No small business in Washington is truly set up without a bank account to handle its finances. With numerous options available, selecting the ideal one for your business can be challenging. We have identified the seven top banks for small businesses in Washington to help you make an informed choice and focus on what you do best.
In choosing our top banks for Washington, we evaluated several key factors. These included the fee schedules and the balance requirements necessary to maintain free accounts. We also reviewed the interest rates and overall ease of use. Finally, we assessed the accessibility and functionality of mobile banking options offered by each bank.
Bluevine redefines banking with its standout 2.0% APY on checking accounts, significantly surpassing the national average and negating the necessity for a separate savings account. Starting is hassle-free with no minimum deposit required, no minimum balance, and no monthly fees. However, be mindful of the $4.95 fee for cash deposits which can quickly accumulate.
Why we chose it: Bluevine stands out due to its minimal fees, user-friendly interface, and exceptional interest rates, all combined into one efficient checking account.
Pros:
Cons:
With strategic use, it’s possible to enjoy Bluevine’s services indefinitely without incurring any fees. The business checking account is free to open, with no maintenance requirements. Fees are applicable at out-of-network ATMs, for outgoing wire transfers, and for cash deposits.
A 2.0% APY is typically only seen in products like CDs or high-balance money market accounts. Bluevine offers this rate with no prerequisites, applicable on balances up to $100,000, beyond which interest does not accrue.
Bluevine imposes no minimum balance requirement, enabling flexibility for new businesses or those with fluctuating finances. You can make payments and transfers without fear of penalties for low balances.
Bluevine’s functionality extends seamlessly from desktop to mobile. By downloading the app on an Android or iOS device, you gain access to essential features like money transfers and payment options. The mobile platform allows for comprehensive account management and real-time cash flow monitoring from anywhere, ensuring peace of mind.
While many banks charge for digital transfers, Capital One allows unlimited free transfers and does not penalize you with fees for overdrafts during these transactions. Moreover, new customers can benefit from attractive promotional interest rates for the first year. While Capital One may lack a wide presence in Washington, its robust mobile app compensates effectively.
Why we chose it: Capital One eliminates limits on digital transfers and overdraft fees, enabling hassle-free financial management.
Pros:
Cons:
There’s a $15 monthly fee for maintaining a Capital One business checking account, which can be waived under certain conditions. Business savings accounts have even simpler requirements for waiving fees. However, expect fees for wire transfers and cash deposits exceeding $5,000.
Capital One offers a promotional interest rate of 0.20% on its business checking accounts, guaranteed for the first year after signing up. While promotional rates are subject to change, this rate has remained stable since 2020.
Maintaining an average balance of $2,000 over a 30 or 90-day period will waive the $15 service fee on checking accounts. Savings accounts require a $300 minimum balance each month to avoid a $3 service charge.
Capital One’s mobile app is highly regarded and includes features like mobile deposit, bill payment, and digital transfers. It also offers tools for building automatic savings plans and monitoring your credit score through CreditWise, enhancing both convenience and financial control.
Axos Bank stands out due to its minimal fee structure. There are no charges for opening or maintaining an account, and most of the bank’s features are free. Axos even reimburses you for all domestic out-of-network ATM withdrawals and covers the costs of your first two wire transfers each month. Just be cautious not to overdraw your account to avoid an insufficient funds fee.
Why we chose it: Axos Bank is renowned for its virtually non-existent fees and for reimbursing many of the incidental costs associated with conducting business.
Pros:
Cons:
The Basic Business Checking account has no monthly fee, and other charges are rare. Savings accounts incur a minimum fee of $4 per month if you fail to maintain the required balance. While wire transfers typically cost $35, Axos waives the fee for the first two each billing cycle. Each returned check incurs a $25 fee, and multiple charges can apply on the same day.
Savings and money market accounts offer a 0.20% APY for balances from $0 to $5,000,000. The Business Interest Checking account provides a chance to earn 1.01% interest on balances up to $50,000.
A minimum of $2,500 is required in savings accounts each month to avoid a $5 service fee. The Business Interest Checking account requires a $5,000 minimum to waive its service fees.
Axos Bank’s mobile banking app enables efficient business finance management. Users can check balances, deposit checks, and manage bill payments from anywhere. The app also offers tools to analyze spending patterns and optimize financial management.
U.S. Bank offers five distinct business checking accounts catering to small businesses, ranging from a basic account with no monthly maintenance fee to a premium account that earns interest as your business expands. Additionally, the bank provides specialized merchant services tailored to specific business types, such as restaurants and retail stores. U.S. Bank boasts thousands of branches across the nation, including in major cities within Washington.
Why we chose it: U.S. Bank provides a variety of checking account options suited for diverse small business needs.
Pros:
Cons:
The Silver Business Checking account starts without a monthly fee but includes transaction limitations. Other accounts offer the possibility to waive service charges if certain balance requirements are met. Monthly fees for savings accounts begin at $4 but can be waived with careful planning.
U.S. Bank’s savings and money market accounts start with a base APY of 0.01%. The Platinum Business Money Market account can provide bonus rates up to 3.50%, contingent upon maintaining a high balance. The interest-bearing checking account offers a lower rate of 0.005%.
A minimum of $500 is required in business savings accounts to avoid monthly fees. The Silver Business Checking account does not require a minimum balance, but higher-tier accounts do. Additionally, maintaining higher balances in certain accounts can improve interest rates.
U.S. Bank enhances mobile banking with voice prompts that simplify navigation. Its app supports Zelle, facilitates check deposits, and manages bill payments efficiently. Comprehensive controls allow full management of your credit card and the ability to set up a digital wallet, ensuring convenience and security.
If you’re managing an e-commerce business, consider Novo for its excellent compatibility with platforms like Shopify, Etsy, and Amazon. This fintech solution integrates seamlessly to help you track transactions and manage your finances effectively.
Novo’s superior mobile app ensures you can monitor your business activities anywhere, anytime. Additionally, you can allocate funds into reserve accounts to better track and control spending.
Why we chose it: Novo is ideal for e-commerce businesses due to its seamless integration with popular online selling platforms.
Pros:
Cons:
Novo is largely fee-free, though it charges for outgoing wire transfers. Be wary of a $27 fee for insufficient funds. Novo also refunds all ATM fees, ensuring cost-effective cash access regardless of the network.
Novo does not offer a savings account, which means there are no options to earn interest on your balances.
There are no monthly service fees or minimum balance requirements with Novo, simplifying financial management. However, maintaining sufficient funds is crucial to avoid fees for insufficient funds.
Novo’s robust mobile app extends its e-commerce functionality, allowing you to manage reserve accounts and process payouts from major online platforms efficiently. Opening an account is straightforward and can be done with just an EIN through the app.
>> Try Novo for Banking Now >>
Chase boasts nearly 200 branch locations across Washington, from Spokane to Seattle, ensuring that you’re likely never too far from in-person assistance. If you open a business account now, Chase offers a $300 bonus as an incentive. Despite the monthly fees, there are several strategies to have them waived.
Why we chose it: Chase stands out with the most branch locations in Washington, offering convenient access to in-person services.
Pros:
Cons:
The $15 monthly maintenance fee can be waived by maintaining a $2,000 daily balance, making $2,000 in net purchases on a Chase Ink business card, or receiving $2,000 in deposits via Chase QuickAccept. Additionally, linking a checking account can waive savings account fees. However, fees apply for wire transfers and for transactions beyond the initial 20 allowed per month.
New small business customers earn a modest 0.01% APY on checking accounts. However, higher rates up to 3.50% are available through Chase’s Certificate of Deposit (CD) accounts if you have additional funds to invest.
Avoiding the monthly fee is possible by maintaining a $2,000 balance. To qualify for the $300 sign-on bonus, you must deposit this amount within the first 30 days and keep it for at least 60 days thereafter.
Chase’s mobile app enables you to manage transaction alerts and monitor account thresholds to prevent overdrafts. It offers functionalities like money transfers, deposit receipts and helps locate the nearest branch or ATM, enhancing your banking convenience.
Umpqua embodies traditional Northwest banking, supporting local communities with a variety of business accounts. While monthly fees apply, they can be waived by maintaining certain balance levels. Umpqua is also generous with the amount of checks and cash deposits allowed before incurring additional fees.
Why we chose it: Umpqua Bank has been a trusted local institution in Washington and surrounding areas for over 70 years, making it a popular choice for businesses in the region.
Pros:
Cons:
Community Business Checking and Savings accounts at Umpqua start with monthly fees of $10 and $3, respectively. The first 200 check deposits and up to $10,000 in cash deposits each month are free, which suits the needs of most small businesses. However, wire transfers are costly, with outgoing transfers costing upwards of $50.
The initial interest rates on Umpqua’s accounts are modest at 0.01% APY. Higher-tier accounts can offer up to 0.15% APY, but these require maintaining large minimum balances.
A minimum of $1,000 is required in the Community Business Checking to avoid monthly fees. The introductory savings account has a lower requirement of just $200 to waive fees. Higher balances can also influence your interest rates as you move up to premium account tiers.
Umpqua’s mobile app provides full access to your accounts, allowing you to view statements, transfer money, and set up alerts to monitor account activities. The app also helps locate the nearest Umpqua bank branch or ATM for convenient access.
We thoroughly evaluated numerous factors to determine the best banks for small businesses in Washington. Here are the key criteria that guided our selection:
>> Open a Business Bank Account With the Bluevine >>
Interested in learning about the best banks for small businesses in Washington? Here are some frequently asked questions that might help:
Chase Bank has the most branches in Washington, making it highly accessible. While Umpqua has a strong local presence, online banks are also gaining popularity.
Local banks are deeply integrated into the community and typically have a strong understanding of local business needs. However, if you plan to expand beyond state lines, a national or online bank might offer broader support.
Using a separate business bank account for your LLC is advisable to keep personal and business finances distinct. This separation can protect your personal assets in the event of legal issues.
Yes, a tax ID is necessary to open a business bank account. Sole proprietors and single-member LLCs can use a Social Security number, while businesses with employees should use an Employer Identification Number (EIN).
The top banks for small businesses in Washington minimize fees and balance requirements, providing attractive features and benefits. Bluevine ranks as our top choice, but any of the banks listed could effectively meet your business banking needs.
Judith Harvey is a seasoned finance editor with over two decades of experience in the financial journalism industry. Her analytical skills and keen insight into market trends quickly made her a sought-after expert in financial reporting.
