Key takeaways
- No-fee business savings accounts exist, but terms vary. Some banks waive monthly fees if you maintain a certain balance, while others offer truly fee-free options with competitive interest rates.
- Accounts may also charge for withdrawals, wire transfers or excess deposits. Be sure to take a look at an account’s fee structure. You’ll usually find account disclosures linked in the footnotes section.
- The best business savings account depends on your business needs. Consider factors like annual percentage yield (APY), withdrawal limits, deposit requirements and customer support.
Running a small business comes with plenty of expenses, but banking doesn’t have to be one of them. The right business savings account can help your money grow without unnecessary fees eating into your profits. While some banks charge maintenance fees, many offer fee-free options if you know where to look.
Finding banks without monthly fees
Many banks offer business banking accounts with no monthly fees, particularly for savings accounts. Some require minimum balances or transaction limits to waive fees, while others offer genuinely fee-free options.
Online banks tend to provide the most competitive options, often featuring no-fee business savings accounts with higher APYs. Credit unions and community banks may offer business accounts with no fees, personalized service and relationship-based perks.
Neobanks, or fintech banks, are another great option for business savings accounts. These digital-first banks often offer competitive interest rates, low or no fees and seamless integrations with financial tools. Similar to online banks, they operate without physical branches. However, be sure they partner with FDIC-insured banks to protect up to $250,000 of your money in the event of a bank failure.
Types of business savings accounts
There are more types of savings accounts than just traditional or high-yield savings. Here’s how they all compare:
- Standard business savings accounts: Earn interest and provide a safe place to store funds while keeping them accessible.
- High-yield business savings accounts: Offer higher interest rates and are ideal for maximizing savings growth.
- Business certificates of deposit (CDs): Require funds to be locked in for a fixed term in exchange for higher interest rates, making them a good choice for businesses that won’t need immediate access to cash.
- Money market accounts: Combine savings and checking features, often allowing limited withdrawals, check-writing privileges and debit card access.
You don’t have to choose one over the other. You can open savings accounts in various categories to help you achieve different savings objectives.
How much do banks charge for a business savings account?
Business accounts typically charge monthly fees of less than $15. Some banks waive these fees if you meet certain balance or activity requirements, while others charge them regardless of usage.
Fees at real banks
What are common business savings account fees?
Business savings accounts can come with various service charges, including transaction and withdrawal fees. Here are some common business banking fees to watch for.
Withdrawal fees
Many business savings accounts limit the number of monthly withdrawals. Exceeding this limit can result in fees ranging from $5 to $15 per transaction.
Overdraft fees
If your business savings account allows overdrafts, going below zero can cost you around $25 to $35 per occurrence. Keep an eye on your balance to avoid this charge. You may be able to set up alerts or select to decline transactions that take your balance below $0.
Wire transfer fees
Wire transfers, especially international ones, can be expensive. Domestic wires can cost $10 to $30, while international transfers may be even higher.
ATM fees
Using an out-of-network ATM to withdraw money from a business savings account may trigger a fee, typically $2.50 to $5 per transaction. Some online banks reimburse ATM fees.
Transaction fees
Business savings accounts often have transaction limits. Going over the limit can result in fees of $0.25 to $0.50 per additional transaction. A checking account might be better if your business makes frequent transfers.
Deposit fees
Some banks charge fees for large cash deposits, often if they exceed $5,000 per month. If your business handles a lot of cash, look for a bank with higher deposit limits or no deposit fees.
How do you choose between small business savings accounts?
Your best business savings account depends on your company’s banking habits and financial goals. Whether you’re saving for a future expansion or emergencies or just want to earn some interest on idle funds, here’s what to look for:
- Assess your business’s needs: Consider how you’ll use the account. Are you setting aside cash for short-term expenses, or do you want to build a long-term reserve? If you need frequent access to funds, look for an account with minimal withdrawal restrictions and no penalties for exceeding limits.
- Check account limits: Many business savings accounts limit withdrawals, transfers or deposits. Going over these limits could mean paying fees. If your cash flow is unpredictable, you can keep your finances more flexible through an account with fewer restrictions.
- Be mindful of fees: Even if a bank advertises a “no monthly fee” savings account, that doesn’t mean it’s entirely free. Some charge fees for excess withdrawals, wire transfers or cash deposits. Reviewing the fee schedule can help you avoid surprises.
- Compare APYs: Your savings account interest rate determines how fast your money grows. If you want the most competitive rates, start by comparing online-only banks. They typically offer the highest APYs.
- Look for bundled banking perks: Some banks give you better benefits, interest rates and fee waivers if you bundle their savings and checking accounts. If you need multiple banking products anyway, bringing all your accounts under one roof might be the most efficient and rewarding option.
- Consider ease of access: Digital tools like mobile banking, automated transfers and ATM access can make managing your savings seamless. Some banks also integrate with accounting software, making it easier to track and manage your business finances.
- Evaluate customer support: Fraud concerns, deposit or transaction delays and account access troubles often warrant a chat with customer support. Looking at the hours you work and might need help or your preferred communication method (in-person, phone, chat) can save you time and frustration.
Smart banking in action
Let’s say BrightWave Creative, a growing marketing agency, is ready to put some extra cash into savings. Owner Aisha wants an account that earns a competitive interest rate while keeping funds accessible.
After comparing a national bank (good service, higher fees), a local credit union (personalized attention, modest APY) and an online bank (best rates, digital-only support), she chose the online option with no monthly fees.
The deciding factors? Her business rarely handles cash, making branch access unnecessary. Plus, the higher interest rate maximizes her company’s idle funds, while the 24/7 customer support aligns perfectly with her flexible schedule.
For Aisha, the choice reflected her business priorities: maximizing growth while minimizing costs. She also set up automatic transfers of 5 percent of monthly revenue to build her reserves systematically. This strategy helped her accumulate enough for a major software upgrade within a year — all without paying a single maintenance fee.
The bottom line
Finding a no-fee business savings account can help your business profit more. In addition to monthly maintenance fees, evaluate withdrawal limits, transaction fees and interest rates. Review disclosure and fee pages to compare terms carefully to choose the best account for your business’s financial goals.
Frequently asked questions
Read the full article here
