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Best Business Checking Accounts

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

If you’re starting a business, one of the first steps to take is opening a business checking account. Being able to make transactions and deposit funds is an essential component of actually doing business, after all.

Every business owner will need different things from their checking account, based on factors like how many transactions you make per month and what kind of minimum balance you can manage. However, these are the basic business checking account features you need to look for:

  • Low transaction fees
  • Low minimum opening deposit and minimum balance requirements
  • High interest rates
  • Access to physical bank branches
  • Extensive ATM network

Since finding the right account can be a chore, we’ve compiled a round-up of the best business checking accounts that are currently available. Every month, we review business checking account rates using data from another LendingTree company, DepositAccounts.com, a database of offerings at more than 17,100 banks and credit unions. We sorted the products by APY, then eliminated institutions that were not available nationwide and did not meet the five criteria above.

To make the cut, the account needed to have minimal fees, a minimum of 50 transactions per month and the option to waive monthly fees if certain requirements are met. While offering an APY wasn’t a requirement, it was taken into consideration when developing this list.

Best Business Checking Accounts of December 2019

Account NameMinimum Balance to Waive Monthly Fee Number of Transactions Per Month with No ChargeAPY

Axos Bank Business Interest Checking

Average daily balance of $5,000

Up to 500.80%

Radius Bank Tailored Checking

Average monthly balance of $5,000

Unlimited0.75%

TIAA Bank Business Checking

Daily balance of $5,000

First 200 itemsNone

Chase Total Business Checking

Daily balance of $1,500

100None

First Citizens Bank Basic Business Checking

N/A

Up to 175 itemsNone

Capital One Spark Business Unlimited Checking

Prior 30- or 90-day average account balance of $25,000

UnlimitedNone

nbkc Bank Business Account

N/A

UnlimitedNone

Bank of America Business Advantage Checking

Average monthly balance of $15,000

First 500 itemsNone

PNC Bank Business Checking

Average monthly collected balance of $500

Up to 150 transactionsNone

Axos Bank Business Interest Checking

Axos Bank

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Axos Bank offers one of the few business checking accounts with minimal fees and a competitive APY, making it one of the best choices out there. Axos Bank’s Business Interest Checking account features an APY of 0.80% on account balances ranging from $0 to $5 million.

There is a $100 minimum required to open an account, and although the bank does charge a monthly maintenance fee of $1, you can waive the fee if you maintain a minimum average daily balance of $5,000. Other attractive features of the Axos Bank Business Interest Checking account are:

  • Transaction fees: Up to 50 items per month, $0.50 after that
  • Monthly fee: $10, can be we waived with minimum average daily balance of $5,000
  • ATM fees: Unlimited domestic reimbursements
  • Number of physical branches: Online only

Radius Bank Tailored Checking

Radius Bank

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Radius Bank is another online-only option that offers a great business checking account. Radius Bank’s Tailored Checking account features an APY of 0.75% on balances over $5,000. Like Axos, there is a $10 monthly maintenance fee, which can be waived if you maintain a minimum monthly balance of $5,000. There is a minimum deposit of $100 required to open an account, but no minimum balance requirement after that.

In addition to earning interest, other features of the Radius Bank Tailored Checking account worth noting are:

  • Transaction fees: Unlimited transactions
  • Monthly fee: $10, but can be waived with average monthly balance of $5,000
  • ATM fees: Unlimited ATM reimbursements, excluding international exchange fees)
  • Number of physical branches: One in Boston, otherwise it’s all online

TIAA Bank Business Checking

TIAA Bank

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on TIAA Bank’s secure website

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TIAA Bank offers a number of business checking accounts, ranging from options geared specifically to small businesses, to others tailored for non-profits. The standard Business Checking account is a solid product that ticks a number of boxes for a great, low-fee account. It’s worth noting that there’s a minimum deposit of $1,500 required to open an account, relatively higher than other business checking accounts out there.

TIAA Bank offers three other business checking accounts that are worth exploring, depending on your business’ needs. The Small Business Checking account is for sole proprietors and single owner LLCs, Non-Profit Checking is a low-fee option exclusively for non-profit enterprises, and there is a Business Analysis Checking account.

The TIAA Bank Business Checking account features the following:

  • Transaction fees: First 200 items per month, $0.25 each after that
  • Monthly fee: $14.95, but can be waived with balance of $5,000
  • ATM fees: $15 monthly ATM reimbursement (domestic)
  • Number of physical branches: 145

Chase Bank Total Business Checking

Chase Bank

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Member FDIC

Chase Bank’s Total Business Checking account offers the confidence that comes with banking with one of the largest banks in the U.S., with its extensive branch network and deep bench of deposit and lending products. Chase charges a $15 monthly service fee for this account, but there are ways you can waive it, including maintaining a minimum daily balance of $1,500.

Other standout features that come with the Chase Total Business Checking account include:

  • Transaction fees: 100 transactions per month, $0.40 each after that.
  • Monthly fee: $15, can be waived if you maintain a daily balance of at least $1,500, or if you maintain a Chase Private Client Checking account or a Sapphire Personal Checking account
  • ATM fees: No fee for out-of-network ATM withdrawals (ATM owner fees still apply)
  • Number of physical branches: Nearly 5,000

First Citizens Basic Business Checking

First Citizens Bank (NC)

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First Citizens Bank, which has a branch network sprawling across the Southeast and Southwest, and also offers online banking services. First Citizens promotes its Basic Business Checking account as a “favorite starter account” for businesses because of its simplicity and affordability. It’s one of the few banks on this list that doesn’t have any monthly maintenance fees, regardless of the account’s balance, as long as you opt out of paper statements.

With a low minimum deposit requirement of just $100 to open an account and no minimum balance requirements after that, it’s also one of the more accessible checking accounts for businesses that are not flush with cash from the get-go. While the First Citizens Basic Business Checking account doesn’t offer many bells and whistles, it’s a low-fee account with attractive features similar to those offered at big financial institutions:

  • Transaction fees: Up to 175 items per month, $0.40 each after that
  • Monthly fee: None
  • ATM fees: Free access to First Citizens Bank ATMs
  • Number of physical branches: Over 500 branches in Arizona, California, Colorado, Florida, Georgia, Kansas, Maryland, Missouri, New Mexico, North Carolina, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, Washington, Wisconsin and West Virginia.

Capital One Spark Business Unlimited Checking

Capital One

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The standout feature of Capital One’s Spark Business Unlimited Checking account is its unlimited transactions, a relatively rare feature for business checking accounts at the other big banks.

There is a minimum deposit of $250 required open a Spark Business Unlimited Checking account, and it requires a pretty hefty balance to waive the monthly service fee of $35. Capital One, however, does offer overdraft protection with a linked small business deposit account. Other noteworthy features offered by the Capital One Spark Business Unlimited Checking account include:

  • Transaction fees: Unlimited transactions
  • Monthly fee: $35, can be waived with prior 30- or 90-day average account balance of $25,000
  • ATM fees: Free access to 39,000 Allpoint ATMs
  • Number of physical branches: Over 700

nbkc bank Business Account

nbkc bank

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on nbkc bank’s secure website

Member FDIC

The nbkc bank Business Account is a no-frills business checking account with competitive incentives, including unlimited transactions. With a minimum of just $5 required to open an account, and no minimum balance requirements, this is a checking account that’s especially accessible for businesses just starting out.

For those who want more from their nbkc bank Business Account services, the bank also offers add-on options for an additional cost, like the Desktop Deposit, which gives you unlimited deposits from your office and unlimited account support. Drawbacks of the nbkc bank Business account include only having a handful of physical bank branches in Kansas and Missouri. However, nbkc primarily presents itself as an online-only bank.

Other standout features of the nbkc bank Business account include:

  • Transaction fees: Unlimited transactions
  • Monthly fee: None
  • ATM fees: Free access to 32,000 MoneyPass ATMs and up to $12 monthly refunds for any ATMs fees
  • Number of physical branches: 4 total in Kansas and Missouri (it positions itself as an online bank)

Bank of America Business Advantage Checking

Bank of America

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Bank of America (BoA) offers a number of business checking accounts, but its Business Advantage Checking account in particular has a number of competitive features. This account does have a relatively steep monthly fee of $29.95, but it gives you several options to forgo that fee. There is a minimum deposit of $100 required to open the account.

One perk worth highlighting is that you’ll also receive an additional Business Advantage Checking account and an additional Business Advantage Savings account at no extra charge, as well as a $300 credit to new, eligible business credit cards if you make at least $3,000 in new purchases within the first 90 days.

Other standout features of the Bank of America Business Advantage Checking account include:

  • Transaction fees: Up to 500 transactions per month, $0.45 after that
  • Monthly fee: $29.95, waived by maintaining an average monthly balance of at least $15,000, maintaining a combined average monthly balance in linked BoA accounts of $35,000, or spending $2,500 in net new purchases on a BoA business credit card
  • ATM fees: Free access to Bank of America ATMs
  • Number of physical branches: Over 4,000

PNC Bank Business Checking

PNC Bank

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on PNC Bank’s secure website

Member FDIC

PNC Bank’s Business Checking account is great for budding businesses interested in the checking essentials with minimal fees. There is a minimum deposit of just $100 required to open an account, and clients can waive the $10 monthly maintenance fee by meeting certain requirements, including maintaining an average, monthly collected balance of just $500.

There are drawbacks of the PNC Bank Business Checking account, though. PNC itself has a relatively nonexistent footprint in the Western region of the U.S., so if you live in that region and want the convenience of a bank with brick-and-mortar locations, you’ll want to take that into consideration.

Other noteworthy features of the PNC Bank Business Checking account are:

  • Transaction fees: Up to 150 transactions monthly, $0.50 each after that
  • Monthly fee: $10, waived if you maintain a balance of $500, use a linked PNC business credit card to make a minimum of $500 in eligible purchases or Maintain a linked PNC Merchant Services account and generate a minimum of $500 in qualifying monthly processing deposits
  • ATM fees: Free access to 15,000 PNC ATMs, two reimbursements per statement cycle of non-PNC Bank ATM fees
  • Number of physical branches: 2,400 in Alabama, Delaware, Florida, Georgia, Illinois, Indiana, Kansas, Kentucky, Maryland, Michigan, Missouri, New Jersey, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Texas, Virginia, West Virginia and Wisconsin

Business checking accounts vs. personal checking accounts

At first glance, business checking accounts versus personal checking accounts might seem fairly similar. But if you take a closer look, you can understand the key differences. While every account has its differing features, personal checking accounts usually have:

Meanwhile, business checking often have:

  • Monthly service fees or minimum balance requirements to waive them
  • Lower APYs
  • Extra fees for actions ranging from having an excess of transactions to depositing cash
  • More documentation required to open an account
  • The option to order employee debit cards

Why you need a business checking account

If you’re a business owner, you might be wondering why you even have to open a checking account separate from your personal one. After all, personal checking accounts tend to have lower fees, higher APYs and better features. Why not just skip opening one and — when it comes to your checking accounts — mix business with pleasure?

There are several reasons why you should keep your work and personal checking accounts from co-mingling. First and foremost: If you operate your business as a legal entity that is separate from you – say, as an LLC – you’re legally required to keep your personal and business finances separate. Opening a business checking account is the simplest way to do that.

Another reason why you need a checking account for your business is to protect yourself. If you have structured your business entity as a corporation or an LLC, and you have a separate checking account for your business — you and other shareholders’ personal assets are not likely to be seized for damages your company is obligated to pay when filing for bankruptcy.

Benefits of a business checking account

There are a number of other benefits associated with maintaining a business checking account, aside from the obvious ones of following the law and protecting your personal assets. Those benefits can include:

  • Keeping your business records organized. This will make it easier to track your business’ profitability and assess its performance.
  • Simplifying your taxes. By keeping your personal and business checking accounts separate, it will be easier for you to file your taxes accurately and avoid penalties from the IRS. Also, it will make it easier for you to deduct business expenses from your taxes.
  • Being able to accept credit cards as a form of payment, either by setting up a merchant system or credit acceptance system.
  • Being able to allow your employees to use the business checking account.

What you need to open a business checking account

When opening a business checking account, you need more than just a spiffy company name and logo. You’ll typically be required to present the following documents:

  • Employee Identification Number (or Social Security number if it’s a sole proprietorship)
  • Your business’ formation documents
  • Ownership agreements
  • Business license

Opening a business checking account might be one of the first, big business decisions you will make as an entrepreneur. Make sure it’s an informed decision: Do your research, come with questions and be confident about the account you are opening before signing on the dotted line.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Sarah Berger
Sarah Berger |

Sarah Berger is a writer at MagnifyMoney. You can email Sarah here

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Best of

Best Checking Accounts With No Overdraft Fees

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Sarah Berger
Sarah Berger |

Sarah Berger is a writer at MagnifyMoney. You can email Sarah here

Advertiser Disclosure

News

Survey: Consumers Hate ATM Fees Above All Others

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

Paying an ATM fee can feel like a punch to the stomach. There’s nothing worse than having to spend money in order to access your money. With ATM fees typically running between $2.50 to $3, they can add up fast if you’re not paying attention to where you withdraw money.

A new survey of over 1,000 Americans by MagnifyMoney, a LendingTree company, found that Americans hate ATM fees even more than such widely despised charges as airline fees and shipping surcharges.

Despite ATM fees being America’s most hated fee, they are completely avoidable—it just takes a little legwork. We’ll even show you how easy it can be to skip out on your least favorite fee.

Key findings

  • Nearly 27% of respondents said they hate ATM fees more than any other fee—earning them the title as the most hated fee in the land.
  • The second most hated fee is the dreaded bank overdraft fee (22%), followed by credit card annual fees (7%).
  • Unsurprisingly, ATM fees are also the most commonly paid fees, with 37% of respondents having paid one or more in the last year.
  • Millennials and Midwesterners are most likely to fork over money to pay an ATM fee.
  • The second most commonly paid fee was a bank overdraft fee (18%), followed by shipping fees (15%).
  • Most people (76%) are willing to drive further out of their way to skip ATM fees. Nearly one in 10 would drive more than 10 miles out of their way to find an in-network ATM. However, most would only go one to five miles (48%) or six to 10 miles (19%) out of the way.

The top three most hated fees: ATM, overdraft and credit card fees

Out of all the annoying fees Americans get slapped with—from shipping fees to baggage fees to convenience fees for event tickets—people have the most aversion to ATMs fees.

One reason could be the staggering number of Americans who were forced to pay a surcharge to access their own cash. Our survey found that 37% of Americans have paid an ATM fee — either charged by the bank for out-of-network ATM use or by the ATM owner — in the past year, and 35% have paid one in the past month. Millennials and Midwesterners were the groups that incurred ATM fees the most often.

We found that the second most hated fee was bank overdraft charges, with 22% of Americans saying they hate those fees the most, followed by 7% who despise credit card annual fees the most. Interestingly, a whopping 18% of Americans were charged with an overdraft fee in the past year, while 13% paid a credit card annual fee.

While airline fees tend to get a bad rep, the number of Americans who hate those surcharges the most pales in comparison to those who hate financial fees: Only 7% of Americans hate airline baggage fees the most, 3% airline seat selection fees, and just 1% airline flight change fees.

What people do to avoid fees

Our survey reveals that most people would make a serious effort to avoid paying an ATM fees: Nearly half say they would drive between one to five miles to avoid an ATM fee, while one in 10 would really go the distance and over 10 miles to free themselves of an ATM fee. Not everyone is willing to put in the extra effort, though: A surprising 24% of Americans would not drive any distance to avoid an ATM fee.

Many Americans enroll in overdraft protection to avoid extra bank fees. In many cases, overdraft protection programs are effective shields against overdraft fees. It’s not surprising that since overdraft fees are the second most hated types of fees, nearly half of Americans are enrolled in some sort of protection plan. Other courses of action Americans took to avoid paying a fee included not signing up for a credit card with an annual fee (24%), making a purchase in-store instead of online (19%) and bringing only carry-on luggage (15%).

How to avoid paying ATM fees

While ATM fees are widely disliked, they are also completely avoidable. It might take a little bit of effort and inconvenience, but if you really don’t want to pay to access your own cash, there are simple steps you can take. For example:

  • Utilize your bank’s mobile app. Many of them have tools to help you find nearby in-network ATMs.
  • Next time you are paying with your debit card at a store, ask for cash back instead of using an ATM.
  • Consider a credit union that’s part of the CO-OP network. You’ll get fee-free access to nearly 30,000 ATMs.
  • Explore banks that reimburse you for ATM fees.

The best banks for people that hate ATM fees

A number of banks, particularly online banks, offer incentives that reduce or eliminate out-of-network ATM fees. If ATM fees are the bane of your existence (or if you just want to avoid paying cash to access your own cash), these banks could be a good fit for you.

Bank / account ATM fee policy
E* TRADE Max-Rate Checking AccountUnlimited ATM fee refunds. Must maintain an average monthly balance of $5,000 to waive $15 monthly fee.
Axos Bank Essential Checking accountUnlimited domestic ATM fee reimbursements.
TIAA Bank Yield Pledge Checking accountMonthly reimbursement up to $15 for U.S. ATM fees. Unlimited reimbursement for accounts with an average daily balance of $5,000.
State Farm Bank Checking and Interest Checking accountsUnlimited ATM fee reimbursement if direct deposit has been made to account during statement cycle. Or, if no deposit has been made, up to $10 ATM fee reimbursement per statement cycle.
Radius Bank Rewards Checking, Champion Checking, Superhero Checking and Hybrid Checking accountsUnlimited ATM fee reimbursements.
Schwab Bank High Yield Investor Checking AccountUnlimited ATM fee rebates.
Ally BankUp to $10 ATM fee reimbursement per statement cycle.
First Republic Bank ATM Rebate Checking accountUnlimited ATM fee rebates. Must maintain a minimum average balance of $3,500 to waive $25 monthly service fee.

Fee information is accurate as of November 5, 2019.

Methodology

For this survey, MagnifyMoney commissioned Qualtrics to conduct an online survey of 1,028 Americans. The survey was fielded September 11-13, 2019, with the sample base proportioned to represent the general population.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Sarah Berger
Sarah Berger |

Sarah Berger is a writer at MagnifyMoney. You can email Sarah here