First Internet Bank Business Savings Review 2023

If you’re looking for an online bank with a competitive savings account for your business, then First Internet Bank is an excellent choice. Through this institution, you can earn interest at a rate of 0.90% for a waivable monthly maintenance fee of $2. It also gives you access to a number of great banking products, including money market accounts, certificates of deposit (CDs), checking accounts, and loans. However, it only offers ATM cards to sole proprietors.

What We Like

• Highly rated mobile app
• Wide range of lending products
• Earns competitive interest

What's Missing

• Steep wire transfer fees
• ATM cards only available for sole proprietors
• $100 minimum to open

Features

• 0.90% APY
• Mobile banking on iOS and Android
• CDs and money market accounts

Visit First Internet Bank

How First Internet Bank Stacks Up With Its Competitors

	Annual Percentage Yield (APY)	Monthly Fee	ATM Fee	Minimum Opening Deposit
Business Savings	0.90%*	$2; waivable	None**	$100
	Visit First Internet Bank
Business Savings	3.50%	None	None at Allpoint ATMs	None
	Visit Live Oak Bank
Business Savings	2.70% to 3.65%	None	None at MoneyPass and Allpoint ATMs; $2.50 for out-of-network	None
	Visit Prime Alliance Bank

*Interest rates are variable and subject to change without prior notice.
**First Internet Bank doesn’t charge fees for ATM transactions, but third-party operator fees will likely apply. ATM cards are only available for sole proprietors.

When First Internet Bank Is a Good Fit

• You prefer online banking: First Internet Bank is a full-service digital bank that tops our list of the best online business banks. It allows customers to do banking activities through its website and mobile apps for iOS and Android.
• You want competitive interest rates: Its business savings accounts earn interest at a rate of 0.90%. Rates for its other savings tools are even higher, with money market accounts earning interest at 2.80% and CDs earning 2.0% to 4.65%. Its competitive rates is one reason it made our list of leading business savings accounts for small businesses.
• You want access to a complete range of banking services: First Internet Bank offers checking accounts, Small Business Administration (SBA) loans, commercial loans, commercial real estate (CRE) loans, and public financing.

When First Internet Bank Is Not a Good Fit

• You prefer in-person banking: First Internet Bank has no physical branch locations. Capital One has 755 brick-and-mortar locations across the country.
• Your business needs ATM access but isn’t a sole proprietorship: Only sole proprietors are issued ATM cards by First Internet Banking. Meanwhile, Live Oak Bank gives all entity types access to Allpoint ATM Networks.
• You rely on wire transfers: Incoming wire transfers under First Internet Bank cost $15. Domestic outgoing wire transfers cost $20, while international outgoing wire transfers cost $50. A cheaper alternative would be Mercury, which charges no fees for domestic wire transfers and qualified international wire transfers.

If your small business meets one or more of these scenarios, check out our guide to the best small business savings accounts for additional recommendations.

First Internet Bank Business Savings Overview

*Interest rates are variable and subject to change without prior notice.
**First Internet Bank has no fees for ATM transactions, but third-party operator fees will likely apply. ATM Cards are only available for sole proprietors.
***Cash deposits can be done through ATMs.

First Internet Bank Business Savings Requirements

To open a business savings account with First Internet Bank, applicants must meet the following criteria:

• Be a legal United States resident
• Be at least 18 years old
• Be a signer who is authorized to open accounts on behalf of the business
• Be a US-based business

First Internet Bank will then collect the following pieces of information:

• Names of all authorized signers and beneficial owners
• Government-Issued ID for each signer
• Applicant’s email address
• Applicant’s mobile number

For a checklist of documents that banks usually require, see our guide to opening a business bank account.

First Internet Bank Business Savings Features

First Internet Bank’s basic features include an APY rate of 0.90% and digital banking functionality.

Competitive APY

First Internet Bank business savings accounts earn interest at a rate of 0.90%, and customers are required to make a minimum opening deposit of $100 to open an account. Take note that rates are subject to change without prior notice.

Digital Banking

Customers can access their accounts through the First Internet Bank website and mobile app, which is available on both iOS and Android. Through digital banking, account holders can view balances, deposit checks, transfer funds, pay bills, and review transaction histories. The app uses “eyeprint” biometric technology to keep logins secure.

Reviews for First Internet Bank mobile app are excellent on both App Store (4.8 out of 5) and Google Play (4.5 out of 5). Users like it for efficient and secure transactions, though some complained about the inconsistent performance of the check deposit feature.

Other First Internet Bank Business Products

Money Market Accounts

For businesses with larger balances, First Internet Bank’s money market accounts offer a more profitable way of growing savings, as it earns interest at a rate of 2.80%. However, the account has higher monthly maintenance fees and minimum balance requirements than First Internet Bank’s savings account. The monthly maintenance fee costs $5, which can be waived by meeting an average daily balance of $4,000.

CDs

First Internet Bank also offers CDs, with terms ranging from six months at the shortest and 60 months at the longest. A three-month CD will earn interest at a rate of 2.0% while a 60-month CD will earn interest at a rate of 4.30%. Currently, the highest rate of 4.65% can be obtained from a 12-month CD.

Checking

First Internet Bank made our list of best small business checking accounts for having a full range of online banking services. It offers two business checking accounts: Small Business Checking, an interest-earning account designed for small businesses, and Commercial Checking, an account designed for businesses with complex needs:

• Small Business Checking: This earns interest at a rate of 0.50% for $10,000 or more balances. It allows unlimited transactions and has no minimum balance requirements or monthly fees. Account holders are reimbursed for up to $10 of ATM fees per month. Our First Internet Bank business checking review covers its features in greater depth.
• Commercial Checking: This comes with a number of useful banking solutions, including remote deposit capture, sweep services, ACH, check positive pay, zero balance accounts, and wire services.

Lending Products

First Internet Bank has an extensive list of lending products. These include:

• SBA lending: This bank offers SBA 7(A) loans, SBA Express loans, and SBA 504 loans. Because First Internet Bank is a Preferred SBA Lender, it reduces the time and paperwork necessary to secure an SBA loan.
• Commercial lending: It offers lines of credit, term loans, and owner-occupied real estate loans.
• CRE lending: This helps businesses that need property financing by offering single-tenant net lease financing, residential development or construction financing, and commercial construction or multitenant financing.
• Public financing: It provides financing solutions for government entities, municipal utilities, schools, nonprofits, and energy products.

First Internet Bank Business Savings Pros & Cons

First Internet Bank’s competitive interest rates help businesses earn interest at an affordable cost. The bank also offers additional business banking products, such as checking, loans, CDs, and money market accounts, allowing businesses to keep all their banking activity under one establishment. Reviewers praise the First Internet Bank mobile app for being easy to use and secure.

Where First Internet Bank falls short is its support for cash-intensive businesses. It has no physical bank branches and only offers ATM cards to sole proprietors. Additionally, it charges high fees for wire transfers; incoming wire transfers cost $15, while outgoing transfers cost $20 for domestic and $50 for international.

First Internet Bank User Reviews

First Internet Bank has average ratings on WalletHub (3.7 out of 5) and DepositAccounts (3.5 out of 5). Users stated that the bank has consistently high interest rates, a user-friendly app, and a knowledgeable and helpful customer service team. Others said that transferring funds between different account types is easy. One client even noted that they find their account secure for shopping online, stating that there’s no fear of identity theft issues.

On the flip side, some reviewers mentioned the lack of a physical branch and a long account setup time, which takes up to a month. Others also complained about the premature closure of CD products that led to a loss in earnings. In addition, a client with a preapproved loan disliked the bank’s decision to change the original terms of the agreement and found it an unprofessional experience.

Alternatives To First Internet Bank Business Savings

First Internet Bank’s savings account may not meet your needs if your business relies on cash or makes excess transactions on savings accounts. Additionally, other banks in the market offer more competitive interest rates for the same cost. Here are three alternative options to consider:

1. Capital One is best for cash-reliant businesses. It has 755 physical locations, 70,000 ATMs, and a $5,000 cash deposit limit. First Internet Bank lacks physical branches and restricts ATM usage to sole proprietors.
2. TAB Bank is ideal for business owners who prefer a business savings account with no transaction limit. First Internet Bank only allows six transactions per month before charging fees.
3. Prime Alliance Bank is optimal for tiered APY. This institution raises interest rates for larger balances. Under First Internet Bank, interest rates remain no matter how high an account’s balance is.

Bottom Line

First Internet Bank made our list of the best online business banks because it provides access to a full range of banking products—one of which is a competitive business savings account that earns interest at a rate of 0.90%. Given its high-quality digital banking options, its business savings account is a great choice for businesses that prefer to bank online. However, given that it lacks physical bank branches and has restrictions on ATM card ownership, cash-intensive businesses may have to look elsewhere.