What Are the Withdrawal Limits for Savings Accounts?

What Are the Current Withdrawal Limits for Savings Accounts?

Here's a snapshot of savings withdrawal limits at major U.S. banks. Keep in mind that policies may change, so it's a good idea to check with your bank or credit union for the most up-to-date information.

Tip: If you need to withdraw money from savings on a regular basis, opening an account with no withdrawal restrictions may give you the flexibility you need.

What Happens if You Exceed Your Savings Withdrawal Limit?

If you make more withdrawals than your bank allows, you could face a few different consequences depending on your bank's policies.

• You could be charged a fee. Banks may charge a small fee for each transaction after you hit the limit. The fee would be automatically deducted from your account and appear on your monthly statement.
• Withdrawals may be restricted. Your bank may temporarily block withdrawals for the remainder of the statement period.
• Your account could be converted. Your bank may convert your savings account to a different type of account—like a checking account—that will give you unrestricted access to your account. That would mean losing out on interest or other savings-specific benefits.
• Your account could be closed. Some banks may choose to close your account if you frequently exceed withdrawal limits.

What Is Regulation D?

Regulation D is a federal banking rule established by the Federal Reserve that defines the amount of cash banks and credit unions have to keep on reserve. Historically, the rule limited certain types of withdrawals and transfers from savings and money market accounts to six per month.

The goal of these limits was to encourage saving and ensure banks had enough money on hand to manage cash flow and meet reserve requirements. In March 2020, in response to the COVID-19 pandemic, the Federal Reserve lowered the reserve requirement to zero and suspended the six-withdrawal limit at the federal level. Even though the federal rule is no longer mandatory, your bank may still charge fees or take other actions if you make too many withdrawals.

Under Regulation D, there are "convenient" and "less convenient" transactions. To classify an account as a savings account, banks must reserve the right to require seven days' notice for a withdrawal and limit the number of "convenient" withdrawals. These include:

• Transfers to another account, especially overdraft protection transfers
• Bill payments through online banking or autopay
• Check or debit card payments
• Transfers made over the phone
• Online or mobile app transfers to third parties or other accounts

Learn more: Things to Know About Savings Accounts

What to Do if You Need Cash After Hitting Your Limit

If you've reached your savings account's withdrawal limit, here are a few ways to still access your money without triggering a fee.

• Visit a bank branch. In-person withdrawals at a bank branch typically don't count toward your monthly limit.
• Use an ATM. The six-withdrawal rule generally doesn't apply to ATM withdrawals. However, usage limits and ATM fees may apply.
• Mail a written request. It's less common today, but you can mail a request to your bank to withdraw funds. This type of withdrawal doesn't fall into the "convenient" category.
• Accept the fee. If other options aren't available, you may choose to pay the excess withdrawal fee. Just make sure your remaining balance can cover the charge.

Learn more: How to Avoid ATM Fees

The Bottom Line

You can avoid exceeding withdrawal limits by using a checking account for routine spending and reserving your savings account for emergencies or less frequent transactions. Monitor your monthly activity to track the number of withdrawals you've made. Be sure to understand your bank's rules for savings account withdrawals to avoid unnecessary fees and make the most of your savings.