Amex launches high-yield savings account to complement business checking

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American Express is adding another option for business owners looking to manage their cash. On Sept. 15, the company announced a new high-yield American Express® Business Savings account.

The account can be paired with an American Express^®Business Checking account, making it easy to move money between the two with no fees.

So, what does Amex Business Savings offer? Here’s a closer look at the account’s eligibility requirements, interest rate, fees, features and some alternatives on the market for business owners.

Any U.S.-based small business owner can apply for an American Express® Business Savings account, except for those businesses in certain industries like cryptocurrency, money service, internet gambling and marijuana, according to Amex’s website.

There is no minimum deposit required to open the account, but you must fund your account within 120 days of opening. To apply, you’ll need to provide your Employer Identification Number (EIN) or Taxpayer Identification Number (TIN), Articles of Organization or a Certificate of Formation, your driver’s license or passport, Social Security number, a DBA, if applicable, your business address and information about your industry.

Applying is straightforward: Customers can open a Business Checking account, Business Savings account or both with one application. They can also manage their bank accounts and Amex credit cards together online or through the Amex app.

The high-yield Amex Business Savings launched offering 2.95% APY on balances, which is a decent return given many business bank accounts don’t offer one. Accountholders won’t pay a monthly maintenance fee, and there is no minimum monthly balance requirement.

Plus, they can integrate the account with accounting tools like QuickBooks^® Online or Xero®, as well as with accounting software apps available through Plaid^®and Yodlee^®.

Business owners can also use the Amex app to make transfers and deposit checks at no cost, though same-day ACH transfers cost $10.

The Amex Business Savings isn’t the only high-yield savings on the market for business owners. Both the Axos Business Premium Savings and the Live Oak Business Savings offer competitive returns, as well as no minimum requirements and zero monthly fees.

When comparing business savings accounts, it’s also worth looking beyond the advertised APY. Consider how easy it is to move money in and out of the account, whether there are transaction limits or other restrictions, and whether the account integrates with your existing business banking setup. These details can make a difference in how useful an account is for managing your company’s cash.

If you want to maximize the interest you earn on your business savings, the TAB Bank Business Money Market Account offers over 3.00% APY. This high APY gives business owners an opportunity to put their excess cash to work while keeping it relatively accessible. A money market account can be particularly useful for businesses that want to earn interest on savings without locking the money away in a long-term account.

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For rates and fees of The Business Platinum Card® from American Express, click here.

For rates and fees of the Graphite™ Business Cash Unlimited Card, click here.