Advertising Disclosure
If you recently applied for a checking account and were denied because of a negative banking history, you’re not alone. Approximately 85% of banks in Iowa use a company called ChexSystems when you apply for a new checking account. If you have experienced several overdraft checks from another bank or have been unable to pay overdraft fees, ChexSystems will flag that behavior making it next to impossible to find a bank willing to work with you.
Granted, ChexSystems is the safety net for bank institutions to weed out people who have committed fraud or identity theft, but if you get caught in the net it can be crippling. And most of us absolutely require the use of a bank checking account to manage our money, pay bills, and receive direct deposits from an employer or government agency.
Fortunately, some banks and credit unions offer so-called No ChexSystems Checking Accounts and/or Second Chance Checking Accounts to help people rebuild their credit and financial histories. Our job at checkingexpert.com is to find those institutions in Iowa that can assist you.
The Best Second Chance Banks and Credit Unions in Iowa

And, best of all, Chime accepts almost all customers who apply. Even if you have bad or poor credit or have been blacklisted by ChexSystems or the credit bureaus.
Features include mobile deposits, direct deposit, online bill payment, NO monthly or annual fees, NO overdrafts fees1, NO credit check, and NO CheckSystems. Opening an account is super easy. It takes about 2 minutes and you don’t have to make an initial deposit. Here’s what we like:
No Monthly Fees
For the past couple of years, Chime’s huge growth has come at the expense of the big banks and their outrageous fees. And it’s one of the best features of a Chime account. There are no monthly or annual service charges, no minimum balance requirement, no foreign transaction fees, no fees at over 60,000 ATMs2, and no fees for mobile and online bill pay.
Deposit Cash for FREE at Over 8,500 Walgreens
Having access to a physical location for cash deposits is important to Chime members. And now it’s easy. All you have to do is go into a Walgreens store, hand the cashier the cash you want to deposit along with your Chime card, and the deposit will show up in your account immediately. This offers Chime members more walk-in locations than any other bank in the U.S. With over 78% of the country within 5 miles of a Walgreens, this is a significant benefit for millions.3
Smart Technology
Unlike big banks, Chime was created during the smartphone era and, therefore, features an app that is more than just a way for customers to review their bank accounts.
You can transfer funds to friends and family, Chime members or not… and they can claim their money instantly4 without any additional apps. The Chime app also has a series of notifications that you can turn on or turn off so you stay in complete control. Misplaced or lost your card? You can instantaneously turn off your card using the app. No wonder over 300,000 customers have given the app a 5-star review.
Customers First 
Chime was one of the first to offer a “round up” option. If you use your Chime card on a purchase of $10.65, Chime gives you the option of automatically rounding up to $11.00 and putting the remaining $.35 in your free Chime savings account. And that adds up over time! Plus, Chime pays 0.50% Annual Percentage Yield (APY)5 in interest on that savings account.
If you use direct deposit with your Chime account, you can get your paycheck up to 2 days early6. And Chime is just saying no to big bank NSF charges with a fee-free overdraft program up to $200. Finally, Chime just recently launched their Credit Builder credit card with no interest and no annual fee. We don’t think there is another company innovating for their customers like Chime.
Get a Chime Account Today!
Chime is a financial technology company, not a bank. Banking services and debit card issued by The Bancorp Bank or Stride Bank, N.A.; Members FDIC. See additional disclaimers below.

Here are some of our favorite features with this account:
- NO credit check
- NO ChexSystems
- NO minimum deposit to open
- NO overdraft fees
- FREE access to over 16,000 Chase ATMs
- FREE Chase Online Bill Pay
- FREE money orders and cashier’s checks
Highly Rated Mobile App
Available for iOS and Android, the Chase Mobile app offers 24/7 access to your account. The app is highly rated, earning 4.8 stars out of 5 on the App Store and 4.4 stars out of 5 on Google Play.
You can transfer funds, deposit checks, send money with Zelle, set up account alerts and notifications, and lock your card if it’s been lost or stolen.
The app also has incredibly helpful budgeting tools, personalized insights, and the ability to check your credit score for free.
How The Account Works
Opening the Chase Secure Banking account is easy. They verify your name, address, and social security through Experian, but don’t pull a credit report or credit score. Chase doesn’t use ChexSystems for this account, either. Account approval is immediate, there’s no opening deposit requirement, and you’ll receive your Chase Secure card within a matter of days.
Chase doesn’t offer overdraft services with this account as you can only spend the money you have available and the account does not include paper checks.
Chase Secure Banking carries a $4.95 monthly service fee that cannot be waived. But combined with all the free services and the $100 cash bonus when you use the card for 10 purchases within 60 days, the monthly fee doesn’t pose a problem for most customers. And, you’ll have peace of mind with Chase’s Zero Liability Protection if you detect and report unauthorized transactions.
Banking With A Leader
Chase claims to be involved with 40% of Americans in some way or another. There can be comfort in size, reach, and stability. Chase has all of that and the assurance they will be there for a long, long time.
If you’ve wanted to bank with Chase and wondered if you’d qualify, we think you’re going to be really happy with the Chase Secure Banking account.

- FREE business Mastercard debit card
- FREE access at over 1,000,000 ATMs nationwide
- FREE online and mobile app
- FREE live chat (not a chatbot), telephone, or email support
- FREE in-app invoice creator
- NO minimum monthly balance requirement
- NO NSF fees
- NO ACH transfer fees
- NO credit check or ChexSystems
Banking Services
NorthOne doesn’t require a minimum account balance and charges a $10 monthly fee that includes unlimited transactions in your account. These include ACH payments, bill pay, debit card usage, mobile deposits, and transfers. The only other fee is $15 for wire transfers.
You can also grant read-only access to employees or your accountant or bookkeeper. This keeps your account safe while also giving access to those who need it.
Integrations
With NorthOne business banking, you can connect your account to an almost unlimited number of third-party apps. NorthOne integrates with business tools including Paypal, Stripe, Square, Etsy, Shopify, Airbnb, Amazon, Venmo, Toast, Uber, Lyft, Quickbooks, FreshBooks, Wave, Expensify, and many more. Through these integrations, you can sync transaction details, collect payments, see and pay invoices, send payroll, pay contractors, and more.
If creating and sending invoices, quotes, and estimates is critical to your business, NorthOne offers a free stand-alone invoice creator that integrates seamlessly with the banking app. We’ve tried it and think it’s an elegant solution.
Envelopes
NorthOne has created a feature that helps you plan for and manage important expense categories. They call these sub-accounts “Envelopes” and you can set up as many as you want. This allows you to set aside funds you know you’ll need in the future such as taxes or payroll. You can set custom rules for your envelopes and easily move money back and forth as needed.
Application Process
NorthOne targets account approvals within one to two business days. Information required to open an account includes name, address, and social security number or tax identification number. If applicable, NorthOne may ask for a copy of your business license and business formation documents. After you’re approved, you’ll need to make a $50 minimum opening deposit.
NorthOne is one of the most competitive business bank accounts for entrepreneurs and small business owners. Their combination of services and offerings, the fast application process, and customer support create an outsized competitive advantage for both the bank and its customers. Every small business owner understands how critical that is for success.

We love the heavy metal tungsten Visa debit card and the world-class smartphone app that allows you to manage every aspect of your new checking account such as budgeting, spending, and security.
Another nice option is the ability to round up on every purchase and Acorns will take that money and automatically put it in a savings account. This really helps build a nest egg.
It takes about 2-3 minutes to sign up and not only do you get a checking and savings account, but you also have access to an investment account once you’re ready to consider that. And, it’s free.
Here’s more:
- FREE Visa® debit card
- FREE bank-to-bank transfers
- FREE physical check sending online or through the mobile app
- FREE mobile check deposits
- FREE or reimbursed ATM withdrawals nationwide
- NO minimum balance of overdraft fees
- NO credit check; ChexSystems OK
- FDIC insured
There is a $3 monthly fee that is easily covered by the ATM fee reimbursement and other goodies included with the account. To get the $75 bonus, all you have to do is set up Acorns Spend as your direct deposit method with your employer and receive 2 direct deposits of at least $250 each ($500 total).
If you’ve struggled with poor credit or ChexSystems, Acorns might be the perfect account.

Why are we featuring Current on our website? It’s simple: they don’t use ChexSystems or your credit report to open a new account. Sign-up takes about 2 minutes and Current has extremely high acceptance rates. But what’s really cool are the incredible features offered with this account:
- NO minimum balance
- NO deposit required to open an account
- NO overdraft fees when you overdraw by up to $100 with Overdrive™
- NO fees at over 40,000 ATMS in the U.S.
- Get your paycheck up to 2 days early with direct deposit
- Earn 4.0% interest on your balance up to $6,000
- Earn points for unlimited cashback at participating retailers
- Send money instantly for free
- An elegant but simple smartphone app
- 24/7 member support
Current offers a really unique service it calls Gas Hold Removals. What’s a gas hold? Some gas stations may apply a hold from $50 to $100 when you use a debit card to pump gas. If you only pumped $10 of gas, but the gas station places a $100 hold on your funds, you won’t have access to the $90 difference for up to 3 business days! The Current debit card will immediately refund the hold so you have access to all your funds. We haven’t found that benefit anywhere in the marketplace.
Here’s what’s really important, though. Deposits are FDIC-insured up to the highest possible amount allowed: $250,000. We love the features, we love the smartphone app, and we love Current. That makes us think you’ll love them too.
Get a Current Account Now!
Current is a financial technology company, not a bank. Banking services provided by Choice Financial Group and Metropolitan Commercial Bank, Members FDIC.

You get a debit MasterCard and a very slick smartphone app. You can make deposits, write checks, utilize electronic bill pay, and transfer money. There are no monthly fees or overdraft fees. Plus, you earn interest on all the money in the account! The sign-up process can take less than 60 seconds. With over 2.5 million members, SoFi is a bank you can count on!
The $325 bonus comes in two parts. When you deposit at least $10, SoFi will credit your account $25. When you set up direct deposit from an employer, SoFi will credit your account $300 and bump the interest rate you earn to 1.25% APY. The bonus and interest rate are some of the highest we’ve seen.
- No account fees
- No minimum balance
- No fees at over 55,000 ATMs
- Access to SoFi member benefits like career coaching and financial advising
- Automated bill pay
- Freeze debit card on-the-go
SoFi Money has been great! The account was easy to open and I got my debit card a few days later. The smartphone app is easy to use and I can check everything from my computer, too. I’ve had some issues with ChexSystems in the past and SoFi Money seems to be the perfect account.
Gena M., SoFi Money Customer

Free or Monthly Fee – You Choose
With an Aspiration account, you decide how much your monthly fee will be — starting at $0. Through its “Pay What Is Fair” model, the company trusts customers to choose a monthly fee that’s fair for your wallet and fairly reflects the service you get from Aspiration. You can change your fee at any time.
For $7.99 per month, you can also choose to become an Aspiration Plus member and earn extra perks: 5% APY interest on savings, 10% cashback on certain purchases, and a debit card made of recycled ocean plastic.
Whichever account you choose, there are no minimum balance requirements. There are no fees at over 55,000 ATMs and no fees for paper checks you receive when you open the account. You can’t overdraft on your Spend & Save Account, so you don’t have to worry about overdraft fees, either.
If you set up direct deposit, your money will get to your account up to 2 days early. There is a $10 opening deposit required.
Do Well. Do Good.
Aspiration has created a banking experience they hope will match your environmental values. This includes a pledge that deposits won’t fund fossil fuel exploration or production and providing a personal impact score to help you shop to match your values. Another cool feature we like is that with every “round up” purchase you make, Aspiration will plant a tree.
If you upgrade to the Aspiration Plus account, there are a host of “Planet Protection” features. For example, Aspiration will provide carbon offsets to match the calculated carbon output for every gas purchase you make. You’ll get 10% cash back on purchases from the “Conscience Coalition” which includes retailers such as Blue Apron, Warby Parker, Imperfect Foods, and Toms.
This is the only banking product we’ve reviewed that offers the opportunity for members to spend and save with an environmentally friendly purpose.
Banking Your Way
There’s a lot to like about Aspiration: With NO ChexSystems and NO credit check, getting an account is easy and the smartphone and online apps are beautifully organized. Plus, you get rewarded for spending smarter and making an impact on your own carbon footprint.

To be eligible for a Fresh Start account, all entries within ChexSystems must be older than one year. The monthly account service charge is $12 but grants you a variety of benefits for qualified customers, including:
- A Bank of the West debit card for all purchases and withdrawals
- Online banking with bill pay services
- Unlimited access to Bank of the West ATMs
- No-limit check writing
With over 25 branch locations in Iowa alone, you can find a Bank of the West in Decorah, Ankeny, Des Moines, Johnston, and many others.

They offer a general Share Draft Checking account that comes with a mobile banking app with mobile check deposit, a free debit card, and overdraft protection services. This account is free to open and doesn’t have any monthly service fees or minimum balance requirements. You can also earn interest if your balance is over $500!
To get started, you will need to become a member of Cedar Falls Community CU first. They offer membership to anyone who lives or works in 20 eligible Iowa counties. You can also join if you have a relative that is already a member. Visit their website or one of their branches located in Cedar Falls or Waverly to get started.

Take2 Checking requires $50 as an opening deposit and has a moderate monthly service fee of $9.95. In return, you get a free Visa debit card, access to online and mobile banking, unlimited check writing, and unlimited transactions. We like this account because it allows you to upgrade to a traditional checking option after 12 months of good standing.
Collins Community CU extends membership to anyone who lives or works in one of over 35 eligible Iowa counties. You can also join if you have a family member who has already become a member or if you work for one of their select employee groups. Their branches can be found throughout Iowa in Des Moines, Cedar Rapids, Altoona, and several other cities.

The account only requires $25 to open and has no monthly service charges or minimum balance requirements. With Totally Free Checking you can set up direct deposit and use their online banking and bill pay tools. You will also get your first box of checks for free and a complimentary thank you gift!
To get started, visit their website or one of their branches located in DeWitt or Wilton.

All that is required to open this account is a low $25. You won’t have to worry about monthly fees if you enroll in eStatements and you also gain access to online banking, unlimited check writing, and money management tools.
You can fill out an online application or visit one of their branches located in Dubuque or Farley to get back on track with banking!

We recommend their Free Checking if you tend to keep an account balance of less than $5000. All that is needed to get started with the account is a $50 opening deposit. After that, you won’t need to worry about any monthly service charges or minimum balance requirements. You also get access to nice benefits including unlimited check writing, a free MasterCard debit card, and online banking access.
Everyone living and/or working in Iowa is eligible to join Dupaco Community CU. When you apply, you will need to deposit $25 into a savings account to establish membership. You can find branches across the state in Cedar Rapids, Dubuque, Cedar Falls, and several other cities.

We like their traditional Regular Checking account because it only has a low fee of $3.00 each month. This can be waived if your daily balance is above $100 or your monthly average balance is above $500. Although Exchange State Bank doesn’t have a huge internet presence or modern digital tools, this account can still be helpful for those that have been turned away from other banks in the past.
If you would like to get an account, contact one of their three branches in Ames, Collins, or Exira.

Free Checking requires an opening deposit of at least $100, but after that point the account is free and you won’t have to worry about any monthly service fees. This account also comes with the basics like a debit card and access to online and mobile banking.
To get started, you can apply for an account online or visit one of their locations in Iowa City, Lone Tree, or Nichols.

This account comes with all the necessities, including a free debit card, access to mobile banking with check deposit, and free eStatements each month. After you deposit $100 or more into your account at the time of opening, you won’t need to worry about any monthly service fees or balance requirements.
You can apply for this account online or visit one of their branches located in Cedar Falls, Dunkerton, Gilbertville, Jesup, Waterloo, Waverly, and Des Moines.

We like Everyday Checking because it has the fewest requirements and a low service fee of $4 each month if you are enrolled in eStatements. You can also avoid the fee if you enroll in direct deposit or keep a daily balance of $750 or more. This account is a great option if you value easy money management for day-to-day purchases.
Farmers Trust & Savings Bank is located in Spencer, Iowa. You can apply for an account online or contact their office to get started!

All checking accounts include internet banking, free bill pay, and free overdraft sweeps. Their Fresh Start Checking requires a steep $250 opening deposit and a $6 monthly service charge. If your balance falls below $250, you will incur a $2 miscellaneous fee. If you are eligible for Basic Checking, there are fewer fees and a lower opening deposit amount.
To get an account, you will need to contact Federation Bank directly. You can visit them at one of their branches located in Washington, Brighton, Welman, or Richland.

Out of their seven different account options, we recommend First Checking. This traditional account includes all the basics with no fees. You get access to free online banking and unlimited check writing without having to pay monthly service fees or worry about minimum balance requirements.
Unfortunately, you cannot apply for this account online, but you can contact one of their branches located in Wheatland, Dixon, Lost Nation, Calamus, Grand Mound, Donahue, or Eldridge to get started!

We like their Regular Checking account because it has the least requirements and is an easy way to manage your money. If your daily balance remains above $300, they will even waive your monthly maintenance fee! This account includes unlimited check writing, digital wallet capabilities, and a debit card for day-to-day use.
Frontier Savings Bank is Iowa-based and has three locations in Council Bluffs, Glenwood, and Tabor. Stop by one of their convenient locations to open an account!

One significant drawback to many online-only bank accounts is that they have no way to accept cash deposits. But GO2bank accepts cash deposits at over 90,000 Green Dot locations nationwide. However, participating retailers may charge you a fee.
If you direct deposit over $500, your monthly maintenance fee of $5.00 is waived. And, they offer a pretty sweet overdraft protection program, but it has a gotcha charge of $15 if you don’t replace the funds within 24 hours.
Account-holders will appreciate the ability to budget their money with the help of a mobile app, budgeting tools, and a savings vault. In fact, they pay 1% on all money in the saving vault up to $5,000.

With Fresh Start Checking, there is no required opening deposit and the monthly maintenance fee is a low $5 each month. This account does not come with mobile check deposit services, but it does offer online banking, free eStatements, and unlimited check writing capabilities. It’s also important to note that there is a $500 daily limit on your debit card.
Greater Iowa CU offers membership to anyone who has a connection to one of 33 eligible counties in Iowa. You can also join depending on your employer or if you are a relative of a current member. You can find convenient branches located in Ames, Ankeny, Denison, Greater Des Moines, Indianola, and Waukee. Visit their website or stop by a branch to see if you qualify!

If this sounds like a good fit for you, we recommend their Free Checking account. All you’ll need is a $50 opening deposit to get started. From that point, there are no monthly service fees and you gain access to over 35,000 surcharge-free ATMs. Free Checking also comes with a debit card and smartphone banking capabilities.
You can find Great Western Bank’s Iowa branches located in Marshalltown, Burlington, and Bedford. You can apply for the account online or visit them in person to get started!

GTE Financial is one of the largest credit unions in the US. Membership is open to anyone through easy requirements and an online application process. The Go Further account includes:
- Free EMV-equipped debit card with built-in rewards
- Online and mobile banking tools
- Free bill pay service
- Easy money transfers through the Popmoney service

Out of their eight checking account options, we think Free Checking is the most straightforward and easiest to manage. This account is truly free – meaning there is no required opening deposit, no monthly service fees, and no balance requirements. You will also get the necessities with this account like online banking, a debit card, and digital wallet capabilities.
Hills Bank and Trust Company has branches located mostly in eastern Iowa. You can find them in Cedar Rapids, Coralville, Hills, Iowa City, Lisbon, and several other cities. To get an account, you can either apply online or visit a branch nearest you!

Out of their several different checking accounts, we recommend $mart Rewards Checking. This account requires a $100 opening deposit and will charge a $5 monthly service fee if your average balance is less than $500. We like this account because it refunds you a few dollars each month just for using your debit card! You can also sign up for credit monitoring services to help you stay up to date on your finances.
Home State Bank has one main office located in Jefferson. You can contact them or stop by the branch to open an account.

If you’re looking for an account that avoids those pesky monthly service fees and still includes bonus features, we recommend their Reward Checking account. You can avoid the $5 monthly service fee if you enroll in eStatements and use your debit card 10 times each month. You will also be rewarded for using your debit card by receiving a 0.25% credit back for the amount you spend each month!
To apply for an account, you will need to visit one of their branches in Iowa Falls or Williams. Stop by the location nearest you today to take a step towards re-establishing yourself in the banking system.

Out of the six different checking accounts they offer, we recommend Free Checking if you want the basics with no fees or excessive requirements. Like the name would suggest, Free Checking doesn’t include any monthly service fees or minimum balance requirements. However, it’s important to note that there is a $100 minimum opening deposit as well as a $15 annual charge for a MasterCard debit card.
Iowa State Bank & Trust Co is based in Fairfield, Iowa. Visit one of their branches in Fairfield to apply or open an account in minutes on their website!

They offer a traditional checking account called Economy Checking that doesn’t have any monthly service fees if you sign up for eStatements. You will also receive a free debit card and get access to online and mobile banking. All that is required to get started is at least $100 for the opening deposit.
They have an application for Economy Checking on their website, or you can apply in person at one of their locations in Keystone, Marengo, Center Point, Pleasant Hill, or Victor.

- Free MasterCard® debit card
- Free mobile banking with check deposit
- Free online banking with bill pay
- $10 minimum deposit to open account
- Monthly service charge of $9.00
- No minimum balance
- Ability to upgrade account after 12 months of responsible banking

Lili offers a checking account and Visa debit card with no initial deposit or minimum balance requirement, no hidden fees, no credit check, and no ChexSystems. Lili makes getting your account easy! Here’s more of what we like:
- FREE business VISA debit card
- FREE (and very user-friendly) mobile app
- NO minimum balance
- NO NSF charges or fees
- NO credit check or ChexSystems
- Receive direct deposit funds 2 days earlier than many banks
- Mobile check deposit
- Unlimited fee-free transactions
- Takes 3 minutes to apply
Integrated Tools
The Lili smartphone app gives you access to tools to manage your expenses and taxes. You assign a category for each expense by swiping left for “life” or personal expenses and right for “work” or business. You can also add receipts to transactions, download quarterly and annual expense reports, and track spending in real-time. Lili will automatically assign an expense category based on the merchant, but allows you to edit the category as needed.
Buckets
Lili has an optional feature called “buckets” that allows you to set aside money in a savings account. The first of these is called a “Tax Bucket”, where you specify a percentage of your direct deposits you want to be saved for future tax payments. You can easily make adjustments and changes along the way and move the money back and forth from your checking account and tax bucket savings account. That way, you know the money will be there when you need to make tax payments.
The second of these buckets is called the Emergency Savings Bucket. You can automatically transfer at least $1 a day to this savings account to use for any larger purchase or unforeseen expense.
Robust for Most
Lili is best for small business owners who want a no-frills, no cost, no minimum balance bank account. You can run all your business and personal expenses through the account and can easily identify and separate them out for accounting and tax purposes. After your account is set up, you can add a business name or DBA name to the account. And you manage everything from the touch of your smartphone.
But there are some limits, too. Lili doesn’t offer checks and you can’t set up your account with an employer identification number. Depositing cash at Green Dot locations can cost up to $4.95 and mobile check deposits are limited to $6,000 per month.
Lili Pro
Lili recently announced a new set of features called Lili Pro. The cost is $4.99 per month and includes a no-fee overdraft up to $200 on debit card purchases and a robust and unlimited invoicing capability built into the smartphone app. On top of that, users receive 1.00% APY on savings account balances and a more robust expense tracking capability. The Pro version also offers cashback when you make purchases at over 14,000 merchants. If you’re not sure you want to sign up for Lili Pro, get Lili Standard (no cost) and you can upgrade later.
Application Process
You can set up an account online. If you’re a freelancer, you should receive approval and account access almost instantly. If you’re a sole proprietor or single-member LLC, approval can take a couple of days. You can fund your account using a mobile check deposit, direct deposit, ACH transfer, or by linking your Venmo, PayPal, or Cash App account.
Lili is open for business. Anyone who is their own boss: a sole proprietor, gigsters (ie. Uber and Lyft drivers), contractors, freelancers, or part-time entrepreneurs – you all qualify! Whether you opt for the fee-free Lili Standard account or the upgraded Lili Pro account, we think you’re going to like the way Lili helps you manage your growing business!
Open a Lili account now!
Credit Builder Checking is extremely affordable with only a $5 monthly service charge and a $55 opening deposit requirement. You will also get unlimited ATM access, online banking with bill pay, and a debit card. They also have several helpful articles on their website that can provide some valuable insight on how to build and manage your credit.
To become a member of Marine CU, you can visit their website to get started or one of their Iowa branches located in Davenport, Decorah, and West Des Moines.

This account requires a steep $100 opening deposit, but is fairly affordable beyond that. The $7 monthly service fee can be waived if you maintain a minimum balance of $100 or more. You will also get access to online banking, mobile check deposit, and a debit card for everyday purchases.
MBT Bank is Iowa-based and has branches located in Forest City, Lake Mills, and Clear Lake. Visit a branch nearest you to get started!

They offer their Midland Difference Checking account that has no monthly service fees. We like this account because it gives you the opportunity to earn dividends on balances greater than $500! In addition, you will also be provided with the necessities such as free eStatements, a debit card with fraud protection, and access to online banking.
There are a few requirements in order to become a member of Midland Credit Union. You can join if you live or work in one of 18 eligible Iowa counties or if you work for an authorized employee group. Visit their website or stop by one of their branches in Urbandale or Pleasant Hill to see if you are eligible!

Both account options come with a free NFCU debit card. There is no monthly service fee with direct deposit. Your account is protected from overdrafts with free savings transfers, a checking line of credit or an optional overdraft protection service. You also receive:
- Free mobile deposits
- Free bill pay
- Free traditional name-only checks
- Dividends credited monthly

We like this account because it will not allow you to overdraw your account. By removing check writing abilities, there’s less of a chance you will overspend and have to pay expensive overdraft fees. You will also get a free debit card and receive access to online banking.
If North Iowa Community CU sounds like a good fit for you, contact one of their branches in Mason City to join the credit union and apply for an account!

Their general Share Draft Checking account doesn’t have a minimum balance and has an extremely low monthly service charge of $3.21. We like this option because it pays you monthly dividends on your account balance! You will also receive a free ATM card or debit card as well as 50 free checks.
To become a member at North Star Community CU, you will need to live or work in one of their 14 eligible Iowa counties. To see if you are eligible, visit their website or contact one of their branches located in Cherokee, Ida Grove, or Sheldon.
One of the most important steps to taking your business to the next level is the need to set up a business bank account. And if you get the right business account, it can give your growing business all the tools much larger businesses enjoy… without all the big business costs.
Novo understands small business owners and makes it easy to open and manage an account. As an online-only bank, you’ll find Novo strikes the right balance between technology, human touch, and real-world benefits. Here are some of our favorite features for Novo Business Checking:
- NO monthly fees
- NO minimum balance requirement
- NO ATM fees
- NO credit check or ChexSystems
- FREE Mastercard debit card
- FREE mobile app
- FREE transfers, mailed checks, and incoming wires
- FREE invoicing to create, send, and track invoices
- FREE mobile check deposit
Business Banking Made Easy
There are no monthly fees, no minimum balance requirements, no incoming wire fees, and no transaction fees with Novo. Novo even refunds all ATM fees. You’ll never be charged for incoming or outgoing ACH transfers, debit card replacements, paper statements, or stop payments.
If you’d like, Novo will send free paper checks for your use. You can also use the app to have checks mailed out. The gotcha with paper checks is that if you don’t have enough money to cover the check, Novo will charge a fee of $27 for insufficient funds. And if you deposit a check from a customer that doesn’t clear, you’ll get whacked for $27.
Novo doesn’t allow you to deposit cash. Instead, you’ll have to use vendors such as USPS, Walmart, and grocery stores to exchange your cash for a money order. Then you can use the mobile check deposit feature to deposit the money order. Novo may not be the right business account for you if your business deals with a lot of cash.
Business Tools
You can manage your account from your computer or the Novo smartphone app. This allows you to avoid the hassle of visiting a physical bank. And the Novo Reserves budgeting tool allows you to set aside funds in your checking account for expenses such as payroll or taxes.
We especially like their fully integrated invoicing feature which allows freelancers and contractors to send and manage unlimited invoices. You can make payments by ACH transfer and if you are using the Novo Stripe integration you can accept payments through your Stripe account.
Novo seamlessly integrates with popular business tools such as Stripe, Shopify, Zapier, Quickbooks, and Xero. You can also connect Square, Wave, PayPal, Venmo, Apple Pay and Google Pay.
Discounts
Novo has a program called Novo Perks that gives you perks on wide range of business software and services such as Stripe, Quickbooks, Gusto, Google, Hubspot, Booking.com, and many more. For example, you can get $20,000 in fee-free credit card processing with Stripe.
Application Process
It takes about 10 minutes to sign up for a Novo account. You’ll need personal and business information, which may include a social security number, business tax ID, and business formation documents. They do not check your credit or use ChexSystems.
Novo is growing quickly. Their offering is popular with small business owners. The account approval process is currently taking 1-2 business days and once you’re approved, you can get full access to your account with a simple $50 deposit.
We like Novo. We think you’ll like it, too.
Open an account today!
Out of their several different account options, we like Basic Checking the best. This account is a simple, low-cost way to manage your money. With a low opening deposit of $25, you will get access to online banking with bill pay as well as a MasterCard debit card. You also have the ability to write 40 checks per month free of charge.
R.I.A. FCU offers membership to anyone who lives or works within 30 miles of their Iowa branch locations in Davenport or Wilton. You can also join if you work for one of their select employee groups or are a relative of a current member.

This account provides all the necessities for everyday spending. They offer a Visa Debit/ATM card for no monthly fees or minimum balance requirements. This account is truly a no-frills checking option that doesn’t offer any unnecessary benefits or overcomplicated requirements.
To get started, you can apply for membership to River Community CU on their website or visit their only located on Ottumwa.

US Bank is a national bank that wants you to grow financially. While you build a positive banking relationship with your Safe Debit Account, you have free access to the TransUnion CreditView Dashboard. This feature allows you to view your credit score and learn how to build and maintain positive credit. There is a low monthly maintenance fee of $4.95.
There’s a good chance that you will find a US Bank branch near you. They have locations across the entire state including cities such as Altoona, Chariton, Dubuque, Marshalltown, and many more.

When you open an account at Varo you can do so with no initial deposit. Plus, there are never any monthly maintenance fees, foreign transaction fees, transfer fees, or debit card replacement fees.
Finally, if Varo receives a payroll notification before your payday, it can deposit your money more quickly than many banks.

With relaxed CheckSystems requirements, you’ll find it is easy to open an Online Rewards account. All you need is a minimum deposit of $10 and an online application. There is no minimum balance requirement, but there is a $14.95 monthly fee. After a year of good standing, you can convert your account to a free checking plan.
With Online Reward Checking, you have access to:
- A free Mastercard EMV debit card
- Free online banking and bill pay
- Free budgeting tools
- Free mobile banking
- Mobile deposit after 3 months of direct deposits
- Free eStatements

There is a $5 monthly fee, but that is be waived for account holders 24 years old and younger. This account is available to residents in all 50 states.
- The largest number of branches in the U.S.
- Minimum deposit of $25 to open an account
- Online bill pay and smartphone app
- Mobile check deposit
- Includes a Visa debit card
- Send and receive money through Zelle
- Additional features include account alerts, 24/7 fraud monitoring, and zero liability protection for your debit card

With Basic Checking you won’t have to worry about an initial deposit requirement. Plus, if you keep your balance above $100, the $5 service fee will be waived. This account includes unlimited free deposits, a debit card, and online banking access. It is important to note that after the first 20 transactions each month, there will be a $0.25 fee for each excess transaction.
White State Bank is Iowa-based and has one location in South English. Visit their branch to get started with an account!
Did we leave your financial institution off this list of The Best Second Chance Banks and Credit Unions in Iowa? Has there been a change in any of the listings? Please let us know.
Chime is a financial technology company, not a bank. Banking services and debit card issued by The Bancorp Bank or Stride Bank, N.A.; Members FDIC. Credit Builder card issued by Stride Bank, N.A.
1Eligibility requirements apply. Overdraft only applies to debit card purchases and cash withdrawals. Limits start at $20 and may be increased up to $200 by Chime. See chime.com/spotme.
2Out-of-network ATM withdrawal fees may apply except at MoneyPass ATMs in a 7-Eleven, or any Allpoint or Visa Plus Alliance ATM. Cash deposit or other third-party fees may apply.
3Customers are limited to three $1,000 cash deposits at Walgreens each day and $10,000 each month.
4Sometimes instant transfers can be delayed. The recipient must use a valid debit card to claim funds. See your issuing bank’s Deposit Account Agreement for full Pay Friends Transfers details.
5The Annual Percentage Yield (“APY”) for the Chime Savings Account is variable and may change at any time. The disclosed APY is effective as of November 1, 2021. No minimum balance required. Must have $0.01 in savings to earn interest.
6Early 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.