A method for fabricating a DRAM cell with a vertical pass transistor is provided. The method of the invention includes sequentially forming a drain region, a gate structure, a source region, and a capacitor on a semiconductor substrate in a vertical distribution so that an area used by the drain region is the total area used by the DRAM cell on the substrate. In other world, the gate structure, the source region, and the capacitor are formed above the semiconductor substrate without direct contact.