Citizens Bank Business Checking Review 2022
Tricia has nearly two decades of experience in commercial and federal government lending. Her expertise is highlighted throughout small business loan content on Fit Small Business.
This article is part of a larger series on Business Banking.
Citizens Bank is a regional bank offering traditional banking. It has branches in 15 states and two business checking accounts: Clearly Better Business Checking, which has no monthly fees and provides 200 free transactions, and Business Advisor Checking, which comes with a waivable monthly fee and 500 free transactions. Both have no minimum deposit requirement for account opening and have a free debit card, online and mobile banking, and access to Citizens Merchant Services
If your business is located near a Citizens Bank branch location, it could be a good choice for your business banking needs.
Citizens Bank Business
What We Like
- No monthly fee and 200 free transactions per month for Clearly Better Business Checking
- Minimum opening deposit is any amount
- Waivable monthly fee for Business Advisor Checking
What's Missing
- Branches limited to 15 states: Connecticut, Delaware, Florida, Maryland, Massachusetts, Michigan, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Vermont, Virginia, and Washington
- No annual percentage yield (APY)
Features
- Free Visa debit card
- Mobile and online banking
- Transfer funds, deposit checks and view balances online
- Integrates with QuickBooks and Quicken
- Business overdraft protection plans
- Access to Citizens Merchant Services
How Citizens Bank Stacks Up With Its Competitors
APY | Cash Deposit Fee | ATM Fee | Minimum Opening Deposit | |
|---|---|---|---|---|
 Clearly Better Business Checking | N/A | Up to $5,000 per month free, then $2.50 per $1,000 per statement cycle | Free at Citizens ATMs, $3 per transaction at non-network ATMs | None |
 Business Advantage Fundamentals Banking | N/A | Up to $7,500 per month free, then 30 cents per $100 per statement cycle | Free at 16,000-plus ATMs nationwide; $2.50 per transaction out-of-network | None |
 Business Complete Banking | N/A | Up to $5,000 per month free, then $2.50 per $1,000 per statement cycle | $2.50 per transaction at non-Chase ATM,s plus ATM operator fees | None |
When Citizens Bank Is a Good Fit
- You want a free business checking account: Citizens Bank’s Clearly Better Business Checking has no monthly fees and doesn’t require any fixed opening deposit amount.
- Your business has a modest transaction volume: With Clearly Better Business Checking, you get 200 free transactions and up to $5,000 in free cash deposits each month.
- You prefer a traditional bank with a full range of products and services: You can open business savings and certificates of deposit (CDs), apply for Business Administration (SBA) loans, business credit cards, and maximize the Citizens Merchant Services.
- You want the safety of an overdraft protection plan: With its Overdraft Line of Credit and Savings Overdraft Transfer solutions, you can avoid expensive overdraft fees. The line of credit entails paying a $12 transfer fee and a $30 annual fee. Business Advisor Checking clients, however, are exempted from paying the annual fee. Savings Overdraft Transfer is offered for free to business checking account holders.
When Citizens Bank Is Not a Good Fit
- You need in-person banking but your business is based outside Citizens Bank service areas: While the bank has more than 1,000 branches, its locations are limited to 15 states. You can opt for Wells Fargo, Bank of America, or Chase since they have a nationwide presence.
- You seek an APY return for your business checking account: Citizens checking accounts don’t offer interest. We recommended Bluevine, Axos Bank, and Grasshopper Bank as their checking products are interest-drawing as long as your balances qualify.
See more providers in our guide to the best small business checking accounts.
Citizens Bank Business Checking Overview
Citizens Bank Business Checking Requirements
You can open a Citizens Bank business checking account online, via phone, or at a branch.
Click on your entity type to view the bank’s business checking requirements.
Sole Proprietorship
- An unexpired government-issued photo ID (primary ID)
- Social Security number
- Employer identification number (EIN) or federal tax identification number (TIN)
- Assumed name certificate or fictitious name certificate
General Partnership
- An unexpired government-issued photo ID (primary ID) for each general partner
- EIN or federal TIN
- Partnership agreement
- Government-issued business license
- Assumed name certificate or fictitious name certificate
- Any beneficial owner who owns 25% or more of a business and the significant controller (an individual with significant responsibility for managing the business), will be required to provide additional information and complete a beneficial ownership attestation form
Limited Partnership
- An unexpired government-issued photo ID (primary ID) for each general partner
- EIN or federal TIN
- Registered certificate of limited partnership
- Partnership agreement
- Assumed name certificate or fictitious name certificate
- Any beneficial owner who owns 25% or more of a business and the significant controller (an individual with significant responsibility for managing the business), will be required to provide additional information and complete a beneficial ownership attestation form
Limited Liability Company (LLC)
- An unexpired government-issued photo ID (primary ID) for each signer
- Social Security number, if the entity is a sole member LLC
- EIN or federal TIN
- Assumed name certificate or fictitious name certificate
- Registered articles of organization
- Operating agreement listing the names of members and the manager, if applicable
- Banking resolution or similar document outlining roles and authorities for establishing accounts and services with the bank
- EIN assignment letter, tax ID certificate, tax ID verification letter
- Any beneficial owner who owns 25% or more of a business and the significant controller (an individual with significant responsibility for managing the business), will be required to provide additional information and complete a beneficial ownership attestation form
Limited Liability Partnership (LLP)
- An unexpired government-issued photo ID (primary ID) for each authorized signer
- EIN
- Registration of LLP
- LLP agreement, including the names of the partners
- EIN assignment letter, tax ID certificate, or tax ID verification letter
- Any beneficial owner who owns 25% or more of a business and the significant controller (an individual with significant responsibility for managing the business), will be required to provide additional information and complete a beneficial ownership attestation form
Corporation
- An unexpired government-issued photo ID (primary ID) for each authorized signer
- EIN for the corporation
- Registered articles of incorporation
- Banking resolution (or similar document) outlining roles and authorities for establishing accounts and services with the bank
- Assumed name certificate or fictitious name certificate, if applicable
- Any beneficial owner who owns 25% or more of a business and the significant controller (an individual with significant responsibility for managing the business), will be required to provide additional information and complete a beneficial ownership attestation form.
Associations/Organization
- Social Security number
- EIN for the association or organization
- By-laws, charter, constitution, or other governing documents
- Assumed name certificate or fictitious name certificate, if applicable
Additional documents may be required before your business deposit account can be opened. The lists above may change as applicable state and federal regulations are revised.
Before opening an account, see our guide on how to open a business bank account, which includes a free downloadable checklist of required documents.
Citizens Bank Business Checking Features
Citizens Bank’s business checking accounts offer a free Visa debit card, online and mobile banking, and overdraft protection.
Free Debit Card
Citizens Bank issues a free debit card in its branch locations. Business checking account holders can request it via online banking, through a customer service representative at (800) 922-9999, or by stopping by a local branch. The debit card is contactless-enabled and can be connected to a digital wallet for secure payments.
Online & Mobile Banking
You can view your balances and check images online, deposit checks remotely, and send and receive secure electronic payments. Download Citizens Bank’s mobile banking app via the App Store and Google Play.
Deposit Guidelines for Mobile Banking | ||||
|---|---|---|---|---|
Clearly Better Business Checking | Business Advisor Checking | |||
Days Account Opened | 0 to 90 | 91-plus | 0 to 90 | 91-plus |
Maximum Daily Deposit Amount | $30,000 | $50,000 | $30,000 | $50,000 |
Maximum Monthly Deposit Amount, Rolling 30 Days | $30,000 | $50,000 | $30,000 | $50,000 |
Maximum Weekly Deposits | 50 | 50 | ||
Overdraft Protection Plans
Citizens Bank offers overdraft solutions to protect business owners from paying overdraft fees. The Overdraft Line of Credit links your business checking account with your business credit line. You get borrowing limits up to $10,000 to cover ATM withdrawals, debit card purchases, checks, and online bill payments when your checking balance is insufficient. It comes with a $30 annual fee, a $12 daily transfer fee for each day a transfer occurs, and interest on outstanding balances. Credit approval is also required. The annual fee is waived for Business Advisor Checking account holders.
Another overdraft solution is the Savings Overdraft Transfer, where funds are transferred automatically from your savings to your checking account when your balance is insufficient to cover your transactions. No fee is collected when using this business overdraft plan.
Business Services
- Merchant services: With Citizens Merchant Services, small business owners can accept debit, credit, EBT cards, and checks securely. You can also choose traditional or virtual point-of-sale (POS) terminals and manage face-to-face, phone, mail, and online payment processing.
- Payroll services: Payroll and human resources (HR) functions are provided by Paychex to support business owners in recruitment and hiring, staying compliant with laws and regulations, and simplifying HR processes.
- Cash management/Treasury management services: Citizens Bank provides a Lockbox network, remote deposit capture, coin and currency service, automated clearing house (ACH) transactions, wire transfers, account reconciliation, and accessOPTIMATM.
Other Business Checking Products
For businesses with a high volume activity and requiring access to cash management services, they can open a Citizens Analysis Business Checking account. Other specialty business checking accounts offered by Citizens Bank are Association Checking with Interest and Interest on Lawyers’ Trust Accounts (IOLTA) Checking.
Other Banking Products
Citizens Bank presents an array of banking products and services to small business owners. This includes business savings, money markets, CDs, loans, and credit cards.
- Business savings: With no required minimum opening deposit, you can earn a 0.01% variable interest rate. The $4.99 monthly maintenance fee can be waived if you meet the $500 average daily balance.
- Business money market: With no required minimum opening deposit, you can earn a 0.02% variable interest rate. The $9.99 monthly maintenance fee can be waived if you meet the $2,500 average daily balance.
- Business CDs: For fixed rate returns, you can open a CD for a minimum balance of $1,000 or $5,000 if monthly interest disbursement by check or transfer is required. There’s no monthly fee and terms are flexible from three to 18 months. Business CDs are offered in selected areas only.
- Business credit cards: Citizens Bank has two credit cards with no annual fees. The Business Everyday Points® Credit Card offers unlimited 1.5% in rewards on your everyday business spending, while the Business Platinum Credit Card is best for low-interest rates.
- Lending: Citizens Bank has small business loans, such as Business Line of Credit, Business or Equipment Flex Loan, Business Term Loans, and Business Mortgage. For specialized financing with lower down payment requirements and more flexible terms, the bank also offers SBA that includes SBA Express, SBA 7(a) Loan Program, and SBA 504 Loan Program. To help small businesses recover, Citizens Bank accepts applications for Paycheck Protection Program (PPP) Loan Forgiveness.
- Healthcare Practice Banking: It offers healthcare practice financing, cash flow management, personal banking benefits, and personal wealth management to clients in the medical, dental, eyecare, and veterinary fields.
- Citizens Pay®: The bank offers a POS financing solution, Citizens Pay®. This is a buy now, pay later (BNPL) option you can offer customers, which may help you generate new sales.
Citizens Bank Business Checking Pros & Cons
| PROS | CONS |
|---|---|
| Business overdraft protection | $10,000 average daily balance requirement to waive the monthly fee for Business Advisor Checking |
| Access Citizens Merchant Services | No free wires |
| Additional benefits for your employees, such as workshops, seminars, and direct support | No ATM fee refunds for using non-network ATMs |
Citizens Bank is a top choice with its free Clearly Better Business Checking and its Business Advisor Checking with waivable monthly fees. You’re protected from overdraft fees through an overdraft line of credit or a savings overdraft transfer, where funds are moved from your savings to your checking account automatically when your balance is insufficient to cover your transactions.
Moreover, business owners can access Citizens Merchant Services for faster payment processing to streamline business operations. You can even upgrade your company’s benefits package with the free YourPlace BankingTM program for your employees to join on-site workshops and financial education seminars while obtaining direct support from a personal banker for expert guidance.
For the drawbacks, you can only waive the $25 monthly fee of your Business Advisor Checking account if you maintain a $10,000 average daily balance. Citizens Bank also doesn’t provide free wires and ATM fee reimbursements when you use non-network ATMs.
Alternatives To Citizens Bank Business Checking
Citizens Bank has superb business checking accounts, but if you want to earn interest, access more nationwide branches, and benefit from free wires, opt for other banks. Here are three options to consider:
- Bluevine is best for business owners looking to generate an APY on a free business checking account as long as their needs are satisfied by a digital-only institution.
- Chase is best for businesses seeking traditional banks with nationwide service areas, given its strong branch presence in 48 states.
- Relay is best for businesses frequently sending and receiving domestic and international wire transfers as it has free and low-cost wire fees.
Bottom Line
The Citizens Bank Clearly Better Business Checking account is ideal for small businesses located near a branch location with a low transaction volume. It brings in more savings with its zero monthly fees, and its 200 free transactions and up to $5,000 free cash deposit limit per month are high for a basic account compared to other banks. The institution is a great choice for your business checking needs as long as your business is located in one of the 15 states with a bank branch.
