KeyBank Business Checking Review 2023
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.
Ricci Recto has two years of writing experience creating digital marketing content for finance clients. She specializes in business banking.
This article is part of a larger series on Business Banking.
KeyBank is a traditional bank with more than 1,000 branches in 15 states: Alaska, Colorado, Connecticut, Idaho, Indiana, Maine, Massachusetts, Michigan, New York, Ohio, Oregon, Pennsylvania, Utah, Vermont, and Washington. Offering low monthly fees and high allowances for fee-free transactions and cash deposits, its business checking accounts are particularly suitable for small business owners looking for affordable and scalable banking solutions. Each account comes with free debit cards, unlimited bill pay transactions, and access to online and mobile banking.
What We Like
- Waivable monthly fees
- High free monthly transaction limits compared to other banks
- Up to $25,000 free cash deposits
What's Missing
- Branches only in 15 states: Alaska, Colorado, Connecticut, Idaho, Indiana, Maine, Massachusetts, Michigan, New York, Ohio, Oregon, Pennsylvania, Utah, Vermont, and Washington
- No online account opening
- No free business checking account
Features
- Free debit card
- Online and mobile banking
- Transfer funds, pay bills, and view balances via mobile app
- Overdraft protection
- Unlimited ACH and bill pay transactions
- Key@Work: Employee Financial Wellness Program eligibility under Key Business Reward Checking
How KeyBank Stacks Up With Its Competitors
Monthly Fee | Monthly Transaction Limit Before Fees | Monthly Cash Deposit Limit Before Fees | Geographic Availability | |
|---|---|---|---|---|
KeyBank Basic Business Checking | $5; waivable | Unlimited ACH and bill pay transactions; 200 combined transactions, then 40 cents per item | $25,000, then 18 cents per $100 | Alaska, Colorado, Connecticut, Idaho, Indiana, Maine, Massachusetts, Michigan, New York, Ohio, Oregon, Pennsylvania, Utah, Vermont, and Washington |
 Business Advantage Fundamentals Banking | $16; waivable | 200, then 45 cents per item | $7,500, then 30 cents per $100 | All except for Alabama, Alaska, Hawaii, Louisiana, Mississippi, Montana, Nebraska, North Dakota, Vermont, West Virginia, Wisconsin, and Wyoming |
 Business Complete Banking | $15; waivable | Unlimited digital transactions; 20 paper transactions, then 40 cents per item | $5,000, then $2.50 per $1,000 | All except for Alaska and Hawaii |
Compared to most traditional banks in the market, KeyBank charges lower fees, and its Basic Business Checking’s requirement for waiving monthly fees is relatively easy to meet. Basic business checking accounts from national banks like Bank of America and Chase offer lower limits for day-to-day transactions and cash deposits at higher monthly fees. However, KeyBank’s physical branches are available in fewer states, and Alaska and Vermont are the only two states KeyBank serves that Bank of America does not.
When KeyBank Is a Good Fit
- You want to bank with a low, waivable monthly fee: KeyBank’s basic account, KeyBank Basic Business Checking, charges a monthly service fee of $5, which can be waived easily by maintaining a minimum balance of $1,000. Monthly fees for other KeyBank accounts are also waivable.
- You have a low to moderate monthly transaction volume: With KeyBank Basic Business Checking, you get up to 200 free combined transactions each month. Upgrading to Key Business Reward Checking gives you 500 free combined transactions per month.
- You deal with cash regularly: All of KeyBank’s small business checking accounts provide a free cash deposit allowance of up to $25,000 per statement cycle.
When To Use an Alternative
- You need nationwide access to in-person branch banking: While KeyBank has over 1,000 branches, its service area is limited to 15 states: Alaska, Colorado, Connecticut, Idaho, Indiana, Maine, Massachusetts, Michigan, New York, Ohio, Oregon, Pennsylvania, Utah, Vermont, and Washington. Chase is a good alternative since it has branches in 48 states. Read our Chase business checking review to learn more.
- You want to earn competitive interest on a free account: KeyBank’s interest-earning account costs $15 per month to maintain. Bluevine charges no monthly fee and offers an annual percentage yield (APY) of 2.00% on balances of $100,000 or less if you can meet its monthly activity requirements. Our Bluevine business checking review provides more information.
- You send wire transfers regularly: With KeyBank Basic Business Checking and KeyBank Business Interest Checking, outgoing domestic wire transfers cost $30, while outgoing international wire transfers cost $45. A more cost-effective alternative would be the financial technology (fintech) solution Mercury, which charges no fees for wire transfers. Our Mercury business checking review can help you determine whether it’s a good fit.
Find more options in our list of best small business checking accounts.
KeyBank Business Checking Overview
For sole proprietors, the list of account balances that may be combined to waive the monthly fee includes all of the above-mentioned business accounts and also personal checking, personal business savings, personal business certificates of deposit accounts within two business days prior to your KeyBank Basic Business Checking account statement cycle date; and/or the outstanding balances of your standard consumer loan/line of credit balances (excluding balances past due 60 days or more) as of no more than five business days prior to your KeyBank Basic Business Checking account statement cycle date.
KeyBank Business Checking Requirements
You need to visit a branch to open a business checking account. The bank will ask you to provide the following information:
- Social Security number or employer identification number (EIN)
- Business formation papers, such as doing-business-as (DBA) or limited liability company (LLC) certificate of formation
- Certificate of incorporation or something similar
- Two valid forms of identification
- These could include two primary forms of identification (driver’s license, valid passport, government-issued ID with photo and signature) or one primary and one secondary form of identification (credit card, utility bill, lease, or other nonofficial forms of ID)
Before opening an account, read our guide to opening a business bank account, which includes a free downloadable checklist of required documents.
KeyBank Business Checking Features
KeyBank’s Business Checking account offers a free debit card, online and mobile banking, and fee-free transactions at KeyBank and Allpoint ATMs.
Free Debit Card
Your KeyBank business checking account will come with a free KeyBank Debit Mastercard Business Card. The card provides surcharge-free access to 1,500-plus KeyBank ATMs and 40,000-plus Allpoint ATMs. Out-of-network use costs $3 per transaction plus third-party operator fees.
All cards include zero liability fraud protection and ID theft resolution services.
Online & Mobile Banking
Through KeyBank’s online platform, KeyBank Business Online, you can:
- View checks, account statements, and transactions
- Transfer funds
- Pay vendors and employees via KeyBank’s ACH network
- Pay credit card balances, loans, and lines of credit
- Redeem credit card rewards
- Manage cards
KeyBank’s mobile app, available for iOS and Android devices, also lets you deposit checks. The app has a rating of 4.5 out of 5 on the App Store and 4.2 out of 5 on Google Play. Satisfied reviewers said that they found the app well-designed and easy to navigate. However, many past users reported that it was difficult to log in and that there were issues with mobile deposits.
Key@Work
Opening a Key Business Rewards Checking account makes you eligible for Key@Work, KeyBank’s employee financial wellness program. Through it, your employees can enjoy special banking discounts and educational sessions at the workplace with Key bankers providing a Key Financial Wellness Review and financial wellness advice and insights.
Business Services
- Merchant services: Clover® point-of-sale (POS) options (Clover Online Account, Clover Go, Clover Flex, Clover Mini, and Clover Station Solo and Duo), gateway solutions, and customized industry solutions
- Cash management: Wire transfers, ACH, purchase card, Key Capture® remote deposit, and lockbox solutions
- Payroll and employee benefits: Key@Work, health savings accounts (HSA), and KeyBank Mastercard Gift Card
- Key4Women: Events and webinars
Other Banking Products
Savings Accounts
KeyBank offers three types of interest-earning savings products:
- Key Business Saver charges a monthly fee of $4, waivable with a minimum daily ledger balance of $300 or an average monthly ledger balance of $600 or greater. It has an opening deposit requirement of $50.
- Key Business Select Money Market Savings charges a monthly fee of $20, waivable with a minimum daily ledger balance of $25,000. It has an opening deposit requirement of $5,000.
- Key Business CDs offer competitive APY with fixed rates of return. Short- and long-term options are available. CDs renew automatically for the same term at their maturity dates.
Credit Cards
There are three types of KeyBank small business credit cards: the cash back-earning KeyBank Business Cash Rewards Card, the points-earning KeyBank Business Rewards Card, and the standard, no-frills KeyBank Business Card. All cards offer 0% introductory APR on purchases and balance transfers.
Lending Products
KeyBank offers the following lending products:
- Lines of credit from $10,000 to $500,000, renewable every 12 months.
- Business term loans from $10,000 to $500,000, with 12- to 84-month terms available.
- Business real estate borrowing from $10,000 to $1 million, with terms up to 20 years.
- Equipment financing
- Small Business Administration (SBA) loans, including SBA 7(a), SBA 504, SBA Express, SBA Export Express, SBA international trade loans, and working capital CAPline.
Financial Planning for Businesses
Key Bank’s free Small Business Financial Review service connects you with experts who will help your business create strategies for meeting financial goals.
KeyBank Business Checking User Reviews
| PROS | CONS |
|---|---|
| Helpful customer service | Many hidden fees |
| Easy-to-navigate app | No overdraft notifications |
KeyBank has a rating of 3 out of 5 on WalletHub (based on 950-plus reviews), 1.5 on DepositAccounts (based on 70-plus reviews), and 3.9 on ConsumerAffairs (based on 900-plus reviews).
Several customers had issues with the bank’s automatic payment and notification systems.
According to reviewers, the bank fails to inform its customers of measures they can take to avoid incurring fees. For example, many who had automatic payments enabled mentioned that they weren’t notified of insufficient balances or overdraft transactions. Their automated payments reduced their balances to negative amounts without their knowledge, resulting in high overdraft fees. Customers said that they found the lack of notifications unfair.
Satisfied customers said that the bank provided helpful and friendly customer service. Reviewers who left positive feedback also remarked that they found the KeyBank app easy to use.
Bottom Line
KeyBank’s business checking accounts are best for businesses with a high monthly cash deposit volume. Offering fee-free combined transaction allowances starting at 200, these accounts are also optimal for businesses with low to moderate transaction activity. Additionally, their low, easy-to-waive monthly fees help keep day-to-day banking costs low.
