9 Banks That Don’t Require a Credit Check to Open an Account

December 28, 2024

9 Banks That Don’t Require a Credit Check to Open an Account

Opening a new bank account can feel overwhelming, especially if you have a less-than-perfect credit history or no prior banking experience. But the good news is, many financial institutions no longer perform hard credit checks when you open an account. This opens up banking opportunities for those who need them the most.

Whether you’re starting fresh or seeking to avoid a credit inquiry, several banks and fintech companies now offer excellent options without a credit check. Let’s explore these nine banks and how they cater to different financial needs.

Top Banks With No Credit Check Requirements

1. Discover® Cashback Debit

Best for cash back on purchases

Features: Earn 1% cash back on up to $3,000 in debit card purchases monthly. No minimum balance, no account fees, and access to over 60,000 fee-free ATMs.
Why Choose Discover: Discover stands out by offering cash back on debit card purchases—a rare feature for checking accounts. It’s also completely fee-free and allows early paycheck access with direct deposit.
Considerations: Daily cash deposit limits and no in-person branches may not suit everyone.

2. Chime®

Best for improving credit

Features: No monthly fees, overdraft protection up to $200 with SpotMe®, and a Secured Credit Builder Visa® Card to help build credit.
Why Choose Chime: It’s a great option for rebuilding credit while enjoying fee-free banking. Their lack of reliance on ChexSystems makes it accessible for those with a rocky banking history.
Considerations: Limited savings APY compared to competitors and no physical branches.

3. Truist

Best for no overdraft fees

Features: No overdraft fees, a $100 Negative Balance Buffer, and the ability to waive the $12 monthly fee through various methods.
Why Choose Truist: With in-person locations and no overdraft fees, Truist combines traditional banking convenience with modern features.
Considerations: A $50 opening deposit is required, and the monthly fee may be challenging to waive for some users.

4. SoFi®

Best for high savings APY

Features: Earn up to 4.00% APY on savings with direct deposit and 0.50% APY on checking. No fees or overdraft charges.
Why Choose SoFi: It offers one of the highest savings rates on this list, along with robust online tools and FDIC insurance up to $2 million.
Considerations: Direct deposit or $5,000 in qualifying deposits is needed to access the highest APY.

5. Bank of America

Best for in-person banking

Features: Thousands of ATMs and branches nationwide, options to waive fees, and no impact on your credit score during application.
Why Choose Bank of America: Ideal for those who prefer face-to-face interactions and a wide network of ATMs and branches.
Considerations: Overdraft fees and lower interest rates may deter some users.

6. Varo

Best for cash advances

Features: Get paid up to two days early, cash advances up to $500, and a high savings APY of 5.00% on balances up to $5,000.
Why Choose Varo: Its cash advance feature and competitive savings rates make it attractive for users needing financial flexibility.
Considerations: Higher APY thresholds and no standalone savings account may limit appeal.

7. Current

Best for teens

Features: Earn up to 4.00% APY on savings, credit-building tools, and rewards at select merchants.
Why Choose Current: It’s a great choice for teens and young adults looking to start their financial journey with a user-friendly platform.
Considerations: Limited in-person options and bonus rates require minimum deposits.

8. GO2bank

Best for high rewards

Features: Earn 4.50% APY on savings, up to $200 in overdraft protection, and exclusive discounts on e-gift cards.
Why Choose GO2bank: Perfect for users seeking a robust rewards system, especially on savings and gift card purchases.
Considerations: Monthly fees apply if direct deposit isn’t set up, and there are fees for cash deposits.

9. One

Best for Walmart shoppers

Features: Earn up to 3.75% APY on savings and 3% back at Walmart for eligible customers.
Why Choose One: Tailored for Walmart shoppers, One offers cash-back benefits without requiring a credit card.
Considerations: Cash deposits are only possible at Walmart, and cashback rewards have annual limits.

How to Choose the Right Bank for You

When selecting a no-credit-check bank account, consider these factors:

Fee Structure: Look for accounts with no monthly fees or easily waived fees.
Account Features: Determine whether perks like cash back, high APYs, or overdraft protection are priorities.
Branch Access: Decide if you prefer in-person banking or are comfortable with an online-only experience.
ATM Network: Ensure access to fee-free ATMs near your location.
Additional Services: Explore options for credit-building tools, savings accounts, or other financial products.

Tips to Improve Bad Credit

Improving your credit score can enhance your financial opportunities over time. Here are actionable steps to help:

Pay Bills on Time: Set reminders or automate payments to avoid late fees.
Reduce Credit Utilization: Aim to use less than 30% of your available credit.
Avoid New Credit Accounts: Limit new applications to maintain your average account age.
Monitor Your Credit Report: Regularly check your report for errors or fraudulent activity.
Build Positive History: Use secured credit cards or credit-builder loans responsibly to boost your score.

Frequently Asked Questions

Q: Can I open a bank account without a credit check?
Yes, many banks and fintech companies allow you to open accounts without credit checks, focusing instead on your banking behavior.

Q: What is ChexSystems?
ChexSystems tracks your banking history, including overdrafts and account closures, which some banks use to assess new account applicants.

Q: What’s the difference between a checking and savings account?
Checking accounts are for daily transactions, while savings accounts are designed to grow your money with interest over time.

Final Thoughts

Having bad credit doesn’t have to limit your banking options. With no-credit-check accounts becoming increasingly available, you can find a bank that meets your needs while working to improve your financial health. Consider the features that matter most to you, and choose an account that helps you achieve your goals.