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As the economy evolves, many small companies and startups have been able to thrive thanks to a checking account. Now that more entrepreneurs are looking into business banking products, it is important for new small businesses to make sure they choose the right one.
The “free business checking accounts” are a way for small businesses to get access to a bank account without having to pay the high fees associated with traditional banking.
To keep company and personal funds separate, business owners should create a business checking account. The finest business checking account is low-cost to maintain, gives the chance to earn interest, and has features that are beneficial to your company. It’s critical to choose a business checking account that suits your company’s specific requirements.
The following are the top small business checking accounts:
- Bank of America is a financial institution based in the United: Best for cash deposits overall, with a generous welcome incentive.
- Best for a free checking account with modest monthly deposits is Chase Bank is a financial institution based in the.
- Capital One is a financial services company based in: For low-cost checking with unlimited transactions, Capital One is the best option.
- The best bank for making a few monthly transactions is the United States Bank.
- Wells Fargo & Company is the most flexible when it comes to updating account services as a business expands.
- The First Online Bank: For creating several internet accounts with the same bank, this is the best option.
- Novo is the best place to go if you want to use an ATM for free.
Overall Best Small Business Checking Account: Bank of America
Bank of America
What We Enjoy
- Bonus of $500 for new customers
- 200 free transactions per month
- Every month, you may get $7,500 in free cash deposits.
What Isn’t There
- There is no monthly cost.
- Fees charged by third-party ATMs are refunded.
- There is no initial investment required.
Features Not Included
- Monitor, a cash flow management application, connects accounting, analytics, and payroll business tools to assist you in making better company choices.
- Checks can be deposited, accounts can be monitored, transfers can be made, and bills can be paid via a mobile app.
- Provides five credit cards for small businesses.
Bank of America provides a low-cost checking account with an appealing sign-up bonus of up to $500 when you complete the required tasks. Every month, you may make up to 200 transactions and $7,500 in cash deposits for free. While Chase is a close second, Bank of America is the finest bank if you want the most beneficial rewards from your account.
That it’s perfect for: Entrepreneurs who need to make large monthly cash contributions and want to get a huge welcome bonus.
Fees and Conditions
- The monthly charge is $16. Meet one of the following conditions with each banking statement cycle to avoid the monthly fee:
- Maintain a combined average monthly balance of $5,000.
- Make at least $250 in new net eligible purchases using a Bank of America business debit card.
- Become a Preferred Rewards for Business member (first four checking accounts, per enrolled business)
- Fees: No cost for the first 200 transactions, then 45 cents per item after that.
- For automated clearing house (ACH), debit card transactions, online bill pay, electronic debits, and checks deposited using remote deposit online, there is no additional transaction cost.
- Fee for cash deposits: Free for the first $7,500, then 30 cents every $100 after that.
- Withdrawals, deposits, transfers, payments, and balance inquiries are all free at more than 16,000 Bank of America ATMs nationwide; out-of-network ATMs cost $2.50 per transaction.
- $100 is the minimum deposit.
- To keep the account open, there is no minimum balance requirement.
Why Do We Enjoy It?
Bank of America is at the top of our list because it makes it simple to avoid paying a monthly service charge. Another advantage of Bank of America is that electronic transactions are not counted against your 200 free transactions, making it a suitable option for small company owners who conduct most of their banking online.
Pay a visit to Bank of America.
Chase Bank is the best bank for small monthly deposits.
Chase Bank
What We Enjoy
- Bonus of $300
- Options for getting monthly fees waived
- There is no initial investment required.
What Isn’t There
- There are more than 20 free transactions available.
- Deposits of $5,000 or more are free of charge.
- Fees charged by third-party ATMs are refunded.
Features Not Included
- Integrates with industry-standard accounting software, such as QuickBooks.
- Business owners may use a mobile financial app to deposit checks, check account balances, pay invoices, and make transfers.
- Several Chase business credit cards are available.
If you don’t require the 200 free monthly transactions that Bank of America gives, this limited liability company (LLC) checking account is a good option. It provides 20 free transactions each month and up to $5,000 in cash deposits. A $300 sign-up bonus is also available. Chase provides you with access to 16,000 ATMs and 4,700 locations throughout 29 states.
Who it’s perfect for: Companies with modest monthly deposits that want a monthly cost that’s simple to waive.
Fees and Conditions
- Fee: $15 per month, waived if you satisfy one of the following requirements:
- Maintain a daily balance of at least $2,000
- Use your Chase Ink® Business Card to make at least $2,000 in purchases (excluding returns or refunds) (s)
- At least one business day before the end of your bank account statement month, deposit $2,000 into your Chase checking account from your QuickAcceptSM and/or other qualified Chase Merchant Services transactions.
- Maintain a Chase Private Client CheckingSM account that is connected to your Chase account.
- Fee for electronic deposits and deposited items made via ATM, ACH, and Chase QuickDeposit: 40 cents per transaction after the first 20 transactions made with a teller and paper checks written on the account; no fee for electronic deposits and deposited items made via ATM, ACH, and Chase QuickDeposit.
- Fees for cash deposits: $2.50 per $1,000 beyond the first $5,000 deposited each month.
- In addition to ATM operator costs, there is a $2.50 transaction charge at any non-Chase ATM, with free access to over 16,000 ATMs nationwide.
- There is no minimum deposit.
- To keep the account open, there is no minimum balance requirement.
Why Do We Enjoy It?
Chase Bank is a wonderful option for small company owners who are often on the road since it has multiple branch locations and a vast ATM network around the nation. Because there is no minimum deposit requirement, opening a business checking account with Chase is simple.
Pay a visit to Chase.
Because Chase and Bank of America offer accounts that are quite similar, we created a Chase vs Bank of America comparison post.
Capital One is the best option if you want to make unlimited transactions.
Capital One
What We Enjoy
- Transactions are not restricted.
- Integrates with the best accounting software on the market.
- Free cash deposits of up to $5,000 are available on a monthly basis.
What Isn’t There
- A minimum initial investment of $250 is required.
- Application over the internet
- Cash bonus as an introductory offer
Features Not Included
- Integration with industry-leading accounting software such as Xero
- Business owners may use a mobile app to pay invoices, monitor accounts, transfer funds, and deposit checks.
- For company owners who wish to establish a credit card and a checking account with the same bank, Capital One offers business credit cards.
It’s worth noting that Capital One needs you to apply in person. There are no online applications available.
Here’s something most accounts don’t include: monthly transaction limits. Capital One clearly outperforms Chase and Bank of America in this category, since both levy a transaction fee if you exceed your free monthly allocation. Capital One’s business checking account is a cost-effective method to manage your company’s financial flow. You’ll also have access to a countrywide network of over 39,000 ATMs. However, it only has roughly 750 actual branch locations spread across eight states, significantly fewer than the other big banks on our list.
Owners that prefer a low-cost checking account with unlimited transactions are the greatest fit.
Fees and Conditions
- Monthly fee: $15, which is waived if you keep a minimum balance of $2,000 for 30 or 90 days.
- There is no transaction cost.
- Fees for cash deposits are $0 for the first $5,000 in monthly deposits and $1 for each $1,000 placed beyond that.
- Fee-free access to more than 39,000 Allpoint ATMs around the country.
- $250 is the minimum deposit.
- There is no minimum balance required.
Why Do We Enjoy It?
Because of its free unlimited transactions, Capital One earns a position on our list of top business checking accounts. This makes it an ideal option for organizations that need to make a large number of transactions every month. It also has a monthly fee waiver and up to $5,000 in free cash deposits each month. Your Capital One account may also be simply connected if you use Xero as your small business accounting software.
Pay a visit to Capital One.
The best bank for businesses with infrequent transactions is the United States Bank.
U.S. Bank
What We Enjoy
- There is no monthly cost.
- 125 free purchases per month
- First check order up to $50 receives a 50% discount.
What Isn’t There
- Bonus for newcomers
- Overdraft protection is provided for free.
- Free cash deposits totaling more than $2,500
Features Not Included
- From your bank account dashboard, you may access ADP Payroll.
- Take use of your online dashboard’s integrated digital invoicing and payment solutions.
- To keep track of all of your accounts, transfer money between them, and deposit checks online, use a smartphone app.
While most large banks impose a monthly fee if you do not maintain a certain minimum amount, U.S. Bank does not charge any monthly cost at all, regardless of your balance. You’ll get 125 free monthly transactions and up to $2,500 in cash deposits with this free checking account. You’ll also have access to a network of over 3,000 physical branch locations and over 5,000 ATMs spread throughout 28 states. It also gives you free access to over 25,000 MoneyPass ATMs around the country. The best bank for charities is U.S. Bank.
Startups, NGOs, and small enterprises with less than 150 monthly transactions are the ideal candidates.
Fees and Conditions
- There is no monthly cost.
- After the first 125 transactions each month, the transaction cost is 50 cents per transaction.
- Fees for cash deposits: There are no rates for the first $2,500 in cash deposits each month; fees for further cash deposits vary.
- Out-of-network ATMs do not have a cost, although there are operator fees. Free withdrawals from more than 25,000 MoneyPass ATMs and access to more than 3,200 ATMs countrywide
- There is no minimum deposit.
- There is no minimum balance required.
Why Do We Enjoy It?
Because many small businesses have a limited amount of monthly transactions, meeting the fee waiver criteria of other business checking accounts may be challenging. The Silver Business Checking account from US Bank is one of our favorites since it lets you to manage your business’s finances without having to pay monthly fees or worry about meeting certain criteria to avoid penalties.
U.S. Bank is a financial institution based in the United States.
Wells Fargo is the most scalable bank.
Wells Fargo
What We Enjoy
- A large number of branches and ATMs are available.
- Monthly charge that is simple to waive
- Provides services to help you grow your company.
What Isn’t There
- More than 100 free transactions every month
- More than $5,000 in free cash deposits each month
- Fees charged by third-party ATMs are refunded.
Features Not Included
- On your debit card, include your company’s logo and slogan.
- From your phone, you may manage your whole bank account.
- If you report any fraudulent debit card or ATM transactions to its zero-liability protection plan quickly, you will be reimbursed.
- Remotely deposit checks
Growing companies want accounts that can scale with their growth, which is where Wells Fargo comes in. You may quickly update your business checking account if your monthly transaction and deposit demands grow. It boasts one of the biggest networks, with more physical branches than any other bank on our list, with over 5,600 locations. Wells Fargo also has over 13,000 ATMs around the country.
Who it’s perfect for: Growing enterprises that want scalability and want to take advantage of Wells Fargo’s extensive finance and investment options.
Fees and Conditions
- Monthly charge: $10; price waived if you keep an average daily balance of $500.
- After the first 100 transactions each month, the transaction cost is 50 cents per transaction.
- After $5,000 in monthly deposits, there is a 30 cent charge each $100 put in cash.
- ATM price: $2.50 per withdrawal at out-of-network ATMs, plus ATM operator fees; however, there is no fee for utilizing any of Wells Fargo’s 13,000+ ATMs.
- $25 is the minimum first deposit.
- There is no minimum balance required.
Why Do We Enjoy It?
One of the nicest things about Wells Fargo is that it can scale to meet your company’s changing demands. It offers three distinct kinds of business checking accounts, each of which caters to enterprises at various stages and with varying demands. Its Initiate Business Checking feature is ideal for young firms that are still laying the groundwork. Its Navigate Business Checking is a fantastic choice for a developing company, and its Optimize Business Checking is ideal for established companies with more complex demands. As your company expands and your banking needs change, you may update your checking account.
Pay a visit to Wells Fargo.
Best for Earning Interest on Checking Account Balances: First Internet Bank
First Internet Bank
What We Enjoy
- Banking with no fees
- Fees from third-party ATMs may be refunded up to $10.
- There are a few more interest-bearing business accounts accessible.
What Isn’t There
- Physical ramifications
- Deposits in cash
- Bonus for newcomers
Features Not Included
- Debit card issued by First Internet Bank
- There are a variety of business bank accounts accessible, including savings, money markets, and certificate of deposits (CDs); one of the greatest business savings accounts is its savings account.
If you want to create a business savings account at the same online bank where you have a checking account, go with First Internet Bank. It offers a free small business checking account with interest on balances of at least $10,000. If you create a business savings account, you’ll get a 0.40 percent annual percentage yield (APY) if your daily amount is less than $10 million, or $0.25 percent if it’s more than $10 million. First Internet Bank makes it simple to build your money by depositing money. It’s also one of the most useful free business checking accounts.
Who it’s perfect for: Companies that don’t need to go to a physical branch and want to earn interest on their many internet deposit accounts.
Fees and Conditions
- There is no monthly cost.
- There is no transaction cost, and transactions are limitless.
- ATM fee: None; ATM costs are reimbursed up to $10 per month.
- $100 is the minimum first deposit.
- There is no minimum balance required.
- Ongoing Annual Percentage Yield (APY): 0.30 percent on balances of at least $10,000.
Why Do We Enjoy It?
First Internet Bank is one of our favorites since it provides fee-free banking and enables you to earn interest on your business checking account balances. It also reimburses up to $10 per month in third-party ATM costs. If you want to create numerous bank accounts with an online-only bank, this is an excellent option.
Go to First Internet Bank’s website.
Novo is the best place to go if you want to use an ATM for free.
Novo
What We Enjoy
- All ATM costs are refunded.
- There is no monthly cost.
- Transactions are free and unrestricted.
What Isn’t There
- Physical ramifications
- The procedure for depositing money is simple.
- Deposits that pay interest
Features Not Included
- QuickBooks, Slack, Xero, Stripe, Wise, and Shopify are just a few of the business tools that may be integrated.
- Debit card for company at no cost
- Deposits may be seen instantly using the mobile app.
- Money orders from the United States Postal Service (USPS) or direct payments into Middlesex Federal’s ATM network
Novo is an online-only bank that provides a free business checking account with unlimited transactions, no minimum balance, and no ATM fees. While it does not have any physical locations, you may deposit checks using its mobile app. QuickBooks, Slack, Xero, Stripe, Wise, and Shopify are among the various business platforms it interfaces with.
Who it’s ideal for: Companies that don’t deal in cash, such as ecommerce, and want an online-only bank with free ATM access. Novo was also recognized as one of the finest banks for small company owners.
Fees and Conditions
- There is no monthly cost.
- There is no transaction cost, and transactions are limitless.
- ATM fee: nothing; all ATM costs are reimbursed.
- There is no minimum initial deposit.
- There is no minimum balance required.
Why Do We Enjoy It?
To satisfy their banking requirements, not all small company owners need a physical branch site. A totally online bank like Novo is an excellent banking option for companies that receive the majority of their payments electronically. Novo is a sensible solution for company owners who seldom take cash payments, thanks to its fee-free online banking, unlimited free transactions, and refund of all ATM expenses. It also interfaces with a variety of point-of-sale (POS) and other company systems to help you automate your accounting.
Pay a visit to Novo
BlueVine received an honorable mention.
Special Mention
What We Enjoy
- There is no monthly cost.
- There are no transaction costs.
- There is no initial investment required.
What Isn’t There
- Deposits in cash
- Locations of the branches
- Accounts for other businesses
Features Not Included
- Accounting software such as QuickBooks Online, Wave, and FreshBooks are all compatible.
- Stripe, PayPal, and Expensify are just a few of the corporate payment alternatives available.
- Customer service provided by specialized specialists in real time.
- Various loan options are available.
BlueVine was once ranked as one of the top real estate investment banks. BlueVine, on the other hand, has halted the acceptance of new business checking account applications. Real estate investors may join a queue on BlueVine’s website to be alerted when applications restart.
While most business owners are familiar with BlueVine for its loan services, the company just released a fee-free online checking account to better assist small business owners. BlueVine not only provides a continuing APY and no banking fees, but it also makes an attempt to give a terrific online experience that matches the level of customer service you’d expect in a local branch. This account works with QuickBooks Online, Wave, Stripe, and PayPal, as well as other popular accounting and payment applications. BlueVine comes out on top when it comes to the finest online business checking accounts.
Who it’s ideal for: Business owners who desire an online-only account with a fixed APY and no fees.
Fees and Conditions
- There is no monthly cost.
- There is no transaction cost, and transactions are limitless.
- Fees at ATMs: There are no fees at more than 38,000 ATMs around the country.
- There is no minimum initial deposit.
- There is no minimum balance required.
- Ongoing Annual Percentage Yield (APY): 1% on accounts up to $100,000 (no interest received on balances beyond $100,000).
Why Did We Enjoy It?
BlueVine appealed to us since it offers fee-free banking and unlimited free transactions, as well as a 1 percent annual percentage yield on deposits up to $100,000.
BlueVine is a great place to start.
Consider a Business Checking Account for These Reasons
- Separates your business and personal funds: If you want to keep your business and personal finances separate, you’ll need to open a business bank account. This can help you avoid the hazards and uncertainty that many company owners face when they mix their personal and corporate money.
- Opening a company bank account will allow you to consolidate all of your business finances in one location, making it simpler to monitor your performance correctly, whether it’s profits or losses.
- Gives your side hustle legitimacy: When you create a company checking account, your side hustle becomes more than just a pastime. When payments are made through a business account, potential customers will see your company as more trustworthy.
- Makes tax season easier: Using a business checking account makes it easier to keep track of revenue and spending related to your firm, which simplifies your tax computations at the end of the year.
- Establishes a banking relationship: Getting your firm off the ground is critical to improving your credit score. When you create a business bank account, you’re telling the credit bureaus that your company is ready to start building a credit history. Building a banking connection might also help you in the future if you require company finance.
What You’ll Need to Get Started
The prerequisites for creating a business bank account differ based on the bank and the nature of your company. Most banks, whether conventional or online-only, do, nevertheless, demand the following:
- If you’re a single owner, you’ll need an employer identification number (EIN) or a Social Security number.
- If you conduct your company under a name other than your own, you’ll need a fictitious business name certificate, also known as a doing-business-as (DBA) certificate.
- Documents for forming a company
- Documents pertaining to your company, such as your ownership agreements
- Licenses for businesses
How Did We Pick the Top Business Checking Accounts?
Free business checking accounts or simple strategies to eliminate monthly service costs are available from the leading institutions. We highlighted monthly, transaction, and ATM costs, as well as possibilities to receive an introductory offer, while analyzing these accounts. The bank’s capacity to accept cash deposits, the size of each bank’s network, and extra services provided, such as other business accounts or unique checking account features, were also taken into consideration.
Conclusion
For a small company to manage its money, it is necessary to open a checking account. It may also aid in the separation of your company and personal funds. The finest business checking account should provide the things you value the most, whether it’s minimal fees or large transaction limits.
The “bank of america business checking” is a bank account that provides small businesses with a checking account. The bank has been around for decades and has also been one of the top banks in America.
Related Tags
- best business bank accounts for small business
- chase business account
- best business bank accounts for llc 2021
- open a free business checking account online with no deposit
- capital one business account
