How To Fund Your New Bank Account With A Credit Card

There are multiple ways to fund a new bank account, such as cash, checks, or via electronic transfer. Some banks will also allow credit card funding, which can be very rewarding if you do it right. Keep reading to find out how to fund your new bank account with a credit card, things to consider, and a cheat sheet with a list of banks, if they allow credit card funding, and the maximum amount you can fund your new account via credit card.

Why Use a Credit Card to Fund Your New Bank Account

New bank accounts sometimes come with a welcome bonus if you meet initial funding goals. The same goes for new credit card accounts and hitting initial spending thresholds within a specific time frame. You can also earn ongoing rewards in the form of points, miles, or cashback on eligible credit card purchases which could include funding a new bank account.

See the best bank sign-up bonus offers here…

Let’s say you got a new credit card that will reward you with $500 in points if you spend at least $2,000 during the first three months of account opening. The card comes with a 0% APR on balance transfers for the first 18 months and offers 1% cashback on all purchases.

You also open a checking account with a $300 welcome bonus if you make an initial deposit of $1,500 or more and maintain your balance for 90 days. If your new bank allows you to fund the account with a credit card, you could potentially earn a total of $820 in rewards.

$500 credit card welcome bonus
$20 cashback ($2,000 in spending)
$300 bank account welcome bonus

That’s a pretty sweet deal considering you’re not actually “spending” the $2,000 required for the credit card welcome bonus.

Step 1: Use the Right Credit Card

To begin with, you must choose a credit card that allows you to make bank deposits without being charged a cash advance fee. Instead, the credit card company treats the deposit just like any other purchase, which means you might also receive reward points, miles, or cashback for the transaction. Be sure to contact a customer service rep with your credit card issuer to confirm this.

Step 2: Opt for the Right Bank

For this to work, you need to choose a bank that allows funding via credit card. Some financial institutions, for example, Capital One, forbid customers from using credit cards to make deposits.

Step 3: Choose Your Method

Depending on which bank is involved and how you open the account, there are a few different methods you can transfer money using your credit card into a new account:

• Immediately pay your initial deposit to your Visa or Mastercard.
• Set up direct deposits for credit card transfers to your new bank account.
• Add funds via balance transfer checks.
• Go to the bank and request a teller to do a cash transfer.

Before you open your new account, make sure the bank allows for at least one of the above credit card funding methods.

Things to Consider

The only practical benefit of using a credit card to fund a bank account is to take advantage of perks and bonuses that are otherwise challenging to obtain. But the last thing you want to do when pursuing sign-up bonuses is put yourself in a precarious financial situation.

So, if there’s even a remote possibility that using your card to finance an account would put you in debt, don’t do it. The danger is not worth a $200 bonus. Here’s what you need to keep in mind:

1. Cash advances fees. Whether or not your bank deposit qualifies as a cash advance entirely depends on the rules of your credit card company. You’ll undoubtedly have to pay substantial fees if your deposit is categorized as a cash advance rather than a purchase.
2. Interest on your credit card. You will be charged interest on your unpaid debt if you are unable to settle the deposit amount. The good news is that you’ll have more time to pay it off because many credit cards offer a low or no interest rate as an introductory offer. But don’t wait too long. Never delay paying off your credit card debt completely each month because you never know what the future holds.
3. Late payment penalties. If you can’t make payments on your new credit card, you’ll be assessed late payment fees, just like you would with interest. You should always try to avoid going behind on your credit card payments since it is a dangerous downhill slope.
4. Minimum balance requirements. A lot of bank accounts have minimum balance requirements that must be met in order to prevent incurring additional minimum balance or monthly maintenance fees.

Credit card funding carries the same risk as any other scenario in which you borrow money to make a purchase. The most significant dangers to watch out for are interest on outstanding accounts, late payment fees, and building up debt.

Expect to be slapped with interest fees that could wipe out your profit if you fund an account with more money than you can afford to repay. Similar to this, the sign-up incentive suddenly loses its appeal if you have to pay a cash advance fee.

To avoid accruing interest-bearing debt, make sure you have a defined strategy for credit card funding and are well aware of your credit card’s and bank’s rules and restrictions.

TIP: Before attempting to use your credit card to fund a new account, request a reduction in your cash advance limit to $0. If the transaction will process as a cash advance, it simply will not happen.

Bank/Credit Card Funding Cheat Sheet

Below is a list of banks, along with whether or not they allow credit card funding, and the maximum deposit they allow using this method. Please note that this information might change over time and that not all types of credit cards are accepted. For example, Amalgamated Bank allows for Visa and Mastercard funding, but not funding with American Express cards.

If you fund your bank account with a credit card and it doesn’t match the information below, please comment with your experience below.

Follow the link for any bank to see the respective bonus offer(s).

Major Banks

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Bank of America	No	—
Capital One	No	—
Chase	Yes	$500
Citibank	No	—
Discover	No	—
PNC Bank	Yes	$2,000
Santander	No	—
US Bank	Yes	$200
Wells Fargo	Yes	$50

Banks That Start With A Number

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
1st Source Bank	No	—
3Rivers	Yes	$500
7 17 Credit Union	Yes	$525

Banks That Start With “A”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
ableBanking	No	—
ACNB Bank	No	—
Addition Financial	No	—
Advantis Credit Union	Yes	$2,500
Advia Credit Union	Yes	$505
Affinity Federal Credit Union	Yes	$1,000
All America Bank	No	—
Alliant Credit Union	No	—
AllTru Credit Union	Yes	$500
Ally Bank	No	—
Amerant Bank	Yes	$500
American Bank & Trust	Yes	$2,500
American Eagle Financial Credit Union	Yes	$2,500
American Heritage Credit Union	Yes	$500
American Pride Bank	No	—
America’s Credit Union	Yes	$1,500
Ameris Bank	No	—
AnchorBank	No	—
Andigo Credit Union	Yes	$1,000
APG Federal Credit Union	No	—
Apple Bank	No	—
Ardent Credit Union	Yes	$500
Arizona Federal Credit Union	Yes	$200
Armed Forces Bank	Yes	$100
Arsenal Credit Union	No	—
Arundel Federal Savings Bank	Yes	$500
Arvest Bank	No	—
Associated Bank	Yes	$300
Astoria Bank	No	—-
Axos Bank	No	—

Bank That Starts With “B”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Ballston Spa National Bank	No	—
Bancorp South	No	—
Bank Direct	No	—
bankESB	Yes	$1,000
Bank Mutual	No	—
Bank of Canton	No	—
Bank of Colorado	Yes	$1,000
Bank of Elk River	No	—
Bank of Hope	No	—
BankPurely	No	—
Bankwell	Yes	$1,000
BB&T (BB&T is now Truist)	Yes	$300
BBVA	Yes	$500
Beacon Credit Union	Yes	$500
BECU	No	—
Bell Bank	Yes	$1,000
Bellco Credit Union	No	—
BethPage Credit Union	Yes	$100
Blue Federal Credit Union	No	—
BMI Federal Credit Union	Yes	$250
BMO	No	—
Bridgeview Bank Group	No	—
Brightpeak Financial	No	—
Broadway Bank	Yes	$500
Bryn Mawr Trust	No	—

Banks That Start With “C”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Callaway Bank	Yes	$250
Cambridge Savings Bank	Yes	$1,000
Camden National Bank	Yes	$500
Campus USA Credit Union	No	—
CapEd Credit Union	No	—
Capital Bank	Yes	$50
Central Bank	Yes	$1,000
Central Illinois Bank	No	—
Central Minnesota Credit Union	Yes	$5,000
Century Bank	No	—
Charles Schwab Checking	No	—
Chartway Federal Credit Union	Yes	$1,500
Cheese	No	—
Chesapeake Bank	No	—
CIBC U.S. Bank	No	—
Cincinnati Federal	No	—
Citadel Credit Union	Yes	$500
CIT Bank	No	—
Citizens & North Bank	No	—
Citizens Bank	Yes	$1,000
Clearview Federal Credit Union	Yes	$500
Clinton Savings Bank	Yes	$1,000
Collins Community Credit Union	Yes	$2,500
Columbia Bank	Yes	$1,000
Columbia Credit Union	Yes	$500
Commerce Bank	No	—
Communication Federal Credit Union	Yes	$500
CommunityAmerica Credit Union	Yes	$5,000
Community Choice Credit Union	Yes	$500
ConnectOne	No	—
ConnexUs Credit Union	No	—
Consumers Credit Union	Yes	$210
Cornerstone Bank	Yes	$10,000
Country Bank for Savings	Yes	$2,000
Credit Human	Yes	$500
Credit Union One	Yes	$600
Customers Bank	No	—

Banks That Start With “D”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Dearborn Savings Bank	Yes	$500
Dedham Savings Bank	No	—
Delta Community Credit Union	Yes	$500
Desert Financial Credit Union	Yes	$600
Dollar Bank	No	—
Dundee Bank	No	—

Banks That Start With “E”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Earn Bank	Yes	$500
Eastern Bank	Yes	$2,000
EBSB Direct	No	—
Elements Financial	No	—
Excite Credit Union	Yes	$2,500
Elevations Credit Union	Yes	$2,500
Emprise Bank	Yes	$100
Evansville Teachers Credit Union	Yes	$1,200

Banks That Start With “F”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Fairwinds Credit Union	Yes	$500
Farm Bureau Bank	No	—
Farmers & Merchants Bank	No	—
Farmers & Merchants State Bank	No	—
Fidelity Bank	Yes	$500
Fifth Third Bank	No	—
Firefly Credit Union	Yes	$1,000
First American Bank	Yes	$500
First Bank	Yes	$1,000
First Bank and Trust	No	—
First Bank Financial Centre	No	—
FirstBank	Yes	$600
First Citizens Bank	Yes	$500
First Commonwealth Federal Credit Union	Yes	$500
First Entertainment Credit Union	Yes	$500
First Federal Bank	Yes	$500
First Federal Credit Union	No	—
First Fidelity Bank	No	—
First Financial Bank	Yes	$500
First Flight Credit Union	Yes	$500
First Horizon Bank	Yes	$50
First Merchants Bank	Yes	$1,000
First MidWest Bank	No	—
First National Bank	Yes	$50
First National Bank and Trust Company	Yes	$100
First Tech Federal Credit Union	No	—
First Tennessee Bank	Yes	$50
First Trade Union Bank	No	—
First United Bank	Yes	$200
Firstrust Bank	Yes	$500
Fitness Bank	Yes	$100
Five Star Bank	No	—
Flagship Bank	Yes	$100
Flagstar Bank	No	—
Florence Bank	Yes	$6,000
Florida Credit Union	Yes	$2,500
Flushing Bank	No	—
FNBO	No	—
Focus Federal Credit Union	No	—
Four Points Federal Credit Union	No	—
Freedom Credit Union	No	—
Freedom Federal Credit Union	No	—
Fremont Bank	Yes	$100
Frontier Bank	No	—
Frontwave Credit Union	No	—
Fulton Bank	Yes	$500

Banks That Start With A “G”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Gate City Bank	Yes	$2,000
Georgia Banking Company	No	—
Global Credit Union	No	—
Greater Nevada Credit Union	Yes	$5,000
Grow Financial Federal Credit Union	Yes	$500
GTE Financial Credit	Yes	$500
Guilford Savings Bank	No	—

Banks That Start With “H”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Hanscom Federal Credit Union	Yes	$2,000
HarborOne Bank	Yes	$500
Hawthorn Bank	Yes	$2,000
Heritage Bank	No	—
Heritage Credit Union	No	—
Hiway Federal Credit Union	Yes	$5,000
Home Federal Savings Bank	No	—
HomeStreet Bank	No	—
HomeTrust Bank	No	—
Honor Credit Union	Yes	Unlimited ($15 fee)
Horizon Credit Union	Yes	$500
HSBC	No	—
Hudson Valley Federal Credit Union	Yes	$10,000
Huntington Bank	No	—

Banks That Start With “I”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
IBERIABANK	Yes	$500
IC Federal Credit Union	No	—
Ideal Credit Union	Yes	$500
Incredible Bank	No	—
Independent Bank	Yes	$1,000
Industrial Bank	No	—
INOVA Federal Credit Union	No	—
InRoads Credit Union	Yes	$500
Investors Bank	No	—

Banks That Start With “J”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
JSC Federal Credit Union	Yes	$1,000

Banks That Start With “K”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Kentucky Bank	No	—
KeyBank	Yes	$100
KeyPoint Credit Union	Yes	$2,500
KS StateBank	Yes	$1,000

Banks That Start With “L”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Lafayette Federal Credit Union	Yes	$750
Lakeland Bank	Yes	$1,000
Lake Michigan Credit Union	Yes	$50
Landmark Credit Union	Yes	$500
LBS Financial Credit Union	Yes	$500
LegacyTexas	No	—
Level One Bank	No	—
Liberty Bank	Yes	$500
Lili Bank	No	—
Los Angeles Federal Credit Union	Yes	$500

Banks That Start With “M”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Macatawa Bank	Yes	$900
Mainstreet Credit Union	Yes	$505
Marine Bank	No	—
Mazuma Credit Union	Yes	$500
MB Financial Bank	No	—
MemoryBank	Yes	$1,000
Meriwest Credit Union	Yes	$500
Metro Credit Union	Yes	$2,000
Michigan Schools & Government Credit Union	Yes	$2,600
Michigan State University Federal Credit Union	No	—
MidFirst Bank	No	—
Mid-Hudson Valley Federal Credit Union	Yes	$100
Midland States Bank	Yes	$1,500
MidWestOne Bank	No	—
Mission Federal Credit Union	Yes	$750
Monifi	No	—
MountainOne Bank	Yes	$1,000
mph.bank	Yes	$495
Mutual Security Credit Union	No	—
My Banking Direct	No	—
My eBanc	No	—
MVB Bank	No	—
M&T Bank	Yes	$250

Banks That Start With “N”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
NASA Federal Credit Union	Yes	$500
Nassau Financial Federal Credit Union	Yes	$500
NBC Oklahoma	No	—
Nearside	No	—
New Buffalo Savings Bank	No	—
New York Community Bank	No	—
North American Savings Bank	No	—
Northfield Bank	No	—
NorthPointe Bank	No	—
Northwest Federal Credit Union	Yes	$520
North Shore Bank (MA)	No	—
North Shore Bank of Commerce	Yes	$5,000
NuVision Federal CU	Yes	$500
NWSB Bank	Yes	$1,000

Banks That Start With “O”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
OceanFirst Bank	Yes	$100
Old Hickory Credit Union	No	—
Old National Bank	Yes	$500
Old Second Bank	No	—
One American Bank	No	—
OnPoint Community Credit Union	Yes	$500
On Tap Credit Union	Yes	$500
Orange County’s Credit Union	Yes	$500
Orion Federal Credit Union	No	—

Banks That Start With “P”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Partner Colorado Credit Union	Yes	$500
Penn Community Bank	Yes	$500
PenFed Credit Union	Yes	$50
Pentucket Bank	Yes	$2,500
PeoplesBank	Yes	$500
People’s Credit Union	Yes	$2,505
People’s United Bank	No	—
Pinnacle Bank	Yes	$1,000
Popular Bank	No	—
Popular Direct	No	—
Premier America Credit Union	No	—
Premier Bank – OH	Yes	$500
Premier Members Credit Union	Yes	$1,500
Provident Credit Union	Yes	$1,000
PSECU	Yes	$100
Purdue Federal Credit Union	Yes	$250
PurePoint Financial	No	—

Banks That Start With “Q”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Quontic Bank	No	—
Quorum Federal Credit Union	No	—

Banks That Start With “R”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Redstone Federal Credit Union	Yes	$530
Regions Bank	Yes	$125
Reliant Community Credit Union	Yes	$500
Republic Bank	Yes	$500
Rivermark Community Credit Union	Yes	$3,505
Rockland Trust Bank	Yes	$2,000
Royal Credit Union	Yes	$1,000

Banks That Start With “S”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Sacramento Credit Union	Yes	$500
SAFE Credit Union	Yes	$250
Salal Credit Union	No	—
Salem Five Bank	No	—
Sandy Spring Bank	Yes	$250
San Mateo Credit Union	Yes	$500
Sauk Valley Bank	Yes	$1,000
Seacoast Bank	Yes	$100
Service Credit Union	Yes	$249
Simple Bank	No	—
SkyOne Federal Credit Union	Yes	$500
Solvay Bank	No	—
South Shore Bank	Yes	$250
Southside Bank	No	—
South State Bank	Yes	$250
S&T Bank	Yes	$100
Starion Bank	Yes	$500
Star One Credit Union	Yes	$1,000
State Bank of India	No	—
SECU of Maryland	No	—
St. Mary’s Bank	Yes	$250
Stoneham Bank	No	—-
St. Paul Federal Credit Union	Yes	$1,000
Suffolk Federal Credit Union	Yes	$1,000
Sun East Federal Credit Union	Yes	$550
Sunflower Bank	No	—
SunTrust (SunTrust is now Truist)	Yes	$250
SunWest Credit Union	Yes	$750

Banks That Start With “T”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
TAB Bank	No	—
Talmer Bank & Trust	No	—-
TBK Bank	No	—
TCF Bank	Yes	$100
TD Bank	Yes	$1,000
TDECU	Yes	$2,500
Teachers Credit Union	Yes	$2,500
Teachers Federal Credit Union	Yes	$5,000
Technology Credit Union	Yes	$125
The State Bank Group	Yes	$5,000
Thrivent Federal Credit Union	No	—
TIAA Direct	No	—
Tower Federal Credit Union	Yes	$500
Town Bank	No	—
Truist Bank	No	—
Truliant Federal Credit Union	Yes	$2,500
TruMark Financial Credit Union	Yes	$2,000
Trustco Bank	No	—
TruStone Financial Credit Union	Yes	$2,000

Banks That Start With “U”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
UMB Bank	No	—
UFB Direct	Yes	$100
Umpqua Bank	Yes	$2,000
Unify Financial Credit Union	Yes	$2,000
Union Bank & Trust	Yes	$500
Union Savings Bank	No	—
United Community Bank	Yes	$500
United Bank	Yes	$500
United Federal Credit Union	Yes	$1,000
United States Senate Federal Credit Union	Yes	$500
Unitus Community Credit Union	Yes	$750
University Federal Credit Union	Yes	$1,000
Upgrade	Yes	$500
USAA	Yes	$100
USALLIANCE Financial	Yes	$100
USE Credit Union	Yes	$500
Utah First Credit Union	Yes	$500

Banks That Start With “V”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Valley Strong Credit Union	Yes	$150
Vantage West Credit Union	Yes	$2,000
Varo Money	Yes	$100
Verity Credit Union	Yes	$1,000
Virginia Credit Union	Yes	$500
VirtualBank	No	—

Banks That Start With “W”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Webster Bank	No	—
Weokie Federal Credit Union	Yes	$3,000
Wesbanco	Yes	$500
Wescom Credit Union	Yes	$1,500
Western State Bank	No	—
Westerra Credit Union	Yes	$2,000
Westfield Bank	Yes	$500
Wings Financial Credit Union	Yes	$500
Wintrust Bank	No	—

Banks That Start With “V”

BANK	ALLOWS CREDIT CARD FUNDING	MAXIMUM DEPOSIT VIA CREDIT CARD FUNDING
Valley National Bank	No	—

READ MORE: SEE THE BEST BANK BONUSES HERE AND THE BEST INVESTING BONUSES HERE.