Banking in Tennessee, United States: Accounts, Fees and Openi

# Banking in Tennessee, United States: Accounts, Fees, and Opening Steps (2025 Playbook)

Tennessee offers a diverse banking landscape for residents and non-residents alike. With a mix of national banks, regional institutions, and digital-only banks, the choices can be overwhelming. This guide will outline the available bank types, account types, typical fees and minimums, onboarding steps, and important considerations for residents and non-residents.

Available Bank Types in Tennessee

National BanksNational banks operate in multiple states and offer a wide range of financial products. Some prominent national banks in Tennessee include:

- Bank of America
- Wells Fargo
- Chase
- Citibank

Regional BanksRegional banks serve specific areas and may offer more tailored services. In Tennessee, notable regional banks include:

- First Tennessee Bank
- Regions Bank
- SunTrust Bank (now part of Truist)

Digital BanksDigital banks operate exclusively online and typically offer lower fees and higher interest rates on savings accounts. Popular digital banks available in Tennessee include:

- Ally Bank
- Chime
- Marcus by Goldman Sachs

Account Types

Checking AccountsChecking accounts are essential for everyday transactions. They allow for deposits, withdrawals, and bill payments. Here are common features and types of checking accounts:

- Standard Checking: Basic account with minimal fees, suitable for daily use.
- Interest-Bearing Checking: Offers interest on balances but may require a higher minimum balance.
- Student Checking: Designed for students, often with no monthly fees or minimum balance requirements.

Savings AccountsSavings accounts are designed for saving money while earning interest. Key features include:

- Traditional Savings: Offers lower interest rates but easy access to funds.
- High-Yield Savings: Provides higher interest rates, typically offered by online banks.
- Specialty Savings Accounts: Accounts aimed at specific goals, such as vacation savings or emergency funds.

Typical Fees and Minimums

Checking Account Fees- Monthly Maintenance Fees: Ranges from $0 to $15, depending on the bank and account type. Many banks waive these fees if you maintain a minimum balance.- Overdraft Fees: Typically around $30 per occurrence, but some banks offer overdraft protection options.- ATM Fees: Fees for using out-of-network ATMs can range from $2 to $5.

Savings Account Fees- Monthly Maintenance Fees: Can be $0 to $10, often waived for higher balances.- Withdrawal Fees: Federal regulations limit certain withdrawals to six per month; exceeding this may incur fees.- Low Balance Fees: Some banks impose fees if the balance falls below a specified minimum.

Minimum Balance Requirements- Checking Accounts: Minimum balances can range from $0 to $1,500, depending on the bank and account type.- Savings Accounts: Minimum balances can range from $0 to $300 for standard savings accounts.

Onboarding Steps

Opening a bank account in Tennessee involves several steps, particularly regarding Know Your Customer (KYC) regulations. The following outlines the general process:

For Residents1. Choose an Account Type: Decide between checking, savings, or both.2. Gather Documentation: Required documents typically include: - Government-issued ID (e.g., driver's license) - Social Security Number (SSN) - Proof of address (e.g., utility bill)3. Complete the Application: This can often be done online or in person.4. Initial Deposit: Many banks require a minimum deposit to activate the account.5. Set Up Online Banking: Most banks offer digital features for easy management.

For Non-Residents1. Choose an Account Type: Similar to residents, select the type of account you need.2. Gather Documentation: Non-residents need to provide: - Government-issued ID (e.g., passport) - Individual Taxpayer Identification Number (ITIN) or Employer Identification Number (EIN) - Proof of address (may vary based on the bank's requirements)3. Complete the Application: This may need to be done in person, as some banks require non-residents to visit a branch.4. Initial Deposit: The minimum deposit requirement is similar to that of residents.5. Set Up Online Banking: Digital access is usually available, but verify with the bank.

Resident vs Non-Resident Notes

Residents typically have an easier time opening accounts due to established identification and credit history. Non-residents may face additional scrutiny and requirements, such as the need for an ITIN or EIN. Some banks may have restrictions on the types of accounts available to non-residents, so it's crucial to inquire beforehand.

FAQs

1. What is the minimum age to open a bank account in Tennessee?Most banks require account holders to be at least 18 years old, although minors can open joint accounts with an adult.

2. Are there banks in Tennessee that offer accounts for non-residents?Yes, some banks in Tennessee cater to non-residents, but requirements may vary. It is advisable to contact the bank directly for specific guidelines.

3. Can I open an account online as a non-resident?Some banks allow non-residents to open accounts online, while others may require an in-person visit. Check with the bank for their specific policies.

4. How can I avoid monthly fees on my checking account?Many banks waive monthly fees if you maintain a minimum balance or set up direct deposits. Review the account's terms to find options for fee waivers.

5. What should I do if I forget my online banking password?Most banks have a password recovery option on their website or app. Follow the prompts to reset your password securely.

6. Are there limits on how much I can withdraw from my savings account?Federal regulations limit certain withdrawals to six per month for traditional savings accounts. Exceeding this may incur fees.

7. What happens if I close my account before the minimum balance period ends?If you close your account before the minimum balance requirement period is met, you may incur fees. Always check the account terms before closing.

In summary, banking in Tennessee offers various options for checking and savings accounts, with a range of fees and onboarding processes. Residents and non-residents should consider their unique needs and documentation requirements when selecting a bank and account type.

About the Author

Marks Toms – Editor-in-Chief
Marks oversees editorial policy, compliance, and fact-checking at bankaccountsopen. Read more articles