With a business checking account, you can write checks, make debit card payments, send and receive money via ACH, and even establish business credit. If you’re a business owner in the market for a business checking account, the Novo Business Checking may be on your radar.
Novo is a great option if you’re looking for an online account with no monthly fees and low minimum deposit requirements. As a business account holder, you can enjoy other perks like fee bill pay and reimbursements at all worldwide ATMs. This Novo Business Checking review can help you decide whether this account is right for your unique business and financial needs.
Novo is the fintech company that offers the Novo Business Checking account. It’s loaded with plenty of useful features and doesn’t charge monthly fees or minimum balance requirements. Its virtual Novo debit card is accepted worldwide so you can make purchases in confidence, regardless of where your business takes you.
Since there are no transaction limits, you can use this debit card freely as much as you want. If you need to write a check, you can make a request through the app and send it to the recipient for free.
Here are several of the most noteworthy features of the Novo Business Checking.
Novo Reserves is designed to help you save money for specific purposes, like payroll, taxes, and new equipment. Once you set up your Novo business bank account, you’ll be able to create up to five Reserves for various budgets and goals.
Novo makes it a breeze to bank on the go with the Novo app. You can download it on your iOS or Android device and complete just about every banking task, including remote check deposit, invoicing, payouts, and budgeting with the Reserves feature.
There’s a good chance your small business uses other tools. Fortunately, you may be able to integrate most or all of them with your Novo account. Novo seamlessly connects to QuickBooks, Shopify, Slack, Zapier, and Stripe.
Novo does not have its own network of ATMs. But the company does allow account holders to withdraw cash from any ATM without charging ATM fees. Novo will reimburse you for any ATM fees you incur in the U.S. or abroad.
With online bill pay, you can quickly and easily send money and make payments to customers, vendors, and others. Novo accepts paper checks and electronic transfers. Best of all, you don’t have to worry about any fees.
The cost of business checks can add up quickly, especially if you send them often. You can request paper checks to be mailed to your recipient via the Novo app for free. Of course, you may order a checkbook from a third-party check company if you’d like.
Before you decide to open a Novo account, be sure to consider these benefits and drawbacks.
- Fast application process: You can apply for a Novo business checking account within minutes, from anywhere. Be prepared to share some basic information about yourself and your business.
- Minimal fees: Many business checking accounts come with monthly account fees and other fees. With the Novo Business Checking, there are no monthly fees, balance fees, deposit fees, and excess transaction fees.
- ATM reimbursements: Novo will reimburse you for ATM fees at ATMs across the globe. This is great news if you travel often.
- Easy integration: You can easily integrate the Novo account with other tools you might already be using. QuickBooks, Stripe, and Shopify are a few examples.
- Low minimum deposit: You can open a Novo Business Checking account with only $50. Best of all, there is no minimum balance requirement and you don’t have to pay a fee if your balance gets below a certain amount.
- No interest: Some business checking accounts accumulate interest. Unfortunately, the Novo Business checking does not.
- Overdraft fees: If you overdraw your account, you can expect an overdraft fee. This fee is $27.
- Complicated cash deposit process: At this time, the only way to make cash deposits is through a money order. Once you purchase the money order, you can deposit cash via the mobile check deposit feature.
- Limited products and services: Novo’s core focus is the business checking account. You’ll need to go elsewhere for other banking services, like loans and credit cards.
- No recurring payments with bill pay: While Bill Pay is a convenient feature, it doesn’t allow you to set up ongoing payments. This means you’ll have to remember to pay your bills on a regular basis.
If you’d like to open a Novo business checking account, rest assured the process is simple and straightforward. You don’t have to worry about the rigorous paperwork and document requirements that many traditional banks have. All you have to do is visit the Novo website or download the mobile app so you can complete the entire process in a few minutes.
To apply, you must have a registered U.S. business like a sole proprietorship, LLC, corporation, general partnership, or nonprofit organization. Novo also requires that you’re at least 18 years old and a U.S. citizen or permanent resident. The application will ask you for the following information:
- Business email and password
- Address and cell phone number
- Social Security number
- A few business documents
Once you complete and submit your application, Novo will review it and let you know if they need more information. You can expect a decision within a few business days and may fund your account and take advantage of all of its features right away.
If you stated that you’d like a Novo business debit card, Novo will ship your card to the mailing address you shared in your application. You can add multiple users to your account and order debit cards for them via the app. Keep in mind that additional users will have full access to your account, meaning they’ll be able to withdraw and wire transfer funds.
If you need assistance with your Novo Business Checking account, it’s a good idea to explore the FAQ page on the Novo website. You’ll find answers to a variety of questions related to topics like account maintenance, balance and reserves, debit card, perks, and integrations.
You can also email customer support at firstname.lastname@example.org or reach out to the customer support team who knows the ins and outs of Novo checking accounts in the app.
Who can benefit from the Novo Business Checking account?
The Novo Business Checking account may be worthwhile if you’re an entrepreneur or small business owner who likes the idea of an online business checking account without high banking fees. It might also make sense if you already complete most of your banking tasks online and want an account that integrates with various other business tools you use. In addition, Novo may be a solid choice if you don’t want to worry about minimum balance requirements.
While the Novo business checking account offers many perks, it’s not right for everyone. Here are several alternative options you might want to consider.
Found is a fintech company that offers free business checking accounts. While the account is similar to Novo’s business checking account, it comes with extra perks such as bookkeeping tools and unlimited invoicing. Plus, there is an app that will estimate your tax bill so you can budget accordingly.
Bluevine is a financial technology company with a business checking account. Its checking account differs from Novo in that it offers an attractive annual percentage yield or APY. However, you’ll need to spend a certain amount of money with your Bluevine debit card or collect a certain amount of customer payments via wire transfers each month to take advantage of it.
While Novo offers one business checking account, Axos Bank has two options for business owners. The basic business checking account is a no-frills account with no minimum balance requirement or monthly maintenance fees. There’s also the interest bearing checking account, which pays out interest based on your balance.
Unlike Novo, TD Bank has physical branches for in-person banking. The Business Premier Checking has no shortage of perks, like unlimited free money orders and official checks, no ATM fees, and free paper statements. Other business accounts at TD Bank include the Business Checking Convenience Plus, Business Simple Checking, and Business Interest Checking Plus.
Lili is a fintech company that offers services for freelancers, gig workers, and small business owners through a bank. You can choose from the free Lili Basic or Lili Pro account, which comes with a monthly charge. The Lili Pro account is packed with features like a high APY, cashback rewards at certain merchants, and fee-free overdrafts.
Bank of America is a full service bank with physical locations across the U.S. Its lineup of business checking accounts include the Business Advantage Fundamentals Banking and Business Advantage Relationship Banking. Unlike Novo, Bank of America gives you the option to switch between the two accounts and customize your banking experience as your business banking needs change.
Wells Fargo is a traditional bank with brick and mortar locations and three business checking accounts: Wells Fargo Initiate Business Checking, Wells Fargo Navigate Business Checking Account, and Wells Fargo Optimize Business Checking. It differs from Novo in that it offers other products for small business owners, like business savings accounts, business lines of credit, merchant services, and payroll services.
A business checking account is important if you’d like to manage your business finances. For a feature packed account with minimal fees, an intuitive mobile app, and easy integrations, Novo Business Checking is the way to go. You can apply for the account in minutes from the comfort of your own home or office.
Novo is a mobile banking platform that partners with a bank. Its business checking account is administered by Middlesex Federal Savings, F.A.
No. Novo Business Checking is an online small business banking product. This means you’ll have to open and manage your account online. The Novo app makes it easy to bank on the go.
Novo does not charge a monthly maintenance fee to business owners who use its business checking account. In addition, there are no minimum balance fees or excessive foreign transaction fees.
Unlike other business bank accounts, Novo offers free ATM access and refunds all ATM fees. These include fees you might get hit with if you use an out-of-network ATM or international ATM.
Yes. Novo and its business checking account is FDIC insured. All account holders are insured for up to $250,000 per depositor in the event Middlesex Federal Savings, F.A., Novo’s bank partner fails.
The Novo perks program is designed to help you save money on numerous services. You can get a great deal on Quickbooks, Stripe, or other tools.
The Novo business checking account is available to U.S. online businesses and those with physical locations. You may be eligible if you’re a sole proprietorship, LLC, corporation, general partnership or nonprofit organization.
Yes. Novo does not support small businesses in these industries: money services, privately owned ATMs, cannabis sales, and cryptocurrency.
Novo integrates with several popular business services. QuickBooks, Shopify, Xero, Square, Wave, Zapier, and Wise are all compatible with Novo.
At this time, Novo does not offer loans. You’ll have to go elsewhere if you’re looking for small business loans or other types of financing.