Opening an online checking account offers numerous advantages that make it an excellent choice for modern banking.
First, many banks provide online checking accounts with low fees or even no fees at all, allowing users to save money on maintenance costs that traditional banks often charge.
Additionally, the convenience of managing your account through a user-friendly mobile app means you can access your funds, transfer money, and monitor transactions anytime, anywhere. This level of flexibility is especially valuable for people with busy lifestyles.
Some online checking accounts also offer cash-back rewards, giving you a chance to earn money on purchases made with your debit card—turning everyday spending into real savings.
Plus, the online application process is quick and easy, typically taking only a few minutes to complete from the comfort of your home.
These advantages make online checking accounts a smart and hassle-free option for banking.

Opening an online checking account is now made easy and quick. With just a few clicks, you can fill out an application, verify your identity, and have your account ready to use within minutes. No need to visit a branch or deal with lengthy paperwork. All you need is choosing the bank that suits you most, signing up, and get your finance at the right place.

When it comes to the benefits of opening an online checking account, it’s important to keep in mind that they are different than those of a traditional brick-and-mortar bank branch. And even within online banks, the features of checking accounts will also differ. So use this checklist to determine which aspects you want to prioritize.

1. Monthly account fees

Online banks can either charge you a monthly fee to maintain a checking account or offer zero fees. Monthly fees usually range from $1 to $50. Some banks will waive your fees if you can maintain your account balance above a certain limit. If you find an account with monthly fees, you should consider what perks you’re getting. A basic checking account can be offered with no fees but it is normal for banks that provide more features.

2. Other charges and fees

International wire transfers and some domestic transfers come with their own separate fees. Banks can provide free ATM withdrawals from their own machines or reimburse ATM fees if they use a third party. For instance, Varo offers free ATM withdrawals from Allpoint ATMs which you can find in CVS, Target, Walgreens, and more.

3. Savings account

Different banks offer different types of accounts. Some online banks are focused on providing checking account services while others will offer a variety of products and services. You will find banks offering checking accounts plus savings accounts and certificates of deposit. There are also banks with hybrid accounts that combine features of checking and savings accounts to allow customers to access their savings and do day-to-day banking simultaneously.

4. Loans

An additional advantage of having a checking account is you get access to loans easier. You can get a personal loan, car loan, home loan, or other lending product depending on the bank you choose. Online loan shares the same perks that online checking accounts offer – lower fees, faster application process, and overall more convenience.

5. Credit and debit cards

Online checking accounts also provide debit cards to account holders. Some banks can even provide credit cards to their customers. There is an increase in credit card plans that customers can choose from with varying benefits and rates.

6. Customer Service

Digital banks can be completely online but some that are part of a traditional banking group can also have a physical branch. For a monthly fee, you can get personalized customer service from some online banks. Customer support also often includes live chat through the mobile app or the website. Since everything is done online for digital banks, round-the-clock or extended hours for customer support are more common.

Online checking accounts can provide you with the same services that a traditional bank does, plus a few more benefits. Online banks are changing the way consumers do banking, allowing them to do transactions anywhere that would have only been possible by visiting a branch before.

Below are some features that accompany online checking accounts:

1. Inter-account fund transfer: Transfer funds between a checking account and a savings account

2. Integrate multiple accounts: Easily access and manage your accounts

3. Wire transfers (domestic & international): Send or receive money from your account to another user’s account

4. Pay bills: Never miss a due date and pay your bills on time with reminders and scheduled payments

5. Mobile check deposit: Take a photo or scan a check with your phone to deposit funds into your account

6. Mobile payment: Pay retailers and merchants that accept Apple Pay, Google Pay, and Samsung Pay

7. Digital statement of accounts: Beneficial for managing a budget and keeping records for accounting

8. Mobile app: Conveniently manage bank accounts with your phone or tablet

9. Rewards and perks: Get rewarded for purchases made with a credit card linked to your account

10. Advanced encryption and security: Accounts are protected by multi-factor authentication and upgraded encryption tools

11. ATM access: Withdraw your funds from tens of thousands of ATM points in the US and around the globe

12. SMS + Email Notifications: Receive alerts for suspicious activities in your account.

13. FDIC Insured: Depositors have funds of up to $250,000 insured by the FDIC.