Most business bank accounts cost nothing to open, but monthly fees range from $0 to $30 depending on the bank and account type
Opening a business bank account itself is free at nearly every bank. You walk in or go online, provide your business documents, and the account opens with no setup fee. The cost comes later — in monthly maintenance fees, which vary widely. A basic business checking account at a large bank might cost $10 to $15 per month. Online banks and credit unions often charge nothing. Some accounts waive the monthly fee if you keep a minimum balance or set up direct deposit.
The real expense is not the account opening but the fees that stack up over time. A $15 monthly fee adds up to $180 a year. If you use the account for five years, that is $900 in fees alone. Choosing the right account type and bank can cut that cost to zero.
Key Takeaways
- Opening a business bank account costs nothing at the bank itself — no setup fees exist at major institutions.
- Monthly maintenance fees range from $0 to $30 depending on whether you use a large bank, online bank, or credit union.
- Many banks waive monthly fees if you maintain a minimum balance, usually $500 to $2,500.
- Additional costs like overdraft fees, wire transfer fees, and check printing can add hundreds of dollars per year if you are not careful.
- Online banks and credit unions typically charge lower or zero monthly fees than traditional brick-and-mortar banks.
Monthly maintenance fees and how to avoid them
Most banks charge a monthly maintenance fee to keep a business checking account open. At Chase, Bank of America, and Wells Fargo, this fee is typically $10 to $15 per month. Some accounts charge more — up to $25 or $30 — if they include extra features like merchant services or higher transaction limits.
You can avoid the monthly fee in several ways. The most common is maintaining a minimum balance, usually between $500 and $2,500. If your account balance stays above that threshold, the bank waives the fee. Another route is setting up direct deposit — if your payroll or regular income deposits automatically, many banks drop the fee. Some accounts waive fees if you maintain a certain number of debit card transactions per month, typically five to ten.
Online banks like Novo, Mercury, and Brex often charge zero monthly fees with no minimum balance requirement. Credit unions typically charge $5 to $10 per month, or nothing if you meet their membership requirements. The trade-off is that online banks have fewer physical locations and credit unions may have stricter membership rules based on geography or industry.
Other fees that add up quickly
Beyond the monthly maintenance fee, business bank accounts charge for specific actions. An overdraft fee — charged when you spend more than your balance — typically costs $25 to $35 per occurrence. A single mistake can trigger multiple overdraft fees if several transactions clear on the same day.
Wire transfers cost money at most banks. Sending a domestic wire usually costs $15 to $30. Receiving a wire is often free, but some banks charge $10 to $15. If you send or receive wires regularly, these fees compound quickly. Check printing is another hidden cost — a box of 200 checks can cost $20 to $50 depending on the bank and design.
ATM fees apply if you use an out-of-network machine. Most banks charge $2 to $3 per withdrawal. Merchant processing fees — charged when customers pay by card — run 2% to 3% of the transaction. These are not bank fees but payment processor fees, and they matter if you take card payments. Some banks also charge for paper statements, account research, or stop-payment requests, though these are less common now.
Comparing costs across bank types
| Bank Type | Monthly Fee | Minimum Balance | Wire Transfer Cost |
|---|---|---|---|
| Large national bank (Chase, Bank of America, Wells Fargo) | $10–$15 | $500–$2,500 | $15–$30 to send |
| Online bank (Novo, Mercury, Brex) | $0 | None | $0–$15 to send |
| Credit union | $5–$10 (or $0) | $250–$1,000 | $15–$25 to send |
| Small regional bank | $8–$12 | $500–$1,500 | $15–$20 to send |
The choice depends on how you use the account. If you keep a steady balance above the minimum and rarely send wires, a large bank works fine and the $10 to $15 monthly fee disappears. If you send wires regularly or cannot maintain a minimum balance, an online bank saves money over time. Credit unions split the difference — lower fees than large banks but more structure than online options.
What documents you need to bring (no cost)
Opening the account itself costs nothing, but you will need to provide documents. Most banks require your Employer Identification Number (EIN) or Social Security Number, your business license or formation documents (articles of incorporation, LLC operating agreement, or DBA certificate), and a government-issued ID. Some banks also ask for a recent business tax return or proof of address.
Gathering these documents costs nothing if you already have them. If you need to obtain an EIN from the IRS, that is free and takes minutes online. If you need certified copies of your business formation documents from your state, that typically costs $5 to $25 per copy depending on the state. These are one-time costs, not recurring fees.
When to open an account and timing considerations
You can open a business bank account at any time. Many people open one as soon as they register their business, which makes sense for legal separation of personal and business finances. Some banks let you open online in 10 to 15 minutes. Others require an in-person visit, which takes 30 to 45 minutes.
There is no rush to open an account on a specific date or before a deadline. The sooner you open one, the sooner you stop mixing personal and business money, which simplifies taxes and protects your personal liability. But there is no penalty for waiting a few weeks. If you are still deciding between banks, take time to compare the fee structures — a few hours of research now can save hundreds of dollars over the life of the account.
Frequently Asked Questions
Do I need an EIN to open a business bank account?
Most banks require an EIN if your business is a corporation, LLC, or partnership. Sole proprietors can sometimes use their Social Security Number instead, but many banks prefer an EIN. Getting an EIN from the IRS is free and takes a few minutes online at irs.gov.
Can I open a business bank account online, or do I have to go to a branch?
Online banks let you open entirely online in 10 to 15 minutes. Large banks like Chase and Bank of America also offer online opening, though some require an in-person visit to verify documents. Credit unions almost always require you to visit a branch or meet with a representative by phone or video.
What is the lowest-cost business bank account?
Online banks like Novo, Mercury, and Brex charge zero monthly fees with no minimum balance. Credit unions typically charge $5 to $10 per month or nothing if you meet membership requirements. Large banks charge $10 to $15 but waive the fee if you maintain a minimum balance or set up direct deposit.
Can I switch banks later if I do not like the fees?
Yes. You can open a new account at a different bank and transfer your balance. The process takes a few days to a week. There is no penalty for closing an account, though some banks charge a small fee if you close within a few months of opening — check the terms before you open.
Do I have to pay fees if my account sits unused?
Most banks charge the monthly maintenance fee whether you use the account or not. Some waive fees for inactive accounts, but this varies by bank. If you plan to open an account and not use it immediately, confirm the bank's policy on dormant accounts before opening.