Capital One Business Checking Review 2023
This article is part of a larger series on Business Banking.
If your small business needs affordable business checking with brick-and-mortar banking access, Capital One is an excellent choice. Its basic account, called Spark Business Basic Checking, offers unlimited fee-free digital transactions for a waivable monthly fee. Businesses with higher cash transaction volumes can upgrade to Spark Business Unlimited Checking, which offers unlimited fee-free digital transactions and cash deposits.
Although Capital One offers free digital banking, you’re required to visit a branch to open a business checking account. The bank operates exclusively in Connecticut, Delaware, Louisiana, Maryland, New Jersey, New York, Texas, Virginia, and Washington, D.C.
Capital One’s small business checking accounts are not intended for commercial clients with annual sales revenues exceeding $10 million. Capital One may convert such clients into an alternate checking product.
What We Like
- Waivable monthly maintenance fees
- Unlimited fee-free digital transactions
- Five free domestic outgoing wires monthly
- Up to two additional basic business checking accounts with waived monthly fees under Spark Business Unlimited Checking
What's Missing
- Limited branches
- Required to open an account in person
- No annual percentage yield (APY)
- $250 minimum opening deposit
Features
- Free debit card
- Mobile banking
- Online bill pay
- Business cards
- Business savings, certificates of deposit (CDs), lending products, and Escrow accounts
- Merchant services
How Capital One Stacks Up With Its Competitors
Monthly Fee | Monthly Transaction Limit Before Fees | Cash Deposit Fees | Minimum Opening Deposit | |
|---|---|---|---|---|
Spark Business Basic Checking | $15; waivable | Unlimited digital transactions | $5,000 per month free, then $1 per $1,000 | $250 |
 Business Complete Banking | $15; waivable | Unlimited digital transactions; 20 paper transactions, then 40 cents per transaction | $5,000 per month free, then $2.50 per $1,000 | None |
 Business Advantage Fundamentals Banking | $16; waivable | 200, then 45 cents per transaction | $7,500 per month free, then $0.30 per $100 | $100 |
When Capital One Is a Good Fit
- You need unlimited fee-free transactions: In our list of the best small business checking accounts, we named Capital One the best provider for unlimited everyday transactions because it charges no fees for digital transactions, including online deposits, withdrawals, and transfers.
- Your business works with cash regularly: The Spark Business Basic Checking Account lets you deposit up to $5,000 per month without fees. Upgrading to Spark Business Unlimited Checking gives you unlimited fee-free deposits.
- Your limited liability company (LLC) requires you to travel regularly: The bank issues a Spark Miles for Business card that lets you earn travel rewards. The card has a low annual fee and gives out unlimited 2x miles for all your purchases. Check out our Spark Miles for Business review to learn more about its additional features.
- You want additional business checking accounts with no monthly fee: Spark Business Unlimited Checking account holders can open up to two Spark Business Basic Checking accounts with waived monthly maintenance fees.
When Capital One Is Not a Good Fit
- You need an interest-earning business checking account: Neither of Capital One’s business checking accounts let you earn interest. We recommend Bluevine, which offers 2.00% APY on qualifying balances worth $250,000 or less. Read our review of Bluevine Business Checking to discover how it benefits your small business.
- You live outside Capital One’s jurisdiction: To open a business checking account with Capital One, you’re required to visit one of its branches, which are located exclusively in Connecticut, Delaware, Louisiana, Maryland, New Jersey, New York, Texas, Virginia, and Washington, D.C. If you want a bank with more physical branches, look into Chase, which has around 4,700 branches in 48 states. Our Chase Business Checking review provides detailed information to help you pick an account that fits your business needs.
- You want a fee-free business checking account: Capital One requires a minimum deposit of $250 and offers accounts with waived monthly maintenance fees when conditions are met. However, Novo lets you open a basic checking account with no minimum deposit requirement and no monthly fees. Learn more about its fee-free features from our review of Novo Business Checking.
Check out more providers in our list of the best small business checking accounts.
Capital One Business Checking Overview
Capital One Business Checking Requirements
To open a business bank account with Capital One, you need to visit one of its physical locations. You must be at least 18 years of age and a legal United States resident. You’ll be asked to provide the following:
- Personal information, such as name, date of birth, Social Security number, and birthdate
- E-mail address and phone number
- US address and owner establishment date (not a post office box)
- Legal name of business and type of business
- Business establishment date with signer’s full name
- Tax identification number (TIN), ownership structure, number of employees
- Percent of ownership and annual gross revenue
Click on your entity type below for the list of additional requirements.
Certified articles of incorporation or certificate of good standing or certificate of incorporation/formation/registration and IRS Form SS-4/ CP 575A or IRS Letter 147C
Certified articles of incorporation or certificate of good standing and IRS Form SS-4/ CP575A or IRS Letter 147C
Certified articles of incorporation or certificate of formation/registration or certificate of good standing or signed and dated operating agreement and IRS Form SS-4/ CP575A or IRS Letter 147C
Operating agreement for the series LLC and certified certificate of formation (managing LLC) and IRS Form SS-4/ CP575A or IRS Letter 147C
Certified certificate of organization and IRS Form SS-4/ CP575A or IRS Letter 147C
Signed and dated partnership agreement or certified evidence of registration with secretary of state and IRS Form SS-4/ CP575A or IRS Letter 147C
Signed and dated partnership agreement or certified evidence of registration with secretary of state and IRS Form SS-4/ CP575A or IRS Letter 147C
Certified certificate of limited partnership (secretary of state) or signed and dated partnership agreement or certified evidence of registration with secretary of state or certified certificate of good standing and IRS Form SS-4/ CP575A or IRS Letter 147C
No additional business documentation required
Certified articles of organization or charter letter from national organization authorizing a local chapter (on organization’s letterhead) or recent meeting minutes (on organization’s letterhead) or signed and dated formal written agreement or by-laws and IRS Form SS-4/ CP575A or IRS Letter 147C
Certified articles of incorporation or certificate of good standing and IRS Form SS-4/ CP575A or IRS Letter 147C
Not-for-profit articles of incorporation (if incorporated) or recent meeting minutes (on organization’s letterhead) and IRS Form SS-4/ CP575A or IRS Letter 147C and IRS Determination Letter 501(c)(3) or letter of tax-exempt
Documents based on entity type and certificate of trust
Before opening an account, you may want to read our guide on how to open a business bank account. It includes a free downloadable checklist of required documents.
Capital One Business Checking Features
Online & Mobile Banking
Capital One offers digital banking through its website and mobile app. The mobile app lets you:
- View balances and export statements
- Check your credit
- Pay bills and loans
- Activate cards
- Redeem rewards
- Send and receive money through Zelle
- Perform mobile check deposits
On Google Play1, Capital One earned 4.6 out of 5 stars with more than 1.4 million ratings, whereas on App Store2, it garnered 4.9 out of 5 stars with 7.3 million ratings. Satisfied reviewers praised the app for its clean layout, convenient features, and user-friendly platform. However, some users reported that it could be unreliable at times since glitches occur.
Spark Business Basic Checking
A Spark Business Basic checking account, which has a $250 account opening deposit, provides small business owners with unlimited digital transactions, a debit card, and online bill pay. It comes with a $15 monthly fee that you can waive if you have one of the following:
- A $2,000 minimum 30- or 90-day average balance, whichever is greater.
- Any two or more active, open products that include a small business loan or line of credit, merchant services account, or a Spark business credit card.
Spark Business Unlimited Checking
A Spark Business Unlimited checking account is for small business owners with cash deposit needs under $40,0000 per month. It offers fee-free cash deposits, unlimited transactions, debit cards, and online bill pay.
A $250 account opening deposit is required to open an account. It has a $35 monthly fee that you can waive if you have one of the following:
- A $25,000 minimum 30- or 90-day average balance, whichever is greater.
- Any two or more active, open products that include a small business loan or line of credit, Spark ProDeposit, merchant services account, or a Spark business credit card.
Opening a Spark Business Unlimited checking account entitles you to two Spark Business Basic checking accounts with no monthly fees—as long as the account remains open and in good standing. If the account is closed, then the monthly service fee for the Spark Business Basic Checking accounts will be applied.
Spark ProDeposit
The Spark ProDeposit service is a remote deposit service that saves you from bank trips by allowing you to deposit checks using a single feed scanner and/or mobile device. It is available only to Spark Business Unlimited Checking account holders. The ProDeposit monthly service fee is $50 and requires a one-year contract. A free remote deposit capture scanner is provided by Capital One.
Overdraft Coverage
Capital One provides free overdraft protection, but you need to enroll first. You can link your business checking account to your Capital One savings account to protect yourself from overdraft fees. If you overdraft your checking account, Capital One will deduct funds automatically from your savings account to cover the cost.
Other Capital One Business Products
In our roundup of the best savings accounts for small businesses, we named the Capital One Business Savings Account the best choice for those looking for savings with traditional providers. The account, which has an opening deposit requirement of $250, charges a monthly fee of $3—waivable with a minimum balance of $300.
It also offers an introductory APY of 0.20%, which will apply to your entire balance for your first 12 months. After the promotional period, you will earn interest at Capital One’s standard APY rate. For more detailed information about this account, check out our review of Capital One Business Savings.
Capital One offers business CDs, but you need to talk to a Branch Ambassador at a local Capital One branch to learn about the current CD rates.
Capital One offers real estate term loans, Small Business Administration (SBA) loans, and lines of credit, all with flexible lending terms. You can use your business checking account to set up automatic loan payments:
- Real estate term loans: If you need to purchase, refinance, or improve properties, you can take Capital One’s real estate term loans for fixed-term loans worth up to $5,000,000. Term lengths can last as long as 20 years.
- SBA loans: For longer terms, lower equity requirements, or fixed terms, you can connect with Capital One for SBA 504 and SBA 7(a) loans.
- Lines of credit: If you need access to working capital, Capital One provides revolving lines of credit worth up to $5,000,000.
Learn more about the different types, rates, and requirements of SBA loans to see how they benefit your small business.
Capital One business credit cards feature excellent rewards, such as unlimited cash back, no annual fees, and bonus travel miles. As a business owner, you can request free business credit cards for your employees. This will help you keep track of their business spending, as you can set spending limits and review transactions. You also get an itemized report at the end of the year, helping you plan your budget and prepare for tax season.
See our list of the leading Capital One business credit cards to see which card suits your business needs.
Businesses in different industries―professional services, manufacturing, healthcare, restaurant, retail, ecommerce, and construction―can access payment solutions through Capital One merchant services. The bank partners with Worldpay to allow businesses to receive credit, debit, gift, and loyalty cards and select from multiple POS terminal options.
The Capital One Escrow Express sub-account can help you manage risk and ensure due diligence in business transactions. The provider offers three types of Escrow accounts:
- Tenant Security manages tenant security deposits for property managers and landlords.
- Attorney Trust manages client funds for attorneys and law firms.
- Escrow Standard provides sub-accounting functionality for escrow agents and other businesses.
You can access your Escrow Express account through Capital One’s Intellix Platform. The platform lets you pay interest, customize disbursement schedules, submit W9s, and more.
Capital One offers buy-now-pay-later (BNPL) solutions for business-to-business (B2B) relationships. Through these solutions, you can give your clients more time to pay without delaying your access to profits. It’s a great way to improve the predictability of cash flow.
Read our guide to BNPL to take advantage of this payment solution.
Capital One Business Checking Reviews from Users
Reviews from customers are mixed. Reviewers who left a Capital One business checking review praised the bank’s lack of transaction fees. Some shared that they had positive customer service experiences and were provided quick support. They added that they didn’t need to visit a branch to get outstanding service.
Still, many gave negative reviews and mentioned that check clearing took over five days. As a result, they couldn’t access their funds. Aside from that, some complained about spending a long time waiting to speak to a Capital One customer service representative on the phone. Others also claimed they experienced sudden account closures.
Here are the bank’s scores on third-party sites:
- Trustpilot3: 1.3 out of 5 from about 1,900 reviews
- DepositAccounts4: 3 out of 5 from about 500 reviews
- WalletHub5: 3.4 out of 5 from around 1,050 reviews
Frequently Asked Questions (FAQs)
Depending on your business’s banking needs, Capital One can serve you well if you favor a traditional bank offering fee-free unlimited transactions, online and mobile banking, and a full range of business banking products and services.
You can manage your Capital One business checking funds by using the online platform or mobile app or visiting a Capital One branch to use the bank’s in-person banking services.
Yes, banking with Capital One is safe. Capital One, N.A., is a member of the FDIC, and deposit accounts up to $250,000 are insured per depositor, for each account ownership category.
Bottom Line
The business checking products of Capital One are suitable for business owners who want fee-free unlimited transactions and access to both traditional and online and mobile banking. Depending on your cash deposit transaction volume, you can choose to open a Spark Business Basic or a Spark Business Unlimited checking account.
User review resources:
1Google Play
2App Store
3Trustpilot
4DepositAccounts
5WalletHub
