If you want to avoid overdraft fees — usually about $35 per overdraft — you can opt out of overdraft protection, or you can choose a bank account that doesn’t charge overdraft fees. Some banks offer no-fee overdraft services, whether the bank transfers funds from your accounts or temporarily spots you cash.
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While no-overdraft-fee bank accounts can save you money if you occasionally overdraft your account, be sure to look at the full picture to ensure you’re getting a well-rounded bank account product. Does the bank charge other fees? Will you earn interest on your deposits or rewards on your debit card transactions? Check factors that indicate the quality of the banking experience you can expect — from fee-free ATMs to mobile banking apps and customer service ratings.
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Here are our picks for the best banks with no overdraft fees, along with a breakdown of each account’s pros and cons and who should consider getting one of these bank accounts.
We receive compensation from our partners for Featured Offer placements, which impacts how and where their offer is displayed.
Featured Offer
Axos Bank Rewards Checking
Monthly maintenance fee
$0
Overdraft fee
$0
Minimum deposit requirement
$50
Methodology
Our team of experts analyzed hundreds of data points and then used data-driven methodology and thorough fact-checking to determine the best bank accounts with no overdraft fees. We heavily emphasized overall fees because most customers looking to avoid one type of fee will likely want to avoid others as well. You can read more about our methodology below.
Show summary
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SoFi Checking and Savings
: Best for sign-up bonus
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Axos Bank Rewards Checking
: Best for high APY
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Quontic Bank High Interest Checking
: Best for ATM network
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Alliant Credit Union High-Rate Checking
: Best for those who want a credit union
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Discover Bank Cashback Debit
: Best for app ratings
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Capital One 360 Checking
: Best for branch network
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NBKC Everything Account
: Best for Trustpilot ratings
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Amalgamated Bank Online Checking
: Best for no monthly maintenance fees
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Ally Bank Spending Account
: Best for no minimum opening deposit
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American Express National Bank Rewards Checking
: Best for no ATM fees
SoFi Checking and Savings
Best for sign-up bonus
Monthly maintenance fees
$0
ATM locations
55,000
APY
0.50%
5/5
Why we picked it
SoFi’s Checking and Savings accounts are a package deal, so when you open one you’ll automatically be enrolled in the other as well. The accounts come with several nice perks, but they stand out in this list for something they don’t havenfees.
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SoFi’s Checking and Savings account has no overdraft, NSF, monthly maintenance, excess transaction or third-party ATM fees. As long as you have monthly direct deposits of at least $1,000, you’ll be covered for up to $50 in overdrafts.
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Beyond the fee savings, you can get a sign-up bonus of up to $300 when you set up direct deposit. You’ll earn $50 when you get direct deposits of $1,000 to $4,999.99 in the first 25 days, or a $300 bonus with $5,000 or more in direct deposits within the same period.
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Both accounts also pay out interest. With direct deposit, checking accounts earn 0.50% APY and savings balances earn 4.60% APY. You can also accelerate your savings with automatic roundups on debit card purchases that are transferred to your savings.
Pros
- No account fees
- Up to $300 new account bonus
- Checking and savings balances earn interest
Cons
- Waived overdraft fees are limited to $50
- Other high-yield checking and savings accounts may earn higher APY
- No in-person banking
Who should use it
SoFi’s Checking and Savings is a good choice if you’ll have a $5,000 or greater direct deposit in the first 25 days to earn the $300 sign-up bonus.
Axos Bank Rewards Checking
Best for high APY
Monthly maintenance fees
$0
ATM locations
91,000
APY
3.30%
Why we picked it
Axos Bank Rewards Checking is a high-interest checking account option that can earn up to 3.30% APY if you have other qualifying products with Axos Bank. However, there are numerous requirements to earn the full APY, including making an Axos Bank loan payment from your checking account and holding $2,500 each in managed portfolios and self-directed trading accounts. But if you can qualify, it’s great to earn 3.30% APY on your checking account balance.
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You can also pocket a $300 welcome bonus when you have qualifying direct deposits of at least $5,000 per month for the first seven months and maintain a minimum average daily balance of $7,000 in your checking account.
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Axos Bank Rewards Checking accounts have no monthly maintenance, overdraft or minimum balance fees, and you can get reimbursed for all domestic ATM fees.
Pros
- Up to 3.30% APY
- No monthly maintenance, overdraft or minimum average daily balance fees
- $300 welcome bonus with qualifying direct deposits
Cons
- The full APY is only available if you meet rate requirements
- No in-person banking
- $50 minimum opening deposit
Who should use it
Choose an Axos Bank Rewards Checking account if you have or plan to get additional products with Axos Bank that will help you earn the highest possible APY on your checking balance.
Quontic Bank High Interest Checking
Best for ATM network
Monthly maintenance fees
$0
ATM locations
90,000
APY
1.10%
Why we picked it
Quontic Bank is online only and doesn’t have branches, but it has more than 90,000 fee-free ATM locations. You won’t pay ATM fees when you use your Quontic debit card at participating ATMs, including Citibank ATMs in Target, Speedway, Walgreens, CVS, Kroger, Safeway, Winn Dixie and Circle K. There are no monthly maintenance, overdraft or foreign collection fees.
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This high-interest checking account pays 1.10% APY on all balances when you use your debit card to make at least 10 qualifying point-of-sale transactions of $10 or more each month.
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Quontic Bank checking account customers can use the Quontic Pay Ring, a unique wearable payment ring. The ring works like the chip on your debit card to make contactless purchases, so you don’t have to bring your debit card everywhere to make payments.
Pros
- More than 90,000 fee-free ATMs
- 1.10% APY when you make qualifying debit transactions.
- Wearable ring available to make contactless payments
Cons
- Other checking accounts may earn a higher APY
- You have to meet monthly transaction requirements to earn 1.10% APY
- No extended customer service hours
Who should use it
Quontic Bank’s checking account can be a good choice if you need extensive ATM access and make enough debit card transactions to qualify for the 1.10% APY.
Alliant Credit Union High-Rate Checking
Best for those who want a credit union
Monthly maintenance fees
$0
ATM locations
80,000
APY
0.25%
4.7/5
Why we picked it
If you prefer to use a credit union, Alliant Credit Union’s High-Rate Checking account can be a good option. This account has no monthly service or overdraft fees and has no monthly minimum balance requirements. You’ll earn a 0.25% APY on your checking account balance.
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You can access more than 80,000 fee-free ATMs and receive $20 per month in ATM fee rebates. You’ll also get a free first box of checks when you open a new checking account.
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Alliant offers Courtesy Pay, an overdraft service that covers transactions you don’t have enough funds for, up to an approved limit. Customers must pay back their overdraft balance within 30 days. There’s no fee to enroll or use the service, but you must meet eligibility requirements, including having an account in good standing for at least six months and qualifying deposits of at least $600 into your checking account in the previous 30 days.
Pros
- Offers Courtesy Pay overdrafts with no fees
- 0.25% APY
- More than 80,000 fee-free ATMs
Cons
- Other high-yield checking accounts may have a higher APY
- Membership required
- Requires a minimum $25 opening deposit
Who should use it
Choose Alliant Credit Union if you prefer credit unions and want access to a fee-free overdraft service.
Discover Bank Cashback Debit
Best for app ratings
ATM locations
60,000
APY
None
4.7/5
Why we picked it
Discover Bank offers an excellent digital banking experience with a mobile banking app that’s highly rated on the Apple Store and Google Play. The app offers mobile check deposits, an ATM finder and online bill payments. You can also quickly send money to and from friends and family with US bank accounts using Zelle in the Discover app.
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Beyond mobile convenience, the Discover Bank Cashback Debit checking account offers 1% cash back on up to $3,000 in debit card purchases each month. However, your balance doesn’t earn interest.
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There are no account-related fees, such as monthly maintenance or overdraft fees. You can get fee-free overdraft protection transfer service and access to more than 60,000 no-fee ATMs in the US.
Pros
- Excellent digital banking experience
- 1% cash back on up to $3,000 in debit purchases monthly
- No account-related fees
Cons
- Doesn’t earn interest on your balance
- Cash back rewards are limited to $360 annually
- Rewards don’t apply to all transactions, such as ATMs
Who should use it
Discover Bank has a highly-rated mobile app that makes this checking account a convenient choice if you frequently need to bank on the go.
Capital One 360 Checking
Best for branch network
Monthly maintenance fees
$0
ATM locations
70,000
APY
0.10%
4.7/5
Why we picked it
Capital One has nearly 300 branches and cafes where you can bank in person. That can be helpful when you need to deposit cash, open an account or get customer service assistance.
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While you can visit a branch, Capital One’s 360 Checking also offers features more commonly associated with online-only banks, including robust mobile banking. You’ll also benefit from more than 70,000 fee-free ATMs and no account fees. If you’re not near an ATM, you can add cash to your account at a CVS, Walgreens or Duane Reade by Walgreens location.
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Though there are no overdraft fees, you can choose to auto-decline overdraft transactions, automatically transfer funds from another account or get no-fee overdraft coverage that you pay back promptly.
Pros
- Nearly 300 branches and cafe locations
- There are no account fees
- You can get no-fee overdrafts
Cons
- No ATM fee reimbursem*nts for out-of-network ATMs
- Low Trustpilot ratings
- You’ll only earn a 0.10% APY
Who should use it
If you want to bank in person and get the features of an online bank, Capital One 360 Checking can be a good choice.
NBKC Everything Account
Best for Trustpilot ratings
Monthly maintenance fees
$0
ATM locations
37,000
APY
1.75%
4.6/5
Why we picked it
Customer experience matters when you choose which bank you want to work with, and NBKC has strong customer experience ratings. With a Trustpilot rating of 4.8 out of 5 and customer service availability every day but Sunday, you should expect a good experience as an NBKC customer.
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The NBKC Everything Account offers access to more than 37,000 ATMs and reimbursem*nts for up to $12 per month of out-of-network ATM fees. NBKC offers a mobile app so you can bank anywhere and anytime.
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You can earn 1.75% APY on your account balance, transfer money in and out of savings and set up savings goals.
Pros
- Highly rated for customer experience
- 1.75% APY
- More than 37,000 ATMs and $12 in ATM fee reimbursem*nts monthly
Cons
- Lacks branch access outside of Kansas and Missouri
- Support isn’t available on Sundays
- You’ll pay for any ATM fees beyond the $12 monthly reimbursem*nt
Who should use it
Choose the NBKC Everything Account if customer experience is particularly important to you.
Amalgamated Bank Online Checking
Best for no monthly maintenance fees
Monthly maintenance fees
$0
ATM locations
40,000
APY
1.06%
4.5/5
Why we picked it
You can avoid most fees with Amalgamated Bank’s Online Checking account. This bank account has no monthly maintenance fee and you won’t pay overdraft fees, either.
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While there aren’t any Amalgamated Bank branches, you can access more than 40,000 surcharge-free Allpoint ATMs, where you can deposit and withdraw cash. If you need to use an out-of-network ATM, you’ll have two domestic ATM surcharges waived per statement cycle. There’s also 24/7 online and mobile banking.
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Your balance will earn an interest rate based on how much you have in your account. Balances of up to $2,499.99 earn 0.95% APY, while balances of $2,500 or more earn 1.06% APY.
Pros
- No monthly maintenance or overdraft fees
- More than 40,000 fee-free ATMs
- Up to 1.06% APY
Cons
- Middling Trustpilot rating
- Other checking accounts may earn a higher APY
- There are no bank branches
Who should use it
Amalgamated Bank’s Online Checking account can be a good choice if you prefer to avoid monthly maintenance and overdraft fees.
Ally Bank Spending Account
Best for no minimum opening deposit
Monthly maintenance fees
$0
ATM locations
43,000
APY
0.25%
4.4/5
Why we picked it
You can open an Ally Bank Spending Account as soon as you’re ready, as there’s no minimum opening deposit. There are no fees for monthly maintenance, overdrafts, low balances, ACH transfers, incoming wires or cashier’s checks.
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Ally Bank helps you see how you’re spending money with spending buckets, where you can set aside money for particular expenses such as rent and gas. Balances of less than $15,000 earn 0.10% APY, and balances of $15,000 or more earn 0.25% APY. You can also get paid up to two days early with early direct deposit.
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With overdraft transfers and CoverDraft service, you can be covered for overdrafts without fees. The overdraft transfer service links your Ally Bank savings or money market account and moves money over as needed. Or you can use CoverDraft for up to $250 in coverage that you need to pay back within 14 days.
Pros
- No minimum opening deposit
- There are limited fees and no overdraft fees
- Spending buckets can help you budget
Cons
- Low Trustpilot rating
- The highest rate you can earn is 0.25% APY
- There are no bank branches
Who should use it
Fee-averse customers should consider an Ally Bank Spending Account.
American Express National Bank Rewards Checking
Best for no ATM fees
Monthly maintenance fees
$0
ATM locations
37,000
APY Annual Percentage Yield
1.00%
4.3/5
Why we picked it
American Express National Bank Rewards Checking customers can use more than 37,000 MoneyPass ATMs nationwide, which offer fee-free withdrawals. However, you can’t deposit cash into ATMs.
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You can earn rewards and interest with this account. Every $2 in eligible debit card purchases earns one Membership Rewards point. You’ll also earn 1.00% APY on your checking account balance.
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There’s no monthly, minimum balance, overdraft or NSF fee. However, American Express National Bank Rewards Checking accounts don’t offer fee-free overdraft services like some other checking accounts do.
Pros
- You’ll earn rewards and interest
- More than 37,000 fee-free ATMs
- No monthly, minimum balance, overdraft or NSF fees
Cons
- No cash deposits are accepted
- There’s no overdraft protection
- ATM network on the small side
Who should use it
The American Express National Bank Rewards Checking can be a good choice if you want to earn American Express rewards on purchases and interest on your balance.
Our picks at a glance
| Monthly maintenance fees | ATM locations | APY | |
|---|---|---|---|
SoFi Checking and Savings | $0 | 55,000 | 0.50% |
Axos Bank Rewards Checking | $0 | 91,000 | 3.30% |
Quontic Bank High Interest Checking | $0 | 90,000 | 1.10% |
Alliant Credit Union High-Rate Checking | $0 | 80,000 | 0.25% |
Discover Bank Cashback Debit | $0 | 60,000 | None |
Capital One 360 Checking | $0 | 70,000 | 0.10% |
NBKC Everything Account | $0 | 37,000 | 1.75% |
Amalgamated Bank Online Checking | $0 | 40,000 | 1.06% |
Ally Bank Spending Account | $0 | 43,000 | 0.25% |
American Express National Bank Rewards Checking | $0 | 37,000 | 1.00% |
Why get an account with no overdraft fees?
- Fee savings: If you overdraft on your account, the fees can quickly add up. You can avoid these fees by choosing an account with no overdraft fees.
- Financial responsibility: If your bank account doesn’t allow overdrafts, you won’t be able to rely on the bank to cover you when you’re short — and that could encourage you to manage your account more responsibly.
- Less stress: A bank account with no overdraft fees could relieve financial stress and offer peace of mind knowing you won’t be charged overdraft fees.
What are overdraft fees?
Overdraft fees are a type of fee banks charge when you don’t have sufficient funds in your account to cover transactions. Usually, banks charge these fees when the institution covers a transaction you don’t have enough in your account to cover. Expect to pay about $35 per overdraft, though some banks waive overdraft fees.
Comparing no-overdraft-fee bank accounts
When you compare no-overdraft-fee bank accounts, find out the details on the bank’s overdraft policies. Some no-overdraft-fee bank accounts offer fee-free overdrafts that you need to pay back immediately. Others may offer a free overdraft transfer service, while some don’t allow overdrafts at all.
What to consider when selecting a bank with no overdraft fees
As you choose between bank accounts with no overdraft fees, look at the details of overdraft policies, but also consider the account’s other features. Find out what fees the bank charges, and check whether your balance can earn interest or your debit card purchases can earn rewards. See if there are bank branches or ATMs nearby you can use to make transactions. Also, look up customer experience ratings and compare the bank’s digital offerings, including online and mobile banking.
Benefits of banks with no overdraft fees
Banks with no overdraft fees can save you money if you overspend on your bank account. The banks that waive overdraft fees tend to have little or no other fees, so you may also benefit from no monthly maintenance fees or minimum balance fees, for example.
Potential downsides to banks with no overdraft fees
Some banks with no overdraft fees may simply not allow you to overdraft at all, which can be a problem if you occasionally need to use overdraft features. It’s also important to ask yourself whether a lack of overdraft fees is worth possibly missing out on some other features that might be offered by accounts that charge overdraft fees. A bank with no overdraft fees might be a good choice to avoid this one type of fee, but it might not offer a high interest rate, debit card rewards or a wide network of ATMs.
Methodology
CNN Underscored Money analyzed bank accounts from more than 25 financial institutions to develop the rankings for the best bank accounts with no overdraft fees. This included accounts from a mix of traditional banks, online banks and credit unions available nationally. We ranked each account on 15 data points across six categories.
Here are the categories we analyzed and how we weighted each:
Fees (50%)
Most customers looking to avoid overdraft fees will also want to avoid paying other types of bank fees as while. We rewarded accounts that charge few or no fees.
Access (15%)
ATM fees can eat away at account balances faster than overdraft fees. Banks with many branch locations and a wide network of ATMs received higher scores.
Minimums (10%)
Balance and deposit requirements are likely important factors to those concerned they may make overdrafts.
Customer experience (10%)
It’s important to have a bank that’s trustworthy and easy to reach when you need help. We considered customer service availability and Trustpilot ratings in this category.
Digital experience (10%)
You’ll want a bank with a usable app and plenty of online features so that it’s easy to bank from anywhere. We analyzed app reviews and the ability to bank online.
APY (5%)
While not typically the highest priority for a no-overdraft-fee account, earning interest can help customers build up their balances and avoid overdrafts.
Frequently asked questions (FAQs)
Open your new no-fee overdraft account, then move automatic deposits, payments and transfers to your new account before you transfer the balance and close your old account.
No, not all banks offer overdraft protection. Some banks offer it as an optional service, while other banks automatically decline transactions that you don’t have the funds to cover.
The Consumer Financial Protection Bureau has proposed a rule that would make overdraft services more like a loan and subject to provisions in the Truth in Lending Act and other consumer financial protection laws. Under the rule, large banks would be required to comply with lending laws that apply to other financial products, such as credit cards and loans.
Checking accounts don’t appear on your credit reports or affect your credit score, and overdrafts aren’t a part of your credit, either. That said, if your bank account is overdrawn and you don’t resolve your negative balance, your account may go into collections, which is likely to appear on your credit report and affect your credit score.
