Students are increasingly seeking ways to open Student Bank Accounts to handle their finances and save money as the expense of education continues to grow. Opening a student bank account, which may provide unique benefits and features designed especially for college students, is one of the best methods to do this.
However, it might be challenging to grasp; a) what you’re being given and, b) what you truly want from a bank account, whether you’re an overseas student studying in the US or a US citizen attempting to navigate the (sometimes complicated) world of banking to create a student bank account.
Well, lucky you, we have covered the pros and cons of student bank accounts, as well as the minimum balance required to create one. We have also listed the benefits and characteristics of the top student bank accounts of 2023.
What Is A Student Bank Account?
A ѕtudеnt bаnk ассоunt is a сhесkіng or savings ассоunt thаt a bаnk, credit union оr оthеr fіnаnсіаl іnѕtіtutіоn оffеrѕ to ѕtudеntѕ. It may be either a checking or savings account. In order to accommodate the financial demands of students, student accounts may include lower fees and unique features.
A checking or savings account might be a secure and practical option to save funds, including financial assistance, that you don’t plan to use right away. You may get interests on your deposits with a savings account. With a checking account, you can write checks, utilize a debit card to make purchases, and use ATMs to deposit or withdraw cash or deposit checks.
Online banking and a smartphone app are available for the majority of checking and savings accounts. These functions allow you to monitor your account balances, deposit checks remotely, make payments, and transfer money to other individuals using an internet-connected computer, laptop, or mobile device.
If you have a checking or savings account and savings account, you may connect the two accounts via your bank and send money electronically from one account to the other.
Several banks have affiliations with colleges, universities, and other educational institutions. These connections provide such banks exclusive access to the school’s students in order to promote their student accounts and other financial goods.
2023 BEST STUDENT BANK ACCOUNTS
#1. CAPITAL ONE, N.A.
APY: 3.40%
Min. APY: $0.00 Balance To Get
Capital One, N.A. is a financial holding corporation with Capital One Bank as one of its subsidiaries. It is one of the Best Student Bank Accounts and the biggest credit card companies in the nation. With more than 39,000 fee-free ATMs in its network, Capital One Bank has branches mostly in New York, Maryland, Louisiana, Texas, Virginia, New Jersey, and the District of Columbia. The bank offers checking accounts, savings accounts, certificates of deposit, credit cards, vehicle loans, and business banking.
Pros
- There are no maintenance fees or minimum balances.
- 70,000 fee-free ATMs from the Capital One, MoneyPass, or Allpoint networks.
- Customers give the mobile app good marks.
- Options for fee-free overdrafts.
Cons
- Few branches.
- A money market account does not include checks or an ATM card.
- Interest on savings is compounded weekly.
APY:0.25%
Min. APY: $5.00 Balance To Earn
With 8.2 million members and $97.02 billion in assets, Navy Federal Credit Union was established in 1933. Active and retired members of the military services, their families, and Department of Defense workers are all eligible for Navy Federal membership.
Over 300 Navy Federal branches are spread throughout the nation, and many of them are in military facilities. The Credit Union offers savings and checking accounts, Share Certificates, Money Market Accounts, Personal Retirement Accounts, Credit Cards, Auto Loans, Mortgages, College Loans, Personal Loans, and Home Equity Loans.
Pros
- More than 30,000 free ATMs.
- Telephone customer assistance is available around-the-clock.
- Share certificates at competitive prices.
- Savings and the majority of checking accounts have no monthly fees.
Cons
- Only those with links to the military may join.
- Hardly many branches.
#3. WELLS FARGO & CO.
APY:0.15%
Min. APY: $0 Balance To Earn
Wells Fargo & Cо. was еѕtаblіѕhеd in 1852 and hаѕ іtѕ headquarters іn Sаn Francisco. Wеllѕ Fаrgо hаѕ rоughlу 70 mіllіоn сlіеntѕ аnd $1.95 trіllіоn іn assets. With branches in 37 соuntrіеѕ and tеrrіtоrіеѕ, Wеllѕ Fаrgо has 7,950 locations and 13,000 ATMѕ.
Thе bаnk offers сhесkіng accounts, ѕаvіngѕ ассоuntѕ, CDѕ, сrеdіt cards, student lоаnѕ, mоrtgаgе, hоmе еԛuіtу lіnеѕ of сrеdіt, аutо lоаnѕ, buѕіnеѕѕ bаnkіng, fіnаnсіаl рlаnnіng, and аѕѕеt management products ѕuсh individual retirement accounts and аnnuіtіеѕ.
Pros
- Wells Fargo offers a wide variety of goods and services, such as different bank accounts, loans, credit cards, and investment opportunities.
- The $10 Daily Checking charge may be avoided with ease.
- Wells Fargo’s app provides card-free access to ATMs through your smartphone.
Cons
- Wells Fargo offers competitive savings rates.
- You may be charged an overdraft fee of $35 on three separate occasions per day.
- Wells Fargo has been implicated in unsettling and dishonest actions over the last several years.
#4. TD BANK
APY:0.02%
Min. APY Balance: $300
A nationwide bank with its headquarters in Cherry Hill, New Jersey, TD Bank is a division of Toronto-Dominion Bank. Over 1,250 sites across the Northeast, Mid-Atlantic, Washington, D.C., North and South Carolina, and Florida is where TD Bank, which was established more than 150 years ago, offers services.
Over $300 billion in assets belong to TD Bank. The bank offers checking accounts, credit cards, mortgages, savings accounts, prepaid cards, lines of credit for home equity, vehicle loans, personal loans, business banking, financial planning, and asset management services.
Pros
- Branch locations are open longer than other banks, including on Sundays.
- Constant-dial customer service.
- The majority of debit cards do not charge a foreign transaction fee.
- Three CD types are available.
- Senior citizens’ and students’ checking account possibilities.
Cons
- A $35 overdraft fee may be applied up to three times each day.
- No branches extend beyond the East Coast.
- Low savings interest rates.
- Using direct deposit often won’t help you avoid monthly costs, unlike at other banks.
#5. JPMORGAN CHASE & CO.
APY:0.01%
Min. Earnings: $0.01 on balance
JPMorgan Chase & Co., a multinational investment bank and financial services provider with origins dating back to 1799, is headquartered in New York. With more than 250,000 people and assets worth $2.6 trillion, the bank is present in more than 100 markets. The stock of the corporation is a part of the Dow Jones Industrial Average. Chase includes a mobile app, 16,000 ATMs, and 5,200 bank branches. The bank offers checking accounts, prepaid cards, credit cards, mortgages, savings accounts, home equity lines of credit, vehicle loans, and business banking.
Pros
- It’s simple to avoid the Complete Checking monthly service charge.
- A highly rated smartphone app.
- 24-hour phone client service.
- Access to Zelle person-to-person payments is available via the Chase app and the Chase web platforms.
- Overdraft protection is free.
Cons
- Poor interest rates on savings accounts, especially for Premier relationship accounts or accounts with high balances.
- CDs with low-interest rates.
- Exorbitant overdraft charges, which might cost up to $102 per day.
APY: 0.01%
Min. APY: $0.01 Balance To Earn
The Huntington National Bank is the main subsidiary of Huntington Bancshares Inc., a regional bank holding corporation with its corporate headquarters in Columbus, Ohio. The bank has $109 billion in assets, 962 branches, and 1,762 ATMs spread throughout eight Midwestern states.
The Huntington National Bank, which was established in 1866, offers checking accounts, money market accounts, credit cards, savings accounts, mortgages, home equity lines of credit and loans, car loans, personal loans, wealth management, investment, and insurance services.
Pros
- A grace period of 24 hours to prevent overdrafts.
- No monthly service charges.
- Transfers of overdraft protection are free.
Cons
- Just 11 states have branches.
- Low savings and CD rates.
#7. BANK OF AMERICA CORP
APY: 0.01%
Min. APY $500 in balance to earn
The main office of Bank of America Corp. is located in Charlotte, North Carolina, and was established in 1784. Bank of America serves individuals and companies and offers banking, investing, asset management, and other financial and risk management products and services. $2.28 trillion in assets are held by Bank of America.
The corporation operates roughly 4,300 retail financial facilities, including about 1,800 loan shops, 2,200 Merrill Edge investing locations, and 1,500 business centers. There are around 16,300 ATMs at Bank of America.
The bank operates throughout the U.S., the U.S. Puerto Rico, the Virgin Islands, and more than 35 other nations. Bank of America offers savings accounts, checking accounts, savings accounts, mortgages, credit cards, home equity lines of credit, vehicle loans, and business banking.
Pros
- Bank of America has 16,000 ATMs and around 4,100 branches spread over 37 states and Washington, D.C.
- It offers a variety of big-bank products, including checking and savings accounts, loans, mortgages, credit cards, and investment opportunities.
- You may easily avoid the monthly cost if you utilize Advantage Plus as your primary checking account.
- The Bank of America mobile app supports Zelle payments between individuals.
Cons
- The savings rates offered by Bank of America aren’t particularly competitive.
- Avoiding the checkless Advantage SafeBalance checking account’s monthly maintenance cost is difficult.
#8. CITIZENS BANK
APY: 0.01%
Min. APY: $0 Balance To Earn
The corporate office of Citizens Financial Group Inc. is located in Providence, Rhode Island. Across 11 states in the New England, Mid-Atlantic, and Midwest areas, Citizens Bank has 1,100 branches and 2,900 ATMs. The bank offers credit cards, checking accounts, CDs, prepaid debit cards, savings accounts, mortgages, student loans, vehicle loans, personal loans, and financial planning.
Pros
- Avoiding monthly service charges for checking and savings accounts is simple.
- Phone support for customers around-the-clock.
- Get your payment through direct deposit two days early.
Cons
- 36 states have no branches.
- Savings and CDs with low-interest rates.
- Limited CD selection.
What Documents Are Required for Student Bank Accounts?
You must fulfill a few requirements in order to create student checking accounts. You must first be a student and possess a current, valid school identification card. Also, there are age restrictions that must be met; be sure to verify with the banking institution. Lastly, depending on the institution, you may have to make a deposit into the account to open it.
How To Open Student Checking Bank Accounts?
It is not difficult to open student checking bank accounts. While many banks still need you to go to a physical location, you may sometimes create an account online.
- Choose the financial institution that best suits your demands and those of your family.
- Arrange a meeting with a banker or apply online. You may minimize line waiting and improve your connection with your banker by scheduling an appointment.
- Bring proof of identity, such as a passport or driver’s license, and make sure your student ID is still valid.
- If your bank has a minimum deposit requirement, bring the required amount of cash (or a cheque made payable to you).
- All documentation and agreements submitted by the institution must be read and signed. Pay close attention to the details.
Benefits of Having Student Bank Accounts
In the US, banks often attempt to lure students with a range of bonuses and benefits. Students might benefit from a number of significant benefits from bank accounts. They are simpler to create and manage since they have fewer minimum deposit requirements, to begin with. The majority of student accounts also don’t charge monthly maintenance costs, and many of them also don’t charge ATM fees or penalize overdrafts. These benefits help young individuals develop their money management abilities without letting minor missteps hold them back. Lastly, many banks go above and above to provide budgeting tools, applications, and instructional material to student account holders in order to assist students in developing their financial literacy.
What are the disadvantages of student bank accounts?
The primary disadvantages of student checking accounts are that they often have fewer features than ordinary checking accounts, and offer lower interest rates. And maybe just temporary accounts that have to be replaced when you get your degree.
What is the limit of a student bank account?
A student account may only hold $0.
Which bank offers the greatest zero balance account for students?
Capital One 360 is the best Checking Bank for students and is the best No-Fee Checking Account.
Can you open two student bank accounts?
There is no prohibition on having two bank accounts. You may manage your spending and savings by having different accounts as an international student. But, it’s crucial to do your homework before registering an account.
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