually moves through your household.