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Discover first revealed a checking account called Discover Cashback Checking℠ all the way back in February 2013. This account, which took on new perks in 2018, was renamed Discover Cashback Debit. For years, it was a wildly popular checking option that offered 1.00% cash back on up to $3,000 in monthly purchases. Discover closed new applications briefly in 2022 due to fraud before relaunching in 2023 with yet another fresh set of features.1 <p>Earn 1% cash back on up to $3,000 in debit card purchases each month. See Deposit Account Agreement for details on transaction eligibility, limitations and terms. Deposit Account Agreement can be found at <a href="https://www.discover.com/content/dam/dfs/online-banking/documents/NationalDepositAccountAgreement.pdf">https://www.discover.com/content/dam/dfs/online-banking/documents/NationalDepositAccountAgreement.pdf</a>.</p>
Today, you can no longer open a Discover checking account. This is because Discover was acquired by Capital One in May 2025, and Capital One decided to close all new Discover banking applications as of January 2026. In other words, if you don't already have a Discover checking account, you can't open one now.
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- Discover checking accounts are closed to new applications. Existing accounts are expected to migrate to Capital One 360 in 2026.
- Discover paused new applications for the Cashback Debit account in 2022, then reintroduced it in 2023 before permanently closing it in 2026.
- The checking account offered 1.00% cash back on up to $3,000 in monthly debit card purchases.
What was Discover's checking account?
The Discover® Cashback Debit account was an online-only checking account offering 1.00% cash back on up to $3,000 in monthly purchases. You could earn up to $30 a month ($360 annually) whenever you used your debit card in-store or online.
To redeem those rewards, you could:
- Move funds into your Discover money market, checking, or savings account
- Transfer your bonus to the Cashback Bonus account for your Discover credit card.
Like many of the best online banks, Discover had no account fees and didn't require a minimum deposit or monthly balance. Additional features included
- Cash deposits
- Zelle money transfers
- Extended overdraft protection for those who qualify
- Early Pay (access to direct deposits up to two days early)
Is Discover accepting new checking account applications?
Discover is no longer accepting new checking account applications as of 2026. This time, unlike the temporary pause from 2022 to 2023, it's for good.
Capital One discontinued all Discover-branded banking products in early 2026, including high-yield savings accounts, money market accounts, and certificates of deposit (CDs).
Discover will continue to offer credit cards.
What did the Discover checking account offer?
The Discover checking account had many attractive perks, especially if you already use Discover credit cards and have a Cashback Bonus account set up.
Its primary features included:
Cashback debit card
As mentioned, this checking account came with a debit card that earned 1% cash back on up to $3,000 monthly. Cash back debit cards are somewhat rare, but there are still other options available today with banks and companies such as Upgrade, Axos, and LendingClub.
No monthly fees
The Discover Cashback Debit account didn't have any account fees (though there was a $30 service charge for outgoing wires). Although many online checking accounts don't have monthly maintenance fees, some charge other fees, such as if you want paper statements, request a new debit card, or use an out-of-network ATM. This means you could have to pay more than you would with a Discover checking account.
No minimum deposit or balance requirements
There was no minimum opening or minimum balance requirement to open a checking account with Discover. Many banks require a minimum deposit amount when you open a checking account, some as high as $100, which may prevent some people from accessing essential banking services.
Access to more than 60,000 fee-free ATMs
Discover had a network of over 60,000 no-fee ATMs in stores nationwide. When I typed in my ZIP code on the Discover ATM finder, there were eight no-fee ATMs less than a mile from where I live and many more within two miles.
Digital wallets
You could make debit card payments from your phone using Apple Pay, Google Pay, or Samsung Pay. Since digital wallets use tokens rather than card numbers, your account information is often safer when using a digital wallet than using your debit card. It's also more convenient, and you could still earn cash back using a digital wallet.
Cash deposits
Not many online banks accept cash deposits, but Discover's 2023 relaunch included the Add Cash feature, which let you use your contactless debit card to make cash deposits at Walmart stores.
Cash was generally posted to your Discover bank account the same day, often within 10 minutes. You had to deposit at least $20.00, with a daily limit of $1,000 (or $999.99 for Arizona and New Mexico residents). The total limit was $7,000 per 7 days or $20,000 per calendar month.
Overdraft protection
Many banks offer overdraft protection, often without overdraft fees and sometimes with generous coverage limits (which essentially let you overdraw by a certain amount, such as $100, $200, or $300).
Discover offered fee-free overdraft protection on its checking accounts, but only to qualifying accountholders.
Overdraft coverage (Balance+)
Qualifying account holders could also set up Balance+, which allowed them to overdraft their checking accounts by up to $200 without fees. You had to pay back any negative balance immediately. To qualify, you had to:
- Set up a direct deposit of at least $200.
- Set up a direct deposit of at least $200 for the last two calendar months.
- Have a positive balance.
- Be in good standing.
Balance+ only applied to debit card transactions and didn't cover checks, ATM withdrawals, ACH transfers, or Zelle payments. This made it somewhat more restrictive than overdraft coverage from other online banks, such as Ally (which offers coverage for checks and transfers).
Advanced security features
When Discover relaunched the Cashback Debit account, it included additional security features I haven't seen from other banks. One example is free help removing personal information from select people-search websites. You needed to opt-in to this feature on the app. If you did, Discover would look for your information on at least 10 of those sites and help you opt out every 90 days.
Where did Discover checking fall short?
It doesn't hurt to talk about the disadvantages of Discover checking accounts, especially since you can't open them anymore anyway.
No interest
While some of the best checking accounts offer interest on account balances, Discover's account didn't earn interest at all. It's unsurprising, given that most checking accounts don't earn interest, but it would have been a nice feature.
Limits to cash back
While earning cash back is a nice perk, the earning rate on Discover Cashback Debit wasn't very high. You had to spend $3,000 per month ($36,000 annually) to receive the maximum earnings possible, and 1% cash back is less than many of the best cash back credit cards offer. In fact, 1.5% cash back is a fairly common base earning rate on all purchases for credit cards. But that's without considering bonus categories, which can offer up to 5% or more with some cards.
No ATM fee reimbursement
Discover didn't reimburse out-of-network ATM fees charged by operators when you went outside of its network of 60,000 ATMs. Some checking accounts, including checking accounts from online banks, offer monthly ATM fee reimbursements for just that.
Alternatives to Discover checking accounts
The Discover Cashback Debit account had many useful features, and I'm sad to see it go. But there are plenty of other checking accounts from digital banks and fintechs worth considering.
Capital One 360 Checking
Capital One, which acquired Discover, offers credit cards and banking products online. It has many similar features, including no fees, secure banking, early direct deposit (called "early paycheck"), and a robust mobile app that allows you to deposit checks and bank directly from your phone.
Unlike Discover checking, however, Capital One 360 Checking earns 0.10% (as of 09/15/25) APY. It has no monthly fees, offers over 70,000 fee-free ATMs, and allows cash deposits at CVS and Walgreens stores. Although Capital One's checking account isn't a perfect swap for the now-defunct Discover Cashback Debit, it could be an even better option if earning a bit of interest appeals to you more than debit card cash back. And you can be assured that Capital One is highly rated by independent research bodies, such as J.D. Power, for customer satisfaction.
Member FDIC.
Read our Capital One 360 review to learn more.
SoFi Checking and Savings
SoFi® is another online-only company with no monthly fees or minimum balance requirements.4 <p>We do not charge any account, service or maintenance fees for SoFi Checking and Savings. We do charge a transaction fee to process each outgoing wire transfer. SoFi does not charge a fee for incoming wire transfers, however the sending bank may charge a fee. Our fee policy is subject to change at any time. See the SoFi Checking & Savings Fee Sheet for details at <a href="http://sofi.com/legal/banking-fees/">sofi.com/legal/banking-fees/</a></p> It combines a checking and savings account and has many of the same features as Discover.2 <p>New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received during the Direct Deposit Bonus Period) OR $300 (with at least $5,000 total Eligible Direct Deposits received during the Direct Deposit Bonus Period). Cash bonus will be based on the total amount of Eligible Direct Deposit. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 12/7/2023 and will be available through 12/31/2026. Full terms at <a href="https://www.sofi.com/banking/">sofi.com/banking</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC.</p><p>SoFi members with Eligible Direct Deposit can earn 3.30% 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 3.30% APY for savings (including Vaults). Members without Eligible Direct Deposit 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 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional information can be found at <a href="http://www.sofi.com/legal/banking-rate-sheet">http://www.sofi.com/legal/banking-rate-sheet</a>.</p> When you get a SoFi Savings account, the bank also opens a SoFi Checking account for you (and vice versa).
SoFi Checking and Savings offers competitive interest rates, including a 0.50% APY on checking account balances with direct deposit. When you enroll in SoFi Plus with Direct Deposit or make a $5,000 qualifying deposit during the 31-day evaluation period, you also get up to a 3.30% APY instead of the base 1.00% (as of 12/23/25) APY on your savings balance.7 <p>Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 12/23/25. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at <a href="https://www.sofi.com/legal/banking-rate-sheet">https://www.sofi.com/legal/banking-rate-sheet</a></p>
While it has no in-person branches, SoFi has over 55,000 in-network ATMs.8 <p>We’ve partnered with Allpoint to provide you with ATM access at any of the 55,000+ ATMs within the Allpoint network. You will not be charged a fee when using an in-network ATM, however, third-party fees may be incurred when using out-of-network ATMs. SoFi’s ATM policies are subject to change at our discretion at any time.</p> It also includes no-fee overdraft coverage with eligible direct deposit, but it only provides up to $50 for debit card purchases and requires a recurring $1,000+ eligible direct deposits per rolling 31 calendar days.9 <p>Overdraft Coverage is a feature automatically offered to SoFi Checking and Savings account holders who receive at least $1,000 or more in Eligible Direct Deposits within a rolling 31 calendar day period on a recurring basis. Eligible Direct Deposit is defined on the SoFi Bank Rate Sheet, available at <a href="https://www.sofi.com/legal/banking-rate-sheet">https://www.sofi.com/legal/banking-rate-sheet</a>. Members enrolled in Overdraft Coverage may be covered for up to $50 in negative balances on SoFi Bank debit card purchases only. Overdraft Coverage does not apply to P2P transfers, bill payments, checks, or other non-debit card transactions. Members with a prior history of unpaid negative balances are not eligible for Overdraft Coverage. Eligibility for Overdraft Coverage is determined by SoFi Bank in its sole discretion. Members can check their enrollment status, if eligible, at any time by logging into their account through the SoFi app or on the SoFi website.</p> You can deposit cash with SoFi, but you must go through the Green Dot network, which charges up to $4.95 to use the platform. Member FDIC.6 <p><b style="font-family: Rubik, -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, "Helvetica Neue", Arial, sans-serif;">SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at <a href="http://sofi.com/banking/fdic/sidpterms">SoFi.com/banking/fdic/sidpterms</a>. See list of participating banks at <a href="http://sofi.com/banking/fdic/participatingbanks">SoFi.com/banking/fdic/participatingbanks</a>.</b></p>
Read more in our SoFi Checking and Savings review.
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FAQs
Why did Discover temporarily stop taking checking account applications?
Discover temporarily stopped accepting checking account applications in late 2022 because it experienced fraud related to these accounts. In 2023, Discover relaunched its checking account with more safety features, including fraud detection and assistance with removing personal information from some people-search websites.
What do you need to open a Discover checking account?
To open a Discover checking account, you must provide your contact information, such as your full name, address, phone number, and email address. You'll also need to provide personal information to verify your identity, such as your Social Security number, mother's maiden name, birth date, citizenship status, and occupation.
Is the Discover checking account safe?
The Discover checking account is FDIC insured for up to a maximum of $250,000 per depositor, per ownership category. Discover also uses encryption to keep your information safe from unauthorized individuals, and you can set up alerts to notify you of any changes to your account. It monitors your account for potential fraud and alerts you of suspicious activity.
Does Discover offer other bank accounts?
Yes, Discover offers bank accounts in addition to its checking account. These include an online savings account, a money market account, certificates of deposit (CDs), and retirement products like individual retirement account (IRA) CDs and savings accounts.
Bottom line
The Discover Cashback Debit account was a likable account, filled to the brim with perks and benefits and lacking many drawbacks. But unfortunately, you can't open a new Discover checking account anymore.
As you search for your next checking account, remember to identify the most essential features for your situation, such as interest, overdraft protection, and easy access to ATMs or cash deposits. Search for an account that offers those features, plus standard features like FDIC insurance, low or no fees, and no minimum balance requirements.
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