The best checking accounts have features that closely match your habits and preferences for managing daily financial transactions. Typically, this means finding an account with a healthy mix of low fees, low minimums and nearby ATMs. Interest earnings and overall experience matter as well. When shopping for a checking account, keep in mind the features that are most important to you.
In This Post
- Best Checking Accounts
- Axos Bank: Best Overall Bank Checking Account
- Consumers Credit Union: Best Credit Union for High Yields
- Connexus Credit Union: Best Overall Credit Union Checking Account
- Simple: Best for Budgeting [Simple is ceasing operations in 2021.]
- nbkc bank: Best for Combined Checking and Savings
- Heritage Bank: Best Bank for High Yields
- Bank5 Connect: Best for High Balances
- Quontic Bank: Best for ATM Access
- Alliant Credit Union: Best for Digital Banking
- Charles Schwab Bank: Best for Travelers
- How to Choose a Checking Account
- Summary of Best Checking Accounts 2021
- Methodology
- Frequently Asked Questions (FAQs)
- Next Up In Banking
Best Checking Accounts
We’ve compared 133 checking accounts at 56 nationally available banks to find some of the best options available. Click on the individual View Details button for each featured account to learn more about why we picked it, the pros and cons, and to access individual bank reviews.
Annual percentage yields (APYs) and account details are accurate as of January 4, 2021.
Axos Bank: Best Overall Bank Checking Account
Axos Bank Rewards Checking
Up to 1.25%
on balances up to $150,000
$50
$0
N/A
Consumers Credit Union: Best Credit Union for High Yields
Consumers Credit Union Rewards Checking
2.09% to 4.09%
on balances up to $10,000
$5
$0
N/A
Connexus Credit Union: Best Overall Credit Union Checking Account
Connexus Credit Union Xtraordinary Checking
Up to 1.75%
on balances up to $25,000
$0
$0
N/A
Simple: Best for Budgeting [Simple is ceasing operations in 2021.]
Simple High-Yield Checking (Protected Goals Account)
0.50%
$0
$0
N/A
nbkc bank: Best for Combined Checking and Savings
nbkc bank Everything Account
0.40%
$0
$0
N/A
Heritage Bank: Best Bank for High Yields
Heritage Bank eCentive Account
1.09%
on balances up to $25,000
$100
$0
N/A
Bank5 Connect: Best for High Balances
Bank5 Connect High-Interest Checking
0.20%
with a minimum balance of $100
$10
$0
N/A
Quontic Bank: Best for ATM Access
Quontic Bank High Interest Checking
Up to 1.01%
$100
$0
N/A
Alliant Credit Union: Best for Digital Banking
Alliant Credit Union High-Rate Checking
0.25%
$0
$0
N/A
Charles Schwab Bank: Best for Travelers
Schwab Bank High Yield Investor Checking Account
0.03%
$0
$0
N/A
How to Choose a Checking Account
There are many checking accounts on the market, and choosing an account isn’t always cut and dried. Here’s what to consider when shopping for a new checking account:
- Fees. Because you’ll use a checking account for your day-to-day transactions, it’s important to keep fees to a minimum. Watch out for monthly maintenance fees, overdraft fees and out-of-network ATM fees. Look at your banking habits to see which fees matter to you most, and then find a bank or credit union that keeps those fees low.
- Minimums. Some banks and credit unions require that you make a certain minimum deposit amount to open a checking account. They may also require that you meet particular minimum balance requirements to earn the APY or avoid paying a fee. Before you open an account, make sure you can meet the bank or credit union’s requirements. Or, look for an account with no minimum requirements whatsoever.
- APY. Not all checking accounts pay interest. But if you’re looking to earn interest on your cash, keep APY in mind when shopping for an account.
- Customer service. Regardless of whether you bank online or at a branch, it’s important to be able to get in touch with a customer service representative should a problem or question arise. It’s also important that they are helpful and responsive.
- Digital experience. Especially if you often bank online or via mobile app, look for banks and credit unions with innovative online and mobile banking technology.
- Safety. Make sure that the Federal Deposit Insurance Corporation (FDIC) insures your account at a bank. It provides up to $250,000 in insurance per depositor, per bank, for each account ownership category, in the event of a bank failure. Look for insurance from the National Credit Union Administration (NCUA) at credit unions.
It’s also important to consider your banking habits to see which checking account features are most valuable to you.
For example, if you tend to overdraft your account often, look for a checking account that doesn’t charge overdraft fees. If you like being able to bank on the go, choose an account with a highly rated mobile app. Your behavior can help guide you toward the checking account that’s best for you.
Summary of Best Checking Accounts 2021
| Bank/Credit Union | Best For |
|---|---|
| Axos Bank | Best Overall Bank Checking Account |
| Consumers Credit Union | Best Credit Union for High Yields |
| Connexus Credit Union | Best Overall Credit Union Checking Account |
| Simple | Best for Budgeting |
| nbkc bank | Best for Combined Checking and Savings |
| Heritage Bank | Best Bank for High Yields |
| Bank5 Connect | Best for High Balances |
| Quontic | Best for ATM Access |
| Alliant Credit Union | Best for Digital Banking |
| Charles Schwab Bank | Best for Travelers |
Methodology
To create this list, Forbes Advisor analyzed 133 checking accounts at 56 financial institutions, including a mix of traditional brick-and-mortar banks, online banks and credit unions. We ranked each institution on 11 data points within the categories of fees, minimum requirements, APY, customer experience, digital experience and availability.
The following is the weighting assigned to each category:
- Fees: 35%
- Minimums: 20%
- APY: 20%
- Customer and Digital Experience: 20%
- Availability: 5%
Specific characteristics taken into consideration within each category included monthly fee, overdraft fee, ATM fees, minimum deposit requirements, the minimum balance requirements, APY and the ease of earning it, customer service ratings, mobile access, online access, app store ratings and the national availability of the account.
Checking accounts offering no or very low fees scored the highest, as did those offering better-than-average interest, low minimum requirements and high customer service and digital experience scores. To appear on this list, the checking account must be nationally available.
Frequently Asked Questions (FAQs)
What is a checking account?
Checking accounts are a type of deposit account available at traditional brick-and-mortar banks, online banks and credit unions. A checking account allows you to deposit and withdraw money as you wish, providing easy access to your cash at any time. You can use a checking account to pay bills, make purchases and otherwise manage your daily financial transactions.
How do checking accounts work?
Checking accounts allow you to deposit money and withdraw it as needed. How you can deposit cash varies by bank, but here are a few ways you can typically deposit into your account:
- Direct deposit
- Mobile deposit
- ATM deposit
- At your local bank or credit union branch
In the past, you would write paper checks to withdraw money. But these days, there are often many ways to withdraw cash, including:
- ATM card
- Debit card
- ACH transfer
- Wire transfer
How do I open a checking account?
The process to open a checking account varies by bank or credit union.
You can generally fill out an application to open a checking account online or at a bank or credit union branch. Expect to provide a government-issued photo ID, your Social Security number or Individual Taxpayer Identification Number. The bank or credit union will also likely ask for your date of birth, address, phone number and other contact information.
Do checking accounts earn interest?
Not all checking accounts earn interest, although all 10 checking accounts listed here do so. Checking accounts paying interest often require that you meet some basic requirements each statement cycle to earn the yield. These may include making a certain number of debit card transactions per month or maintaining a particular minimum balance in your account.
Are checking accounts safe?
Yes, checking accounts are safe places to stash your money. Make sure the checking account you choose is insured by the FDIC (Federal Deposit Insurance Corporation) at a bank or the NCUA (National Credit Union Administration) at a credit union.
Both organizations insure your deposits up to $250,000 per depositor, per bank or credit union, for each account ownership category, in the event of a bank or credit union failure.
Are there different types of checking accounts?
Checking accounts aren’t all the same. The accounts found on this list are considered interest-bearing checking accounts—they help you get the most for the money you’re using for short-term purposes. However, interest-bearing checking accounts may not serve the needs of every consumer. Other types of checking accounts include:
- Standard checking
- Rewards checking
- Student and teen checking
- Senior checking
- Second chance checking
Next Up In Banking
