Should You Open a New Bank Account Just for the Bonus?

While welcome bonuses on credit cards are more common (and discussed more often), you can sometimes also get a chunk of money when you open a new bank account. Let's say you can get $300 to open a new checking account. You should jump on that opportunity just for the sake of it, right? Well, no. And here's why.

A new bank account should be a longer-term commitment

Opening a new bank account can come with a certain amount of hassle, and it takes time to get your financial house in order with a new bank. For example, if you have bills debited out of your checking account, you'll need to switch them when you open a new one. That means making sure your utilities, credit cards, and subscriptions (as well as any other recurring payments) are all changed over. Forget one of them, and you could find yourself missing payments and owing late fees.

You'll also have to get used to using a new bank's website and mobile app to manage your finances. You probably don't want to go through this whole process all that often.

And if you're frequently opening and closing bank accounts, it could result in trouble for you down the road. Many people don't realize that their banking activities go on a report with ChexSystems -- which is sort of like a credit bureau, but for bank accounts. If you have a history of overdrafting your account, for example, your ChexSystems report will reflect that.

Our Picks for the Best High-Yield Savings Accounts of 2024

Product	APY	Min. to Earn
American Express® High Yield Savings Member FDIC. APY 3.80% Rate info 3.80% annual percentage yield as of January 10, 2025. Terms apply. Min. to earn $0 Open Account for American Express® High Yield Savings On American Express's Secure Website. Member FDIC.	3.80% Rate info 3.80% annual percentage yield as of January 10, 2025. Terms apply.	$0	Open Account for American Express® High Yield Savings On American Express's Secure Website.
Capital One 360 Performance Savings Member FDIC. APY 3.80% Rate info See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening. Min. to earn $0 Open Account for Capital One 360 Performance Savings On Capital One's Secure Website. Member FDIC.	3.80% Rate info See Capital One website for most up-to-date rates. Advertised Annual Percentage Yield (APY) is variable and accurate as of Dec. 6, 2024. Rates are subject to change at any time before or after account opening.	$0	Open Account for Capital One 360 Performance Savings On Capital One's Secure Website.
Western Alliance Bank High-Yield Savings Premier Member FDIC. APY 4.40% Rate info The annual percentage yield (APY) is accurate as of Jan. 2, 2025, and subject to change at the Bank’s discretion. Refer to product’s website for latest APY rate. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY. Min. to earn $500 to open, $0.01 for max APY Open Account for Western Alliance Bank High-Yield Savings Premier On Western Alliance Bank's Secure Website. Member FDIC.	4.40% Rate info The annual percentage yield (APY) is accurate as of Jan. 2, 2025, and subject to change at the Bank’s discretion. Refer to product’s website for latest APY rate. Minimum deposit required to open an account is $500 and a minimum balance of $0.01 is required to earn the advertised APY.	$500 to open, $0.01 for max APY	Open Account for Western Alliance Bank High-Yield Savings Premier On Western Alliance Bank's Secure Website.

Similarly, if you're "churning" bank accounts (opening new ones, getting the bonus, then closing the account), that behavior will show up there, too. And a bad ChexSystems report can make it more difficult for you to open accounts in the future. According to ChexSystems, it keeps a record of closed bank accounts for five years -- so that's a solid chunk of time you could be negatively impacted by that information.

Earning bank bonuses requires some work

It isn't always easy to qualify for bank bonuses -- many require you to jump through multiple hoops. You often have to set up direct deposits and arrange to have a certain amount of money hit the new account within a certain period of time. You might also have to complete a set number of qualifying transactions within that time, such as making debit card purchases from a checking account.

You might also need to maintain a minimum balance to earn the reward. If it's a checking account, that might mean losing out on interest income elsewhere (such as in a high-yield savings account). If we're talking about a balance of several thousand dollars, that's not an insignificant amount.

Bear in mind that you'll have to pay income taxes on any bonus cash you get. Plus, if the new account has maintenance fees, that'll eat into your bonus, too. Whenever you open a new account (whether it has a bonus or not), be sure to read all the fine print. Even accounts that have monthly fees often offer ways to get the fee waived, such as by receiving direct deposits or maintaining a certain balance.

New account bonuses can certainly be a sweet deal, and if you're seeking a new banking relationship anyway, it's worth exploring your options to make some cash on the deal. A great place to start looking is our list of the best bank account bonuses available right now. But I don't think it's worth opening a new account just for the bonus. Focus on finding the right account to meet your long-term needs instead.