What is free checking account? Its features and drawbacks?

Jan 18, 2022 By Susan Kelly

Know Your Financial Situation:

If you want to open a free online checking account, the first step is being aware of your financial situation. Having said that, not every free online checking account is equal. Similarly, your financial position is unique to you, therefore your checking account must be tailored to suit your needs. Before you head to the banker to open a new account, here are some of the things to keep in mind.


Look over the fees connected with each account before deciding. If you keep track of a specific balance each month, you can prevent monthly service charges. Find out if certain accounts have additional fees for things like debit card transactions and in-branch purchases. You may be able to avoid these fees if you set up direct deposits for your bills. Saving hundreds of dollars in annual fees is entirely achievable if you are familiar with the organization and its cost structures for all of your free online checking accounts.

Monthly Balance You Expect:

Decide what kind of an online account you'll need based on the typical monthly balance you expect to have. Is this balance going to remain stable during the account's lifetime? It's also possible that during certain seasons of the year, you'll have more in your balance. Keep in mind that certain accounts have minimum balance restrictions to validate some of their benefits.


Paying interest on some free online checking accounts is possible, but it's unlikely that you'll make much money. For a little extra money, you may choose a bank that provides you with interest and a facility where you can do your regular banking. At the end of every month, an interest payment is automatically paid into your bank account.


Having a checking account at a bank with a large number of locations may be ideal if you're the type who needs face-to-face interactions. However, if you're able to go without that, an online account is a great option. Some of these organizations don't have any physical facilities at all, but they nonetheless offer the comfort of the internet and mobile banking with a debit card for those who don't have access to a bank. In order to make cash transactions easier and more affordable, several of these institutions enable you to use other banks' automated teller machines (ATMs).

The following is a summary of the various checking account kinds offered by most banks, in which we've detailed some of the fundamental aspects that go into picking a checking account.

Free Online Checking Account Features:

When looking for a free online checking account, look for one that includes the following features:

  • There are no fees for having a low balance.
  • ACH and Direct Deposit transactions are free
  • Online access to your account for no charge
  • There is no limit to the number of checks that can be written each month
  • There isn't a set amount for writing a check.
  • Free online checking account cons

There are also free online checking accounts that pay interest. The earnings are restricted and you have to go through a number of hoops.

You could also miss the right to observe paid checks. Some want to see the check and the payee's signature. Most free checking accounts don't offer this, but a few do. Personal accounts, in our opinion, do not need it. There are many ways to track payments, and you can purchase a copy from a free online checking account if you need it anytime.

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