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7 Banks With No Overdraft Fees

Review Updated
Joel O'Leary
Author: Joel O'Leary
Joel O'Leary
Joel O'Leary
Full Time Writer

Joel is a full-time writer at Motley Fool Money, where he brings a clear, approachable voice to topics ranging from credit cards to side hustles. He’s been writing about money since 2018, covering topics like credit cards, savings hacks, and the FIRE movement. Before joining the team, he managed editorial content for the How To Money podcast. When he’s not behind the laptop, Joel is likely at the beach surfing, or out and about with his family.

See Full Bio

Many or all of the products here are from our partners that compensate us. It’s how we make money. But our editorial integrity ensures that our product ratings are not influenced by compensation. APY = Annual Percentage Yield.

Last year, Americans paid almost $5 billion in overdraft fees ($2 billion to Chase and Wells Fargo alone). That's billions of dollars we could've kept in our pockets.

Thankfully, there are banks out there that charge zero overdraft fees. These are real-deal banks and accounts I'd recommend to family and friends. Including several I've personally tested myself!

Why you shouldn't pay overdraft fees

Most overdrafts are done by accident. You're already short on cash -- and then boom, your bank charges you $35 for the "privilege" of being broke.

A no-overdraft-fee bank account gives you way more peace of mind. If you slip up and withdraw too much, you won't get hit with a nasty fee.

Better yet, many of these banks I'll highlight below have better mobile apps, automatic savings tools, and higher APYs on deposits. Win-win!

Banks with no overdraft fees

1. SoFi Checking and Savings (Member FDIC)

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025

SoFi Checking and Savings

Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
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= Poor
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

offer alert
Cash bonus up to $300 with direct deposit set up (see details when you click 'Open Account')
APY
0.50% Rate info Circle with letter I in it. SoFi members who enroll in SoFi Plus with Eligible Direct Deposit or by paying the SoFi Plus Subscription Fee every 30 days or SoFi members with $5,000 or more in Qualifying Deposits during the 30-Day Evaluation Period can earn 3.80% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the stated interest rate. Members without either SoFi Plus or Qualifying Deposits, during the 30-Day Evaluation Period will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 1/24/25. There is no minimum balance requirement. If you have satisfied Eligible Direct Deposit requirements for our highest APY but do not see 3.80% APY on your APY Details page the day after your Eligible Direct Deposit arrives, please contact us at 855-456-7634. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet. See the SoFi Plus Terms and Conditions at https://www.sofi.com/terms-of-use/#plus.
Min. To Earn APY
$0
  • Competitive APY
  • FDIC insured (up to $3M with opt-in to SoFi Insured Deposit Program)
  • Welcome bonus up to $300
  • No monthly service or overdraft fees
  • Early access to direct deposits
  • Savings and investing tools
  • Wide range of financial products
  • Cash back on debit card purchases at select retailers
  • Combo account only; no stand-alone savings or checking
  • Overdraft protection tied to monthly deposit minimum
  • No local branches or in-person support

With no fees or minimums and tools designed to maximize your savings, the combo account is a good fit for individuals who want to do most of their banking in one place online. The account offers flexibility to access or move funds, especially if your employer's payroll system allows you to access the bank's early direct deposit benefit.

Read Full Review

Why it rocks:

I live about 20 minutes from the SoFi® stadium in Los Angeles -- it's a really cool fintech bank that has no overdraft fees. The SoFi Checking and Savings (Member FDIC) account is like a hybrid that is built for everyday banking and growing your savings.

Earning the welcome bonus is pretty easy too! I earned it a few years back by setting up direct deposits from my work paycheck. Easiest $300 I've ever made.

2. Discover® Cashback Debit

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025

Discover® Cashback Debit

Open Account for Discover® Cashback Debit

On Discover Bank's Secure Website.

Member FDIC.
Rating image, 5.00 out of 5 stars.
5.00/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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= Excellent
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= Poor
Rating image, 5.00 out of 5 stars.
5.00/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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= Excellent
= Good
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Open Account for Discover® Cashback Debit

On Discover Bank's Secure Website.

Offer alert
Earn 1% cash back on up to $3,000 in debit card purchases each month (see details when you click 'Open Account')
APY
0%
Min. To Earn APY
N/A
  • Cash back rewards on debit cards
  • Early direct deposit
  • No monthly maintenance, NSF, or overdraft fees
  • Great customer service
  • Cash back rewards capped
  • No interest-bearing checking account
  • No physical branches
  • No reimbursement for out-of-network ATMs

The Discover Cashback Debit account could be a lucrative option for those who frequently use their debit card. With cash back on eligible purchases, it's possible to earn even more than you could with a typical checking account APY without changing your habits at all. The fact that Discover has done away with many common checking account fees only adds to its appeal.

Read Full Review

Why it rocks:

Discover® Bank doesn't just skip overdraft fees -- it also gives you something most debit cards don't: cash back! You'll earn 1% cash back on up to $3,000 in debit card purchases each month. So instead of charging you fees like most banks, it pays YOU! You can earn up to $30 a month just for using your card like normal. Woot woot!

Oh yeah, another cool thing -- this account comes with access to more than 60,000 fee-free ATMs. Great for those of you still using cash a lot.

3. Capital One 360 Checking

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025

Capital One 360 Checking

Read Review
Member FDIC.
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Read Review
APY
0.10%
Min. To Earn APY
$0
  • Branches and Capital One Cafes in some states
  • Variety of accounts
  • Robust digital platform and app
  • Great customer service
  • Higher APY available at other financial institutions

Capital One boasts a top-rated mobile app and has over 70,000 fee-free Capital One, MoneyPass, and Allpoint ATM locations. For those looking for face-to-face interaction, Capital One has over 450 locations and 50 Capital One Cafes, where customers can bank, get a cup of coffee, and ask for advice from a certified money coach. However the APY is lower than other online banks.

Why it rocks:

The Capital One 360 Checking account offers multiple ways to avoid overdraft fees. First, you can set up auto-decline. I strongly recommend this because it teaches you mindful spending habits. Another way to avoid overdraft fees is to set up automatic transfers from savings. Basically instead of having a negative checking balance, Capital One will automatically move funds from your savings to cover the gap. If you don't choose either of these options, Capital One still won't charge fees if you overdraft, but only approved transactions.

Psst! Capital One is also a great bank to build credit with. It also offers awesome credit cards for beginners, so you can manage all your accounts with one bank.

4. Ally Spending Account

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025

Ally Spending Account

Read Review
Member FDIC.
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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Read Review
APY
up to 0.25%
Min. To Earn APY
$1
  • Strong online and mobile tools
  • No monthly maintenance or overdraft fees
  • Monthly ATM fee reimbursements
  • Competitive APY
  • Early direct deposit
  • Higher APY available at other financial institutions
  • No physical locations
  • No cash deposits

The Ally Spending Account is an appealing option for those who are comfortable managing their money online. Its monthly ATM fee reimbursements give you the freedom to access your cash wherever you need to. That, plus its APY, means you should only make money with this account.

Why it rocks:

Way back in 2021, Ally eliminated overdraft fees from all its accounts. And it has promised to never bring them back. It also offers automatic savings transfers, as well as CoverDraft. Basic CoverDraft kicks in at up to $100. But if you set up and receive qualifying direct deposits of $250 or more for two straight months, your coverage can increase to $250. To keep that higher limit, just make sure you get at least one direct deposit every 45 days.

5. Chime® Checking Account

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025

Chime® Checking Account

Read Review
Member FDIC.
Rating image, 3.50 out of 5 stars.
3.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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= Excellent
= Good
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Rating image, 3.50 out of 5 stars.
3.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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= Excellent
= Good
= Fair
= Poor
Read Review
APY
0%
Min. To Earn APY
$0
  • Get direct-deposited funds up to two days early*
  • Get instant paychecks with MyPay ¹
  • No monthly maintenance or overdraft fees
  • No minimum balance requirement
  • No foreign transaction fees
  • No ChexSystems check to open an account
  • Free peer-to-peer (P2P) payments
  • Overdraft up to $200 without fees with SpotMe® ²
  • No physical branch locations
  • Mediocre customer service

Chime Checking makes it easy to get paid early. It's a great option for folks worried about getting hit with surprise fees -- Chime has none of those. It's a great checking account for beginners wanting simplicity.

Chime is a financial technology company, not a bank. Banking services provided by The Bancorp Bank or Stride Bank, N.A.; Members FDIC.

*Early access to direct deposit funds depends on the timing of the submission of the payment file from the payer. We generally make these funds available on the day the payment file is received, which may be up to 2 days earlier than the scheduled payment date.

¹ Eligibility requirements apply. Not all users will qualify. MyPay credit limits range from $20-$500. $2 fee applies to get funds instantly. MyPay™ line of credit provided by The Bancorp Bank, N.A. or Stride Bank, N.A. MyPay services provided by Chime Capital, LLC (NMLS ID 2316451).

² SpotMe® on Debit is an optional, no fee overdraft service attached to your Chime Checking Account. To qualify for the SpotMe on Debit service, you must receive $200 or more in qualifying direct deposits to your Chime Checking Account each month and have activated your physical Chime Visa® Debit Card or secured Chime Credit Builder Visa® Credit Card. Qualifying members will be allowed to overdraw their Chime Checking Account for up to $20 on debit card purchases and cash withdrawals initially but may later be eligible for a higher limit of up to $200 or more based on Chime Account history, direct deposit frequency and amount, spending activity and other risk-based factors. The SpotMe on Debit limit will be displayed within the Chime mobile app and is subject to change at any time, at Chime's sole discretion. Although Chime does not charge any overdraft fees for SpotMe on Debit, there may be out-of-network or third-party fees associated with ATM transactions. SpotMe on Debit will not cover any non-debit card transactions, including ACH transfers, Pay Anyone transfers, or Chime Checkbook transactions. SpotMe on Debit Terms and Conditions.

Why it rocks:

Chime® built its entire brand on being fee-free. And it's awesome at it. It doesn't charge monthly fees, minimum balance fees, or foreign transaction fees. As for overdrafts, Chime® has a SpotMe® feature where you can overdraft by up to $200 on both debit card purchases and ATM withdrawals with no fees. To qualify for the SpotMe® program, you'll need to make monthly deposits of $200 or more, and activate your Chime® Visa debit card.

6. Axos Bank Rewards Checking

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025

Axos Bank Rewards Checking

Read Review
Member FDIC.
Rating image, 4.25 out of 5 stars.
4.25/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
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= Excellent
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Rating image, 4.25 out of 5 stars.
4.25/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Read Review
offer alert
Cash in on up to a $500 bonus† and up to 3.30% APY* with a new Rewards Checking account. Just use promo code RC500 before July 31.
APY
0.40% (up to 3.30%) Rate info Circle with letter I in it. To earn the full APY, account holders must do all of the following: Receive monthly direct deposits totaling more than $1,500; make 10 transactions a month with your Axos debit card, or sign up for Axos's Personal Finance Manager; maintain an average daily balance of $2,500 per month in an Axos Invest Self Directed Trading Account; and use your Rewards Checking account to make your full monthly Axos Bank consumer mortgage, personal, or auto loan payment.
Min. To Earn APY
Monthly direct deposits totaling at least $1,500
  • High checking account APY
  • Unlimited ATM fee reimbursements
  • No monthly maintenance, NSF, or overdraft fees
  • No monthly balance requirements
  • Cash back checking option
  • Must meet certain requirements to earn the highest interest tier
  • Low savings and CD APYs compared to competitors

A solid checking account with an APY that far outpaces the competition. The fact that it also has no maintenance fees and no overdraft or NSF fees are the cherries on top.

Rewards Checking disclosure:

To be eligible to earn all or a portion of the cash incentive as part of the promotional offer "RC500," an application for a Rewards Checking account must be submitted between 06/20/2024 at 12:00 am PT and 07/31/24 at 11:59 pm PT.

Axos Bank reserves the right to limit each primary account holder to one (1) checking account promotional offer per year. Promotional terms and conditions are subject to change or removal without notice. Incentive may be taxable and reported on IRS Form 1099-MISC. Consult your tax advisor. After initial requirements above are met, the amount of incentive earned will depend on meeting the additional requirements outlined below:

Rewards Checking bonus up to $500: You must be approved for your new Rewards Checking account and fund it within 60 days of account opening. An incentive of up to $500 can be earned during the first six (6) statement cycles, starting in the statement cycle thirty (30) days after the account is opened. A statement cycle is a calendar month consisting of at least one day your account was open during that month. You can earn a maximum of five (5) payouts during the six (6) statement cycles, and the incentive will be deposited into the qualifying account within 15 business days following the end of the statement cycle in which the requirements were met.

$100 will be earned for each statement cycle, up to $500, when you meet two requirements during that statement cycle: 1) your Rewards Checking account receives qualifying direct deposits at least $1,500.00 in total, and 2) the average daily balance in your Rewards Checking account is at least $3,000.

Your Rewards Checking account must remain open and in good standing at the time the incentive is paid to be eligible.

A direct deposit is an electronic deposit of your paycheck or government benefits, such as Social Security, Disability etc. Other deposits (i.e., online banking transfers, ATM and mobile check deposits, etc.) or person-to-person payments are not considered a direct deposit. Account transactions may take one or more business days from the transaction date to post to the account.

Why it rocks:

Axos Bank Rewards Checking is one of the rare checking accounts that actually pays you interest! That's pretty sweet for a checking account. There are no monthly fees, no overdraft fees, and you can even get unlimited ATM fee reimbursements (in the U.S.). Plus, Axos sometimes throws in a cash bonus offer for new customers, so it's definitely worth jumping on a promo when you see it!

7. Quontic High Interest Checking

SoFi Checking and Savings
Open Account for SoFi Checking and Savings

On SoFi's Secure Website.

Member FDIC.

Ratings Methodology
Rates as of May 21, 2025
Award Icon 2025 Award Winner

Quontic High Interest Checking

Open Account for Quontic High Interest Checking

On Quontic's Secure Website.

Member FDIC.
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Rating image, 4.50 out of 5 stars.
4.50/5 Circle with letter I in it. Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor. We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.
 = Best
= Excellent
= Good
= Fair
= Poor
Open Account for Quontic High Interest Checking

On Quontic's Secure Website.

High APY when you complete 10 or more qualifying debit card purchases each month
APY
up to 1.10%
Min. To Earn APY
$1
  • High checking APY
  • One of the highest APY for CDs and savings account
  • No monthly fees, overdraft, or NSF fees
  • Comes with a debit card
  • Large fee-free ATM network
  • Quontic Pay Ring: the nation's first wearable payment ring
  • Must meet monthly transaction requirements to earn higher interest tier 
  • Limited CD terms
  • No physical branches

Quontic High Interest Checking earns one of the highest APYs among checking accounts. Unfortunately, you must make 10 qualifying debit card purchases of $10 or more each statement cycle to earn the highest interest tier. Still, the account is a good option to maximize savings beyond other deposit accounts. Plus, it has no monthly fees and access to fee-free ATMs.

10 debit card point of sale transactions of $10 or more per statement cycle required to earn the maximum APY. If the qualifying activity requirement is not fulfilled, the interest rate paid on the entire balance will be 0.01% APY.

Read Full Review

Why it rocks:

The Quontic High Interest Checking account rewards you with a great APY when you make enough debit card purchases each month. It's available in all 50 states, has no overdraft fees, no NSF fees, and no monthly maintenance fees. Even better, you'll get access to 90,000 ATMs for free too.

How I chose these banks

A ton of banks claim to charge "no overdraft fees." But then when you look at the fine print you'll sometimes see a list of a bunch of hoops to jump through to qualify. I dug pretty deep to find these top bank accounts above that are doing their best to not nickel-and-dime their customers.

Here's what I looked for when picking the above bank accounts:

  • Genuine no-fee policies
  • FDIC-insured banks
  • Nationwide availability
  • Strong bonus features
  • Trustworthy reputation

I personally test accounts when I can, and love to read online reviews from forums and rating sites. If it wouldn't make my personal short list, it wouldn't make this one either.

Tips to avoid overdraft fees

Switching banks will certainly help you stop getting dinged for overdraft fees.

But, I feel compelled to tell you that if you're constantly overdrafting, you should probably work on fixing the underlying problem. Here are a few tips:

  • Set up alerts. Most banks let you get texts or emails when your balance dips too low. Always keep tabs on your balance so you never spend more money than you have in your account.
  • Link a savings account. Some of the banks above will automatically pull from your savings account to cover your checking.
  • Use a credit card. If you can handle debt responsibly, most of your spending should be on a credit card. It'll help you build credit, offer better fraud protection, and earn you better rewards!
  • Try a budgeting app. I personally use Empower, which helps me keep tabs on all my account balances. YNAB is an amazing app too!

FAQs

  • It's an annoying fee that your bank charges when you spend more money than you have in your account. It can be upwards of $30 or even $40 per transaction at traditional banks.

  • Yes, and this is a feature I recommend setting up. It teaches you never to spend more money than you have. Just make sure that you have a back-up payment method handy (like a credit card) so you're not stuck in an emergency situation!

  • Absolutely. Every bank account listed here is FDIC insured. This means your money is protected up to $250,000, even if the bank itself goes out of business.

  • It depends on the bank. Some automatically include it as a free feature if you qualify (like Chime's SpotMe®), while others (like Capital One) give you options to turn it on or off based on your preferences.

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