American Express Introduces Business High-Yield Savings Account
Overview:
American Express has launched a new high-yield savings account for business owners, announced on September 15. This American Express® Business Savings account can be paired with the American Express® Business Checking account for seamless fund transfers without fees.
Key Features
- Annual Percentage Yield (APY): 2.95%, a competitive rate compared to many business accounts.
- Minimum Deposit: No minimum deposit required to open.
- Monthly Maintenance Fee: None.
- Overdraft Fees: No overdraft fees.
- Maximum Transactions: Unlimited transfers between Business Checking and Business Savings.
Pros and Cons
Pros:
- Competitive APY.
- No monthly fees.
- No minimum opening deposit.
- 24/7 customer service support.
Cons:
- $10 fee for same-day ACH transfers.
Eligibility Requirements
- Open to any U.S.-based small business owner (not applicable for industries like cryptocurrency, money service, internet gambling, and marijuana).
- Required documentation includes an Employer Identification Number (EIN), business formation documents, and personal identification.
How to Open
You can easily open both the Business Checking and Business Savings accounts through one application. Management of both accounts is facilitated through the Amex app, allowing customers to transfer funds and deposit checks at no extra charge.
Comparison with Competitors
The Axos Business Premium Savings and Live Oak Business Savings accounts also offer competitive rates without minimum requirements or monthly fees. Business owners should evaluate transaction ease, limits, and integration with existing banking setups when making their choice.
Additional High-Yield Options
-
Axos Bank Business Premium Savings
- APY: Competitive.
- Monthly Fee: None.
- Withdrawals: Up to 6 free per cycle.
-
Live Oak Business Savings
- APY: Competitive.
- Minimum Deposit: None.
- Fees: No monthly fees.
-
TAB Bank Business Money Market Account
- APY: 3.25% on balances up to $1,000,000.
- Minimum Deposit: $25 to open.
- Features: Allows checks and ATM access.
Conclusion
The new Amex Business Savings account presents an attractive option for small business owners to maximize their cash management and earnings through high-interest savings. Be sure to consider the entire banking experience, including fees and features before deciding on the best account for your business needs.
For more detailed information, visit American Express and explore their range of business banking options.
