Opening a bank account as a student

Checking and savings do different jobs

A checking account holds everyday money. It comes with a debit card, lets you pay bills and receives direct deposits. A savings account holds money you plan to leave alone, such as the cushion from the last lesson, and most banks and credit unions let you open both at once and move money between them easily.

Credit unions are owned by their members and often serve a region, an employer or a school community. Banks range from national chains to small local ones and online-only institutions. Look for deposit protection from the FDIC at a bank or the NCUA at a credit union, which protects your balance if the institution fails.

What to bring when you open one

Expect to show a government-issued photo ID and a Social Security number or an Individual Taxpayer Identification Number. Some institutions also ask for proof of address, a student ID or an opening deposit. Call ahead or check the institution's website so you arrive with everything in hand.

If you are under 18, many banks ask a parent or guardian to open the account jointly with you. The rules vary by institution and by state, so ask before you go. Once you turn 18, you can usually move to an account in your own name.

Fees worth asking about

Ask whether the account charges a monthly maintenance fee and what waives it, such as a minimum balance, regular direct deposits or student status. Ask whether overdraft coverage is switched on and whether you can decline it, so a card purchase is refused rather than pushing your balance below zero. Ask which ATMs you can use without a charge, especially near campus and near home.

Student accounts often drop the monthly fee for a set number of years or until graduation. Read when that period ends, because some accounts switch to a standard version with fees. Write the end date in your calendar so it does not catch you off guard.

Your school and your account

Your school will ask how you want to receive any refund, and many offer direct deposit into the account of your choice. Some schools also team up with a bank and promote a campus card or account. Federal rules let you pick an account you already have instead, and a school that promotes an account has to tell you what it charges.

Set your refund preference in the student account portal soon after the account is open. Money then reaches you without waiting for a paper check in the mail. The bursar's or student accounts office can show you where that setting lives.