As a business owner, choosing the right business checking account is crucial for managing your finances. However, with so many options available, it can be overwhelming to know where to start.
Here are some things that I consider when choosing a business checking account:
- Fees: One of the most important things I consider when choosing a business checking account is the fees associated with it. I look for accounts with low or no monthly maintenance fees, and minimal fees for transactions such as withdrawals, deposits, and transfers. This helps me avoid unnecessary costs and saves me money in the long run.
- Interest Rates: Some business checking accounts offer interest on the funds in the account. As my business keeps a large amount of money in its checking account, I consider if the account offers a higher interest rate that would benefit my business.
- ATM access: I consider if the account has a large ATM network and if the ATM withdrawals are free or low-cost. This is important for my business as I frequently make cash transactions.
- Online and Mobile Banking: I look for a business checking account that offers online and mobile banking options. This allows me to access my account and manage my money from anywhere, at any time.
- Transaction limits: As my business does a moderate volume of transactions, I check if the account has transaction limits, and if there are any additional fees for going over the limit.
- Customer Service: I consider the level of customer service provided by the bank or credit union. A bank that is available to answer my questions and resolve issues quickly and efficiently is essential for my business.
Read more: Best free business checking accounts…
Business checking fees
As a business checking account holder, you will likely have to pay a variety of fees, including monthly maintenance fees, transaction fees, and ATM fees.
Monthly maintenance fees can range from $10 to $25 or more, depending on the bank and the type of account you have. You may also be charged transaction fees for things like check deposits, online bill payments, and wire transfers. These fees can be a flat rate or a percentage of the transaction amount.
Additionally, you may be charged fees for using ATMs that are not part of the bank’s network. It’s important to review the fee schedule for your account and understand what fees you may be charged so that you can budget accordingly.
Some banks may also offer account packages that include waived fees or lower fees in exchange for maintaining a minimum balance.
Tip(s):
- The Axos Basic Business Checking account has no monthly fees
- The Chase Business Complete Checking℠ account has a monthly fee that can be waived with a $2,000 minimum daily balance (other options to waive the fee are available)
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Business checking interest rates
Business checking accounts typically do not earn interest, unlike savings accounts or money market accounts. Business checking accounts are designed for day-to-day transactions and are intended to provide easy access to cash for things like paying bills, making purchases, and writing checks.
Interest rates on business accounts can vary depending on the bank and the account type. Some banks may offer tiered interest rates based on the account balance, or offer a higher rate on larger balances.
But generally the interest rate on a business checking account is negligible and not a main feature. Banks usually make money on business checking accounts through fees rather than interest.
It’s always a good idea to review the fee schedule, interest rates and account requirements before opening a business checking account.
Tip(s):
Axos Bank Business Interest Checking is one example of an account that offers a tiered interest rate, with a higher rate for balances up to $50,000. Get more info and see the latest offer below:
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Business checking ATM access
ATM access can be an important feature for business checking accounts because it allows business owners to easily access cash for day-to-day transactions such as paying employees, making purchases, and withdrawing cash for emergencies.
ATM access can also save business owners time and money by avoiding the need to make trips to the bank during regular business hours.
Having an ATM card associated with the business checking account can also provide a level of security, as it can be used to withdraw cash or check account balances without having to physically visit the bank or carry around large amounts of cash.
Additionally, having ATM access can also be a convenient way for employees to access cash without having to go to the bank or use their personal accounts.
However, it’s worth noting that using an ATM that is not part of the bank’s network can result in additional fees, so it’s important to review the fee schedule for your account and understand what fees you may be charged for using out-of-network ATMs.
Some banks may also offer account packages that include free ATM access or reimbursements for ATM fees.
In summary, ATM access can be an important feature for business checking accounts, as it allows for easy access to cash for day-to-day transactions and can provide convenience, security, and savings for the business owners and employees.
Tip(s):
- The Axos Basic Business Checking account gets unlimited domestic ATM fee reimbursements. So, you can use any out-of-network ATMs in the U.S. and get the fees reimbursed.
- The Chase Business Complete Checking℠ account will give you access to Chase Bank’s extensive network of ATMs and branches (branch/ATM locator).
Business checking online and mobile banking
Online and mobile banking can be important features for business checking accounts because they provide business owners with easy and convenient access to their account information and banking services from anywhere, at any time.
Online banking allows business owners to check account balances, view transaction history, transfer funds, pay bills, and perform other banking tasks using a computer or mobile device.
This can save time and money by avoiding the need to visit a physical bank branch during regular business hours. It also allows for easy monitoring of account activity, which can help with budgeting and financial planning.
Mobile banking allows business owners to perform many of the same tasks as online banking, but from a mobile device such as a smartphone or tablet. This can be especially useful for business owners who are often on-the-go and need to access their account information or perform banking tasks quickly and easily.
Additionally, with online and mobile banking, business owners can have access to alerts, notifications, and other features that can help them to be more efficient, such as low balance alerts, or payment reminders.
It’s also worth noting that online and mobile banking can be more secure than traditional methods. Banks use advanced security measures to protect online and mobile banking transactions, such as encryption, two-factor authentication, and biometric login methods.
In summary, online and mobile banking can be important features for business checking accounts because they provide easy and convenient access to account information and banking services, can help with budgeting and financial planning, and can be more secure than traditional methods.
Tip(s):
Most modern business checking accounts now have great online and mobile banking features. Chase bank has a highly rated mobile app and all account types from Chase can be integrated for convenience.
Read more: See the best Chase bank promotions…
Business checking transaction limits
Transaction limits refer to the maximum number of transactions that a business checking account holder is allowed to make within a certain period of time, usually per month.
These limits can include the number of checks that can be written, the number of debit card transactions that can be made, and the number of electronic transactions such as online bill payments or ACH transfers.
Transaction limits can vary depending on the bank and the type of account. Some banks may have lower limits for basic accounts and higher limits for premium accounts. Some banks may also offer account packages that include higher transaction limits in exchange for maintaining a minimum balance.
Transaction limits can be important for businesses because they can affect the way a business operates. For example, if a business has a low transaction limit and frequently exceeds it, the business may be charged additional fees. This can have a negative impact on the business’s bottom line.
Additionally, if a business needs to make a high number of transactions in a month, it may need to choose an account with higher limits or pay additional fees.
It’s also important to note that many banks also have daily transaction limits, which can be lower than the monthly limits. These limits can affect the way a business operates, especially if a business needs to make a large number of transactions on a single day.
In summary, transaction limits refer to the maximum number of transactions that a business checking account holder is allowed to make within a certain period of time, usually per month.
These limits can vary depending on the bank and the type of account, and can affect the way a business operates, so it’s important for businesses to review transaction limits when choosing a business checking account.
Tip(s):
- The Axos Basic Business Checking account can receive cash deposits via MoneyPass and AllPoint networks.
- The Chase Business Complete Checking℠ account gets up to $5,000 no-fee cash deposits per statement cycle.
Business checking customer service
Customer service can be an important factor to consider when choosing a business checking account because it can play a critical role in the day-to-day operations of a business.
A bank’s customer service team can provide assistance with account management, troubleshoot issues, and provide guidance on account features and services.
Having access to reliable and responsive customer service can be especially important for businesses, as they may have different banking needs and requirements than individuals. Businesses may need assistance with setting up direct deposit, making wire transfers, or understanding account fees and transactions limits.
Additionally, having a dedicated customer service team can provide peace of mind for business owners, who can reach out to the team for help with any banking-related issues that arise.
A good customer service team will be able to provide prompt and helpful assistance, and also have knowledgeable representatives who can answer complex questions. Also, having a customer service team that is available during extended hours can be beneficial for businesses that operate outside of regular banking hours.
It’s also worth noting that some banks offer specialized customer service teams for businesses, which can provide tailored assistance based on the specific needs of the business.
In summary, customer service can be an important factor to consider when choosing a business checking account because it plays a critical role in the day-to-day operations of a business.
Businesses may have different banking needs and requirements than individuals, and having access to reliable and responsive customer service can provide peace of mind and help with account management and troubleshooting.
Read more: Top Business Checking Accounts for Small Businesses: A Comparison Guide
Additional tips for choosing a business checking account
Here are some additional tips to keep in mind when choosing a business checking account:
- Check for account minimums: Some business checking accounts require a minimum deposit or balance to avoid fees. I make sure that the account I choose doesn’t have a minimum balance requirement that is higher than what my business can maintain.
- Look for account features that align with my business needs: Some business checking accounts offer additional features such as check writing or debit card usage. I make sure to choose an account that has the features that align with my business needs.
- Consider the bank’s overall reputation and financial stability: I want to choose a bank or credit union that has a good reputation and is financially stable. This ensures that my funds are safe and that the bank will be around for the long-term.
- Consider the bank’s location and hours of operation: If I prefer to bank in-person, I make sure that the bank or credit union has branches that are conveniently located and that they have hours of operation that align with my business hours.
- Review the account disclosures and terms of service: Before opening a business checking account, I make sure to review the account disclosures and terms of service. This gives me a clear understanding of the account’s fees, features, and any other important information.
Want to master bank bonuses? Don’t miss our complete guide: The Ultimate Guide to Bank Bonuses: Strategies, Tips, and Must-Read Articles.
Top choices for business checking accounts
Chase Business Complete Banking℠
The Chase Business Complete Banking℠ account is a business checking account designed to provide businesses with a comprehensive banking solution.
The account offers features such as:
- No monthly maintenance fee when you maintain a minimum daily balance of $2,000 or more in the account or have a linked Chase Private Client Checking account (more ways to waive the fee are available)
- Unlimited electronic deposits, ACH and Chase QuickDeposit
- Up to $5,000 in no-fee cash deposits per statement cycle
- Access to thousands of ATMs and branches nationwide.
- Online and mobile banking capabilities, including mobile check deposit, bill pay, and account management
- Fraud monitoring and protection
This account also offers a business debit card for added convenience. The account also provides access to a team of specialists dedicated to help with your business needs and support your growth.
Axos Bank Basic Business Checking
The Axos Bank Basic Business Checking account is designed to provide businesses with a straightforward and low-cost checking option.
The account offers features such as:
- No monthly maintenance fees or minimum balance requirements
- No fees for standard transactions such as online bill payments and ACH transfers
- Unlimited check writing
- Free online banking and mobile banking
- Free e-Statements
- Free access to the Allpoint ATM network and MoneyPass network
- FDIC-insured
It’s a good option for small businesses or businesses that have low transaction volume.
Axos Bank Interest Business Checking
The Axos Bank Interest Business Checking account earns interest on your account balance.
The account offers features such as:
- No monthly maintenance fee with an average daily balance of at least $5,000
- Free online banking and mobile banking
- Unlimited domestic ATM fee reimbursements
- Visa debit card with enhanced Visa benefits
- First set of 50 checks free
- Free e-Statements
- Cash deposits via MoneyPass and AllPoint networks
- FDIC-insured
This account also offers a business debit card for added convenience. The Interest rate for this account may vary depending on the balance in the account, and it’s a good option for businesses that have a higher account balance and want to earn interest on their money.
Bluevine Business Checking
BlueVine Business Checking is offered by BlueVine, a fintech company that specializes in providing financial services for small businesses.
The account offers features such as:
- No monthly maintenance fees or minimum balance requirements
- No hidden fees, No NSF fees, No minimum deposit requirements
- Free online banking and mobile banking
- Free ACH and wire transfers
- Free e-Statements
- FDIC-insured
- Mobile check deposit
- No monthly transaction limits
It also offers 24/7 customer support, and businesses can easily access their funds online and via mobile banking. This account is a good option for businesses that want a low-cost and easy to use checking account.
Novo Business Checking
The Novo Business Checking account is an award-winning, free business checking account from Novo.
Features include:
- No monthly fees or minimum balance requirements
- Free ACHs, mailed checks, and incoming wires
- No hidden fees
- FDIC insured through Middlesex Federal Savings
- Online banking available 24/7
- Refunds all ATM fees
- A virtual card for immediate and secure spending
More choices worth consideration:
- Lili Business Checking
- Mercury Business Bank Account
- Oxygen Business Account
- Relay Business Banking
- Found Small Business Banking
- Grasshopper Business Checking
- American Express® Business Checking
- U.S. Bank Silver Business Checking
- Bank of America Business Advantage Fundamentals™ Banking
Bottom line
In summary, when choosing a business checking account, I consider the fees associated with the account, interest rates, ATM access, online and mobile banking options, transaction limits, and the level of customer service provided by the bank or credit union.
By carefully evaluating these factors, you too can find a business checking account that meets the specific needs of your company.
Summary of guides on business checking accounts:
- Best Free Business Checking Accounts of December 2024
- Top Business Checking Accounts for Small Businesses: A Comparison Guide
- What’s The Difference Between Personal And Business Checking Accounts?
- The Role of Business Checking Accounts in Cash Flow Management
- Best Business Checking Accounts For Non-Profit Organizations
READ MORE: SEE THE BEST BANK BONUSES HERE AND THE BEST INVESTING BONUSES HERE.
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