When it comes to switching bank accounts, or opening a business bank account for the first time, there are a range of things you’re going to want to look for.
Not too many of us understand just how much can actually be provided by your bank account beyond just a place to store your income. Some accounts offer a great interest rate, perks for using the account and even give you access to certain perks in stores and more.
In some cases you might even find that insurance comes standard on some bank accounts, or interest rates may be exponentially high for a certain period of time, giving you the chance to make some extra cash with your hard-earned savings.
That being said, let’s take a look at some of the features your bank account (for business) should offer you below.
- Expense Tracking Solutions
In a post-pandemic world, there’s a good chance you’re looking to keep your savings and expenses close by you at all times, and with that, the top tip we have is to look for bank accounts that have tracking features.
You’ll be surprised to know that these solutions are still not standard across the board, and so work to do your research and look into accounts that help you track and
understand
how you’re spending money. This way you’re able to work to best mould your finances to suit your lifestyle better, and also grow your savings a little more while you’re at it.
This feature is especially important if you’re looking to open an account for your business, as it makes tracking your expenses that much easier without the hard work.
You can
see this
page for a little more information on a few perks to check for a bank account.
- Financial Protection Solutions
Another perk of a business bank account is financial protection.
You don’t want to run the risk of essentially losing everything you’ve worked for to a hacker, or losing your credit card on the street and so looking for bank accounts that offer financial protections is a good place to start.
This type of protection comes in the form of insurance which may be offered at an extra fee, though some accounts do offer this free of charge if you meet deposit requirements.
- Credit Score Protection
A third feature or
waiver
in a sense, is credit score protection for business credit cards.
We all understand that running a business can be profoundly different to managing your own savings, and sometimes a little extra risk is required to make things work for you – and that means taking out lines of credit more often than you might like.
What we suggest here is looking for business bank account features which essentially segregates your personal credit score from your business one, and vice versa. This way, you will have more freedom to undertake business as usual without the worry of credit scores damaging your business, or personal accounts.
to better understand business credit cards and credit scores.
- Rewards and Perks
One big perk that many of us overlook are the rewards and cash back perks that come with using specific credit cards.
You want to be rewarded when you join a bank, for your loyalty to that specific financial institution and so we suggest looking for business bank accounts and cards that offer cash back perks as opposed to point systems which very rarely result in anything tangible coming from the card or account itself.
This way, you’re able to work to use your card for business expenses and be rewarded with perks and cash that can be injected right back into your business. Of course, this feature can reward unnecessary spending and so keeping an eye on expenses still remains paramount here.
- Low or No Fees
No one likes bank account fees, especially if you’re a business looking to keep an eye on your cash flow, and so looking for bank accounts that feature little to no bank account fees is a good place to start.
Many banks offer accounts with zero fees for a certain period of time, or if you're able to deposit a specific amount of cash each month. However, when it comes to avoiding fees, it’s always best to choose an account that simply has none to begin with and doesn’t require deposits to make this happen.
However, it is good to note that for businesses, these bank account fees are tax deductible, so you can remove these when it comes to tax time.
- Loyalty Perks or Rewards
This feature is one that you may have to directly ask for, though it’s always worth it.
If you’ve noticed that your current bank account isn’t cutting it for you or your business and you’re just about to move banks, then it’s worth your while to call your bank and let them know. Ask for any information on loyalty rewards or perks and you may find that they have something to offer you.
When they don’t then you’re free to move banks without the concern that you might have missed out on something like a reduced rate or zero fees.
