6 Best Credit Unions for Small Businesses in 2023
This article is part of a larger series on Business Banking.
The best credit unions for small businesses offer outstanding business checking and savings products that can earn interest on your business reserves. Unlike traditional banks, credit unions tend to have strict membership requirements. The ones listed here are either available across the United States or have targeted geographic or employment requirements available to enough businesses to merit inclusion.
Check the membership requirements of any credit union before applying for a business account. While some credit unions have open membership nationwide, they may require your business to be organized in a specific location.
Here are the six best credit unions for small businesses, with links directly to the provider websites:
- Affinity Plus Federal Credit Union: Best overall credit union for small businesses with a wide range of business products
- Navy Federal Credit Union: Best for military members, families, and US Department of Defense (DoD) personnel
- Self-Help Federal Credit Union: Best for loans for small businesses and social entrepreneurs
- Bethpage Federal Credit Union*: Best for interest-earning checking and savings
- Credit Union 1: Best for easy membership and scalable checking accounts
- First Tech Federal Credit Union: Best for business insurance
*Provider is geographically limited. See Bethpage Federal Credit Union’s geographic limitations to check if your business is located in an area served by it.
Best Credit Unions for Small Businesses at a Glance
Provider | Monthly Fee | Business Checking APY | Business Savings APY | Available to All Businesses? | Opening Balance Requirement |
|---|---|---|---|---|---|
 | $0 or $15 | 0.05% or 0.10% | 0.10% | Yes | None |
 | $0 to $20 | 0.01% to 0.45% | Varies | $250 or $255 | |
 | $15; waivable | 0.05% | 0.30% | Yes | None |
 | None | 0.20% | 0.10% for savings, 2.00% money market | None | |
 | Varies; waivable | 0.01% on certain accounts | 0.01% | Yes | $100 |
 | $6 or $15; waivable | 0% to 0.10% | 0.05% to 0.90% | Yes | $100 |
Affinity Plus Federal Credit Union: Best Overall for Small Businesses With a Wide Range of Business Products
What We Like
- 60,000 ATMs through MoneyPass, Co-op, and SUM ATM networks
- Earn rewards with debit purchases
- Highly rated mobile banking app
Drawbacks
- No nationwide branches
- Business loan applications require two years of federal and state tax returns―both business and personal
Features
- Merchant services including point-of-sale (POS) solutions
- Auto loans
- Mortgage and mortgage refinance
- Home equity loans (HELs) and home equity lines of credit (HELOCs)
- Traditional individual retirement accounts (IRAs) and Roth IRAs
- Cash and coin delivery with Loomis
| |
|---|---|
Required Opening Deposit | None |
Required Balance Minimum To Earn Interest | None |
Transaction Limit Before Fees |
|
Monthly Fee |
|
Domestic Wire Transfer Fees | $10 for incoming; $15 for outgoing |
International Wire Fees | $10 for incoming; $40 for outgoing |
ATM Fees | Free access at over 60,000 ATMs nationwide through Affinity Plus, MoneyPass, Co-op, and SUM ATM networks |
APY |
|
Customer Service | In-branch, chat, video calls, and phone during business hours; secure messaging 24/7 |
Other Products | Business checking and savings accounts (business savings required for each membership), certificates of deposits (CDs), business credit card, lines of credit, equipment loans, vehicle loans, merchant services, and cash and coin delivery with Loomis |
First, business owners need a personal membership with Affinity Plus (on their own or jointly). If your business is a sole proprietorship or LLC, the owner must be the one who opens the membership. To be a personal member, you must meet one of the two following criteria:
- Meet the geographic, school, or employment requirements listed on the provider’s website (see Affinity Plus FCU’s eligibility criteria)
- Make a one-time $25 dues payment to the Affinity Plus Foundation, supporting those making a positive impact in Minnesota communities
Once you have a personal membership, you will need to gather the documents for your business type, then submit an interest letter through the company’s website.
Why We Like Affinity Plus Federal Credit Union
Affinity Plus Federal Credit Union is our choice as the best credit union for small businesses thanks to a wide range of business services and three interest-bearing account options. It has a rewards program for debit card purchases, allowing you to redeem points for gift cards, travel, and more. It also has interest-bearing options for checking, savings and certificates of deposit (CDs). While the checking and savings rates are low, it has CD rates that go up to 4.25% APY.
In addition, Affinity Plus offers a business credit card, lines of credit, equipment loans, vehicle loans, and merchant services. It has partnered with Loomis to provide cash and coin delivery. For small business owners looking for a well-rounded credit union for their business needs, Affinity Plus is an excellent choice.
Navy Federal Credit Union: Best Credit Union for Military Members & Families
What We Like
- 350 branches worldwide
- Branches in 30 states and US territories, including Washington, D.C., and Guam
- Checking, savings, money markets, CDs, loans, lines of credit, vehicle, and term loans
Drawbacks
- Restricted membership requirements
- No unsecured startup loans―businesses less than two years old
- $250 deposit for sole proprietorships and $255 for all other legal entities required
Features
- Merchant services
- Payroll processing
- Business insurance
- Resources for veterans starting a new business
| |
|---|---|
Required Opening Deposit |
|
Required Balance Minimum To Earn Interest | $5 |
Transaction Limit Before Fees |
|
Monthly Fee |
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Domestic Wire Transfer Fees | Free for incoming; $14 for outgoing |
International Wire Fees | Free for incoming; $25 for outgoing |
ATM Fees | None at Navy Federal and Co-op network ATMs; $1 at out-of-network ATMs plus third-party ATM operator fees |
APY |
|
Customer Service | Toll-free phone during business hours, Monday to Friday; through the website or in a branch |
Other Products | Business savings, real estate loans, business lines of credit, vehicle and term loans, mobile and online banking, payroll and merchant services, and tailored insurance options |
Why We Like Navy Federal Credit Union
While it has the most restrictive membership requirements on this list, Navy Federal Credit Union is an outstanding choice for a small business with owners who qualify. It is limited to service members, their families, and DoD personnel.
For businesses, it requires a $250 deposit for sole proprietorships and $255 for other legal entities, along with several required documents to open an account (see Navy FCU’s list of documents). All owners must be Navy FCU members in good standing.
With more than 11 million members, branches in 30 states, and more than $160 billion in assets, Navy FCU is the largest credit union in the US. For those who qualify, it offers great rates and excellent business services. As long as you can meet the minimums required to waive fees, Navy Federal is one of the best credit unions for your small business.
Self-Help Federal Credit Union: Best for Loans for Small Businesses & Social Entrepreneurs
What We Like
- Easy to qualify for membership
- Checking, savings, money markets, business loans
- Free online and mobile banking
Drawbacks
- Small business loans outside of Illinois and North Carolina must be larger than $500,000
- Startups and new nonprofits are limited to loans of $50,000 or less; secondary source of income required
- No small business loans in California offered at this time
Features
- Offers a full range of financial products and services, including home loans, loans for large and small businesses, car loans, and credit-building loans
- Investments go toward strengthening community organizations, businesses, and social justice efforts
| |
|---|---|
Required Opening Deposit | None |
Required Balance Minimum To Earn Interest | None |
Transaction Limit Before Fees |
|
Monthly Fee | $15; waived with combined average daily balance of $25,000 across all accounts |
Domestic Wire Transfer Fees | Free incoming; $15 outgoing |
International Wire Fees | Free incoming; $25 outgoing |
ATM Fees | None at Self-Help branch ATMs and Co-op ATMs |
APY |
|
Customer Service | By email, mail, contact form on its website, or phone during business hours Monday to Saturday |
Other Products | Checking for small businesses and nonprofits, CDs, savings, money markets, commercial loans, Small Business Administration (SBA) 504 loans, CRE loans, industry-specific loans, and mobile and online banking |
You can join SHFCU in one of two ways:
- Join for free if you live, work, worship, or attend school in an eligible county, or have a family or employer affiliation. It serves communities and employer groups in California, Illinois, and Wisconsin. You can call (877) 369-2828 to verify.
- Pay a one-time fee of $5 to join its Center for Community Self-Help.
Membership forms can be downloaded from the company’s website and mailed in or dropped off at a branch.
Why We Like Self-Help Federal Credit Union
Self-Help Federal Credit Union (SHFCU) is a good choice for businesses that might need loan products in addition to business checking. While there are some limits on loan sizes, SHFCU has various loan offerings, including SBA 504 loans. It also provides charter school loans, child care loans, faith-based loans, food system loans, small business and nonprofit loans, multifamily housing loans, and other commercial real estate loans.
It has no minimum opening deposit or monthly balance requirements. Both checking and savings accounts are interest-bearing, and the monthly fee can be waived with an average daily balance of $25,000 across all accounts. There are transaction limits, and you will incur fees if you exceed them, but SHFCU offers free incoming wires and does not charge any nonsufficient funds (NSF) fees.
Bethpage Federal Credit Union: Best for Interest-Earning Checking & Savings
What We Like
- Easy to qualify for membership
- Interest-earning checking and savings accounts
- No monthly maintenance fee
Drawbacks
- Branch locations in New York state only
- No secure messaging within online banking
- Online membership application only available to residents of 12 states
Features
- Retirement planning
- Investment services
- Succession planning
- Vehicle loans, commercial mortgages, lines of credit, and term loans
| |
|---|---|
Required Opening Deposit | None |
Required Balance Minimum To Earn Interest | None; 1 cent to earn APY |
Transaction Limit Before Fees | None |
Monthly Fee | None |
Domestic Wire Transfer Fees | Free for incoming; $20 for outgoing |
International Wire Fees | Free for incoming; $30 for outgoing |
ATM Fees | None at Bethpage and Co-op network ATMs; no charges for out-of-network ATMs, but third-party fees may apply |
APY |
|
Customer Service | Via toll-free number, in-branch, or email |
Other Products | Business checking, savings, money market, credit card, CDs, merchant card processing, term loans, lines of credit, vehicle loans, commercial mortgages, and lines of credit |
To become a member of Bethpage FCU, you just need to open a $5 savings account, which can be done through its website. Although, you must reside in one of the following 12 states: Arizona, California, Florida, Georgia, Illinois, Nevada, New Jersey, New York, North Carolina, South Carolina, Virginia, or Washington.
Geographic limitation: You must reside in Arizona, California, Florida, Georgia, Illinois, Nevada, New Jersey, New York, North Carolina, South Carolina, Virginia, or Washington to become eligible for membership.
Why We Like Bethpage Federal Credit Union
Bethpage Federal Credit Union would be higher on our list if it wasn’t so geographically limited. You must reside in one of 12 states to join. If you are located in one of those states, Bethpage FCU is a great choice with outstanding product offerings.
It has vehicle loans, commercial real estate loans, lines of credit, and term loans. It even offers good interest rates on its business checking, savings, and money market accounts.
No minimum deposit is required, and you need at least 1 cent to continue to draw interest on your account. There are no monthly fees and no transaction limits.
Credit Union 1: Best for Easy Membership & Scalable Checking Accounts
What We Like
- Easy to qualify for membership
- Variety of checking accounts
- Send domestic or international wires from a digital device
Drawbacks
- Low-yield savings and checking
- No business money market accounts and CDs
- High opening deposit requirement
Features
- Rewards-earning business credit card
- Offers sweep account, which links to your checking account automatically and allows you to set a target balance in your business checking account
- On a daily basis, balances higher than your target are transferred into your sweep account; if your checking account balance falls below your target, funds are transferred from the sweep account back into your business checking account
- CRE loans and business credit card products
- Cannabis banking available
| |
|---|---|
Required Opening Deposit | $100 |
Required Balance Minimum To Earn Interest | 1 cent to earn interest in interest-bearing accounts |
Transaction Limit Before Fees | 5 cents for transactions over the following monthly limits:
|
Cash Deposit Fees | 20 cents per $100 over the following monthly limits:
|
Monthly Fee |
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Domestic Wire Transfer Fees | Incoming is free; $30 for outgoing |
International Wire Fees | Incoming is free; varies for outgoing |
ATM Fees | Free at Co-op ATM network and shared branches; $1 per transaction at non-Credit Union 1 ATMs
|
APY | 0.01% on Business Express Plus and Business Express Premium Plus |
Customer Service | Via live chat, secure message, mail, email, or by toll-free phone number |
Other Products | Business checking accounts, saving account, cannabis banking; sweep accounts linked to your checking, business rewards credit card, commercial real estate loans, free online and mobile bill pay, and merchant services |
Credit Union 1 membership can be obtained in one of two ways:
- Be eligible within its field of membership (listed within the online application or by contacting a Member Solution Specialist; see Credit Union 1’s online application).
- Donate $5 to the Credit Union 1 Educational Development Association, which benefits the continuing education of selected groups.
Why We Like Credit Union 1
Credit Union 1 is a solid choice thanks to several deposit account options, including a multi-tiered checking account product that can scale as your business grows. With three business checking accounts to choose from, it has an account that should meet your business needs.
While the lowest-tier account, Business Express Checking, doesn’t draw interest, it does have some of the same benefits as the higher-tier accounts. You can draw interest on balances in the middle- and top-tier accounts, but the rates are pretty low compared to its competitors on this list.
However, those two accounts offer high limits of free transactions and cash deposits each month. Once you reach the highest tier, Business Express Premium Plus Checking, Credit Union 1 doesn’t charge for out-of-network ATM withdrawals. You need an average daily balance of $25,000 for that account to avoid the $50 monthly fee.
In addition, Credit Union 1 offers commercial real estate loans and a business credit card. It also has Cannabis Banking, although you may want to reach out to the credit union to see if you qualify depending on where your business is located.
First Tech Federal Credit Union: Best for Business Insurance
What We Like
- Variety of business insurance options
- Interest-earning checking
- 30,000 surcharge-free ATMs nationwide
Drawbacks
- Limited business loan options
- No business money market accounts
- No business credit cards
Features
- For business savings accounts, funds are completely liquid, which means you can withdraw anytime
- Full suite of personal accounts
- Personal financial advisors available
| |
|---|---|
Required Opening Deposit | $100 |
Required Balance Minimum To Earn Interest | None |
Transaction Limit Before Fees | None |
Monthly Fee |
|
Domestic Wire Transfer Fees | $5 for incoming; $20 for outgoing |
International Wire Fees | $5 for incoming; $50 for outgoing |
ATM Fees | None at First Tech-owned and Co-op Network ATMs; $2 per transaction at out-of-network ATMs |
APY |
|
Customer Service | Via branch, secure message, phone, or mail |
Other Products | Business checking and savings, CRE lending, business insurance options, mobile and online bill pay, financial planning and investment services, and business debit and credit cards |
To qualify for membership with First Tech Federal Credit Union, you need to meet one of the following criteria:
- You have a family member or household member who is already a First Tech member.
- You or a family member work for an innovative company on the company’s partner list or for the State of Oregon (visit First Tech Federal Credit Union’s partner page to see the complete list).
- You work or live in Lane County, Oregon.
- You belong to the Computer History Museum or the Financial Fitness Association, which can be joined at a branch or via an online application.
If you don’t meet any of those criteria, First Tech encourages you to contact its reps at (855) 855-8805 for more information.
| |
|---|---|
Required Opening Deposit | $100 |
Required Balance Minimum To Earn Interest | None |
Transaction Limit Before Fees | None |
Monthly Fee |
|
Domestic Wire Transfer Fees | $5 for incoming; $20 for outgoing |
International Wire Fees | $5 for incoming; $50 for outgoing |
ATM Fees | None at First Tech-owned and Co-op Network ATMs; $2 per transaction at out-of-network ATMs |
APY |
|
Customer Service | Via branch, secure message, phone, or mail |
Other Products | Business checking and savings, CRE lending, business insurance options, mobile and online bill pay, financial planning and investment services, and business debit and credit cards |
To qualify for membership with First Tech Federal Credit Union, you need to meet one of the following criteria:
- You have a family member or household member who is already a First Tech member.
- You or a family member work for an innovative company on the company’s partner list or for the State of Oregon (visit First Tech Federal Credit Union’s partner page to see the complete list).
- You work or live in Lane County, Oregon.
- You belong to the Computer History Museum or the Financial Fitness Association, which can be joined at a branch or via an online application.
If you don’t meet any of those criteria, First Tech encourages you to contact its reps at (855) 855-8805 for more information.
Why We Like First Tech Federal Credit Union
For businesses looking to secure insurance with the same company as their business checking, First Tech Federal Credit Union is an outstanding choice. It offers the following types of business insurance:
- Directors & officers (D&O) liability
- Inland marine policy
- Business umbrella policy
- Professional liability
- Workers’ compensation policy
- Commercial vehicle policy
- Employment practices liability
- Crime insurance
- Business owners policy (BOP)
- Builders risk policy
In addition to its excellent insurance products, it has great checking and savings options, many of which are interest-bearing. What’s more, monthly fees are easily waivable across its accounts.
First Tech also has commercial real estate (CRE) loans for multifamily, office and industrial buildings, self-storage, mobile home parks, flagged hotels, and healthcare. It also offers interest earnings on its dividend checking, Business Instant Access, a savings product earning up to 0.90% APY, and two other savings accounts that earn up to 0.10% APY. It even has business CDs earning up to 5.00% APY.
How We Evaluated the Credit Unions for Small Businesses
We reviewed dozens of credit unions nationwide to compile this buyer’s guide. When considering the best credit unions for small businesses, we looked at the following criteria:
- Nationwide availability
- APY on checking and savings accounts
- Required minimum opening deposits and balances
- Monthly fees, and how waivable they are
- Transaction limits before fees
- Wire fees and ATM fees
- Availability of customer services
- Other business products and services
- Lending products, if available
How To Choose a Credit Union for Your Small Business
Here are three things you should consider before choosing a credit union for your small business.
1. Check if Your Business Is Eligible
Credit unions tend to have stricter qualification requirements when it comes to business accounts as compared to banks. Depending on how your business is organized and in what state it operates will determine whether you will be eligible for a business account at a particular credit union.
2. Understand the Fee Structure and the Potential Cost to Your Business
Some credit unions have more fees than banks. This doesn’t mean that it will be more expensive for your business, but rather there may be more types of transactions that come with a fee. Depending on your company’s banking activities, this still may be a less expensive option than a traditional bank.
Estimate your typical monthly banking activity and compare it with the fee schedule of one of these credit unions. This is especially important if they charge waivable monthly fees. You need to make sure you meet the criteria necessary to get those fees waived.
3. Read Customer Reviews
Each section of this buyer’s guide includes a link to our review of the credit unions featured. Near the end of those reviews is a section where we highlight the user reviews for each provider. This can help you avoid any potential pitfalls with a credit union before signing up for an account. Glowing reviews might also make your decision easier.
Keep in mind that these reviews will contain both personal and business account customers, so they may not completely reflect the experience you may have with your business account.
When To Consider a Credit Union for Your Small Business
When deciding whether to go with a credit union vs a bank for your small business, you want to compare what features and perks you are getting from a credit union compared to a bank. You also need to consider the membership and monthly fees that might be associated with credit unions. While initial fees are often higher, APY on checking and savings accounts are usually higher with a credit union. In addition, loan rates are often lower.
It may come down to convenience, however. If you need a physical branch location, you might choose a small business checking account instead, as large traditional bank franchises offer more physical locations. Either way, check out our guide on how to open a business bank account before you proceed.
Alternatives to the Best Credit Unions for Business Accounts
If you decide you would rather choose a traditional bank or financial technology (fintech) company for your business banking needs as opposed to a credit union, here are three alternatives to consider.
Account | Monthly & Transaction Fees | APY | Our Review | |
|---|---|---|---|---|
 | Fundamentals Business Checking | $16; waivable | None | |
 | Business Complete Banking | $15; waivable | None | |
 | Business Checking | None | 2.0% on qualifying balances of $250,000 or less | |
*Bluevine is a business fintech platform backed by Federal Deposit Insurance Corp. (FDIC)-insured Coastal Community Bank.
Frequently Asked Questions (FAQs)
Both can be great options for your small business. A credit union generally offers higher interest rates on accounts. Banks, especially large national banks like Bank of America and Chase, likely will have better business support products and services.
If your business is eligible for an account at a credit union, and you just want the higher interest rate returns on accounts, choose a credit union. Otherwise, a bank will likely support your business better as it grows and needs more services for the company and its employees.
The biggest disadvantage of a credit union is membership is often limited by geographical or workplace eligibility. Sometimes, even if you can join as an individual, you may be unable to get a business account because your company doesn’t operate in the state required by the credit union. Three other disadvantages of a credit union for business accounts are:
- Smaller selection of business products and services.
- Limited physical locations compared to large national banks.
- Technological advances often lag behind banks.
As long as the accounts you open are insured, a bank and a credit union can be equally safe. Business accounts at banks are insured by the FDIC while credit unions are insured by the National Credit Union Administration. Both types of accounts should be insured for up to $250,000. So, as long as the account is insured and you have less than $250,000 in the account, you are safe.
Bottom Line
Credit unions can provide excellent accounts and services for your business. However, before considering a credit union, ensure your business can meet the membership requirements for a business account. Also, consider the other services the credit union can provide your business. Compare the best credit unions for business accounts on this list and choose the one that best meets your needs.
