Bank of America is a great choice for organizations needing top-notch business banking services. It offers two business checking accounts: Business Advantage Fundamentals Banking and Business Advantage Relationship Banking. These accounts provide monthly high cash deposit allowances, making them suitable for cash-reliant businesses. Other benefits include ongoing rewards, welcome bonuses for qualifying customers, and access to a wide selection of brick-and-mortar stores.
Pros
- $7,500 monthly cash deposit allowance for entry-level account
- $200 welcome bonus for qualifying new accounts
- Ongoing benefits through Preferred Rewards for Business
Cons
- $16 monthly fee for lower-tier account
- $100 minimum opening deposit
- No interest-earning checking options
Features
- Online and mobile banking
- Ongoing benefits, including fee reduction under Preferred Rewards for Business program
- Credit card processing and payroll services through ADP and QuickBooks
- Cash Flow Monitor®, a cash management tool, lets you connect accounting, analytics, and payroll apps to help you make business decisions
- Physical and digital debit cards
- Business Employee Debit Cards
- Credit cards, lending products, savings, and investment products available
- Free access to Dun & Bradstreet business credit score information
How Bank of America Stacks Up With Its Competitors
When Bank of America Is a Good Fit
- You deposit large amounts of cash monthly: In our roundup of the best small business checking accounts, we listed Bank of America as the best provider for low cash deposit fees. Both of its accounts offer high cash deposit limits, with a limit of $7,500 for Business Advantage Fundamentals Banking and $20,000 for Business Advantage Relationship Banking.
- You want access to ongoing rewards: Enrolling in Bank of America’s preferred rewards for business program gives you access to priority customer service, boosted interest rates, and discounts on banking services. This program is one of the reasons we included Bank of America in our list of the leading banks for startups.
- You need to issue debit cards to your employees: You can request Business Employee Debit Cards and set the spending limits for ATM and point-of-sale (POS) transactions, which lets you distribute banking tasks without sacrificing control over your business spending.
When To Use a Bank of America Alternative
- You seek interest checking deposits: Neither Bank of America’s business checking accounts earn interest. For competitive yield, you can opt for Bluevine, which offers 2.0% APY on balances of $250,000 and less. Learn more in our review of Bluevine business checking.
- You have to make frequent ATM withdrawals from outside of Bank of America’s ATM network: There is a $2.50 fee for out-of-network withdrawals, plus third-party operator fees. It only waives ATM fees if your account qualifies for the Platinum and Platinum Honors tier in the Preferred Rewards for Business program. Novo is a good alternative, as it refunds third-party ATM fees up to $7 monthly. Our Novo business checking review provides detailed information on the solution.
- You want to bank without a monthly fee: Both of Bank of America’s business checking accounts charge monthly fees. If you want to pay zero monthly service fees without having to meet specific monthly activity requirements, choose U.S. Bank. The U.S. Bank Silver Business Checking account has a monthly fee of $0. For more information, read our U.S. Bank business checking review.
Bank of America Business Checking Overview
Bank of America Business Checking Requirements
To open a business bank account with Bank of America, you can apply directly through the Bank of America website, call a toll-free number, or visit one of more than 3,900 financial centers across the United States. You can also schedule an appointment online prior to meeting with a small business specialist at a financial center.
The general Bank of America business checking requirements are similar regardless of how your business is organized. Note, however, that the business formation and operation must be in the United States.
All businesses will be asked to prepare the following:
- Business employer identification number (EIN) or Social Security number (for sole proprietors and single-member limited liability companies (LLCs) only
- Date business was established
- Country and state of legal formation
- Country and state of primary business operation
- Personal information, such as Social Security number and date of birth, for everyone on the application, including those with at least 25% or more ownership and the controlling manager of the business
If you’re doing business under a different name, you may also need to prepare one of the following:
- Business License, sometimes called an occasional tax license and must include first and last name of owner
- Trade name certificate
- Fictitious name certificate
- Certificate of trade name
- Certificate of assumed business name
- Registration and license with trade name, sometimes called an occupational license
Bank of America might also request additional documentation if they cannot verify on your behalf. Click on your entity type below to see what other requirements you might need to prepare.
- Business license
One of the following:
- Articles of organization
- Certificate of organization
- Certificate of formation
One of the following:
- Partnership agreement
- Certificate of limited partnership (LP)
- Certificate of limited liability partnership (LLP)
- Certificate of good standing
- Partnership agreement with partnership name and partner’s names
One of the following:
- Articles of association (in states where applicable)
- Meeting minutes with the following information:
- Name of association/business
- Date of meeting (may include time)
- Who attended
- Minutes taken during the meeting (what the meeting covered)
- Amendments to previous meeting minutes
One of the following:
- Articles of incorporation
- Articles of organization
- Certificate of authority
- Certificate of formation
- Certificate of incorporation
- Certificate of registration
- Corporate charter
- Certificate of good standing
One of the following:
- Articles of incorporation
- Articles of organization
- Certificate of incorporation
- Certificate of formation
- Certificate of registration
- Certificate of good standing
- Corporate charter
- Articles of association (in states where applicable)
Accounts opened online can be approved immediately if further documentation is not required. If it is, you have up to 11 days after the application to submit the necessary documents.
Once you’re ready to open an account, refer to our article on how to open a business bank account for guidance on preparing for your application.
Bank of America Business Checking Features
Bank of America’s two small business checking accounts come with several features that can benefit your business. Features that are only available with one of the account types, or differences in fees, will be denoted below.
Welcome Bonus for New Accounts
New accounts can receive a $200 welcome bonus by completing the following criteria before Dec. 31, 2023:
- Open a Business Advantage Relationship Banking or Business Advantage Fundamentals Banking account online.
- Deposit new money worth $5,000 or more into your new business checking account.
- Maintain an average balance of $5,000 for a maintenance period of sixty days. The maintenance period begins 31 days after account opening and ends 90 calendar days after account opening.
Existing or previous Bank of America owners and signers are ineligible for this bonus. Additionally, you are required to open your account online to qualify. Only one bonus offer per business owner is available, regardless of the number of businesses you own or operate.
Bank of America Physical & Digital Debit Cards
Once your account is open, you should receive a free physical debit card within five to seven business days.
Once you’re enrolled in mobile banking, you can request approval to use virtual debit cards. You can add your virtual debit cards to digital wallets, such as Apple Pay, Google Pay, and Samsung Pay.
Debit cards give you fee-free access to over 16,000 Bank of America ATMs. Out-of-network ATM use costs $2.50 per item for domestic ATMs and $5 per item for international ATMs.
Business Employee Debit Cards
An employee debit card is used to securely and conveniently make ATM deposits into the business checking or savings account. The spending limits for employees for ATM and POS transactions can be set by the account holder.
The business owner or authorized signer can request business employee debit cards by applying at a financial center or signing in to online banking if they’re an existing business checking customer.
The differences between a Business Debit Card and a Business Employee Debit Card are:
- Each business debit card can link up to 15 accounts (checking and savings), while only one checking account can be linked to a business employee debit card
- Daily ATM withdrawal limits is $1,000 for a business debit card while $100 or lower can be set for a business employee debit card
- For daily purchase limits, business debit cards can be used up to the card’s available balance, while for business employee debit cards, the limit is $400 or set lower by the account holder
Both have no ATM fees when they’re used at Bank of America ATMs.
Additional Business Advantage Banking Accounts
If you have a Business Advantage Relationship Banking account, you can open an additional Business Advantage Relationship Banking account and a Business Advantage Savings account with no monthly fees.
Preferred Rewards for Business
By joining the company’s free preferred rewards program, you can get:
- Monthly fees and inbound wire transfer fees waived
- 25% to 75% rewards bonus on eligible business credit cards
- Interest rate boost on your savings Business Advantage Savings account
- Interest rate discounts on new Business Advantage select lending products
- Payroll service cash back
- Professional financial advice from a Merrill financial solutions advisor
To qualify for the Bank of America Preferred Rewards for Business program, you need a Business Advantage Relationship Banking or Business Advantage Fundamentals Banking account and to meet Bank of America’s average daily balance requirements across your qualifying business deposit accounts and/or Merrill investment accounts.
The requirements differ depending on your tier of choice:
- Gold Tier: To qualify for the Gold Tier, you need to maintain a three-month combined average daily balance of $20,000 or more.
- Platinum Tier: To qualify for the Platinum Tier, you need to maintain a three-month combined average daily balance of $50,000 or more.
- Platinum Honors Tier: To qualify for the Platinum Honors Tier, you need to maintain a three-month combined average daily balance of $100,000 or more.
Below is a table that lists each tier’s rewards and benefits:
Gold | Platinum | Platinum Honors | |
---|---|---|---|
3-month Combined Average Daily Balance (ADB) | $20,000 to less than $50,000 | $50,000 to less than $100,000 | $100,000 and above |
No Monthly Maintenance Fees (Up to 4 Checking & 4 Savings Accounts | ✓ | ✓ | ✓ |
Fee Waivers on Select Banking Services | - ATM/ debit card rush replacement - Cashier’s checks - Check copies and images - Domestic inbound wire transfers - Stop payments | Gold tier benefits plus international inbound wire transfers | Platinum tier benefits plus 4 online outbound wire transfers (per statement cycle) |
Bonus Rewards on Eligible Business Credit Cards | 25% bonus rewards | 50% bonus rewards | 75% bonus rewards |
Interest Rate Booster on Business Advantage Savings Accounts | 5% booster | 10% booster | 20% booster |
No ATM transaction fees (for US ATMs) | NA | Up to 12 no-fee ATM transactions per year (one per statement cycle) | Unlimited no-fee ATM transactions |
Interest Rate Discounts on New Business Advantage Credit Line, Term Loan & Secured Lending | 0.25% discount | 0.50% discount | 0.75% discount |
Processing Rate Discount on Merchant Services (Simplified Pricing Plan) | 0.05% discount | 0.07% discount | 0.10% discount |
Cash Back on Eligible Payroll Service Fees | $10 cash back | $15 cash back | $20 cash back |
As balances increase, members can move to the next tier and qualify for additional rewards. The program benefits can be kept for at least a full year since qualifications are reviewed yearly. A 3-month grace period is also given to restore eligibility in case you fail to meet the required balances.
Note that the Preferred Rewards for Business program is only available to clients of Bank of America Small Business, Merrill Small Business, and Bank of America Private Bank® Small Business. To learn more about it, visit Bank of America’s Preferred Rewards for Business page.
Small Business Online & Mobile Banking
To access your accounts online, you will have to enroll in Bank of America’s online banking platform, Business Advantage 360. From there, you can:
- View real-time balances, transaction reports, past bank statements, and online check and deposit slip images
- Sync transactions with QuickBooks
- Set up multiple users’ account access
- Access Dun & Bradstreet business credit score information
- Pay bills
- Reorder checks
- Request check stop payments
- Perform fund transfers to other financial institutions
- Make same-day wire transfers.
You can also deposit checks remotely by enrolling in Small Business Remote Deposit Online.
The app received great reviews from users. It has 4.8 stars on the App Store[1] (based on over 4 million reviews) and 4.6 stars on Google Play[2] (based on over 1 million reviews). While most customers said that the app was useful and reliable, many criticized the user interface for being unintuitive. According to negative reviews, the overabundance of app features made the app clunky and difficult to navigate.
Access to Investment Solutions With Merrill Edge
In addition to banking solutions, you can access small business and individual 401(k) accounts and simplified employee pension individual retirement account (SEP IRA) and savings incentive match plan for employees (SIMPLE) IRA accounts through Merrill in conjunction with Bank of America.
Business Services
Bank of America provides business services to allow your business to accept credit card payments, get payroll services through ADP or QuickBooks, have access to mobile check deposits, and issue permissions with Account Management.
You can also use the company’s Cash Flow Monitor and connected apps to help your business run smoothly. Those apps include ADP, QuickBooks Online, Expensify, Podium, Google Workspace and Analytics, Square, Stripe, and Constant Contact.
Additionally, you can accept payments through the app for free with Zelle®.
Other Bank of America Business Products
This account is best for those who hold funds in trust. The interest is paid to a state program, such as an Interest On Lawyer’s Trust Account (IOLTA) program.
The Bank of America Business Advantage Savings account earns interest at a rate of 0.01%. It requires an opening deposit of $100 and charges a monthly fee of $10, which can be waived by completing one or more of the following requirements:
- Maintaining a $2,500 daily balance
- Including one Business Advantage Savings account as part of a Business Advantage Relationship Banking solution
- Becoming a member of Preferred Rewards for Business
Additionally, if you’re enrolled in Bank of America’s Preferred Rewards for Business Program, you can boost your interest rates. You can access higher rates by maintaining higher average daily balances across your qualifying Bank of America business accounts.
- The Gold Tier, which requires a minimum qualifying balance of $20,000, pays 0.02% APY.
- The Platinum Tier, which requires a minimum qualifying balance of $50,000, pays 0.03% APY.
- The Platinum Honors Tier, which requires a minimum qualifying balance of $100,000, pays 0.04% APY.
There are three types of Bank of America business CDs. Each CD has a minimum opening deposit requirement of $1,000.
- Business Featured CDs have 7- to 37-month terms and earn interest from 0.05%–5.00%.
- Fixed Term Business CDs have terms between 28 days to 10 years and earn interest from 0.03%–4.00%.
- Flexible CDs earn interest at a rate of 3.51%. You can open a 12-month term CD, which will automatically renew into a 9-month CD.
The small business loans and financing products Bank of America offers include:
- Unsecured term loans
- Unsecured lines of credit
- Cash secured lines of credit
- Auto loans
- Secured business lines of credit
- Secured business loans
- Commercial real estate loans
- Small Business Administration (SBA) Loans
- Equipment loans
- Healthcare practice loans
Bank of America business credit cards offer cash back or travel rewards. Many cards offer competitive features, such as no-financing options, low annual percentage rates (APRs), and no annual fees. For more information, refer to our breakdown of the best Bank of America business credit cards.
Bank of America Business Checking Reviews From Users
Although the bank received a 3.9-star rating on WalletHub[3] (based on approximately 40,000 reviews), most are a negative Bank of America business checking review. Recurring comments include the following:
- Steep requirements for waiving monthly fees: A few customers found the spending and balance requirements for waiving monthly business checking fees too steep.
- Poor handling of fraud cases: Many reviewers said that security at Bank of America was not strong enough to protect them from fraud. Additionally, the process of reimbursing fraudulent charges took too long.
- Long hold times for check deposits: According to clients, it takes a while for funds from check deposits to appear in your account.
Bottom Line
Bank of America is a great choice for cash-reliant businesses looking for a traditional banking provider that offers generous limits for both cash deposits and day-to-day transactions. It has two great checking products that you can switch between as your business needs change. Although neither account is free, many of the fees involved can be waived. In addition, the bank provides a wide selection of business products, including savings, lending, investing, merchant services, and more.