Co-operative Bank Business Account| Everything you need to know

Remay Villaester (May)

The Co-operative Bank has a number of business accounts available for different types of organisation. This includes charities and community businesses. And if ethical values are important to you in a bank, it’s good to know that the Co-op has been committed to its Ethical Policy for 25+ years¹.

Here, we’ll explore the range of business bank accounts on offer at the Co-operative Bank. We’ll cover features, debit/credit cards, international transfers and of course, the fees you need to know about.

So, let’s get started.

What kind of business bank account does Co-operative bank offer?

There are five main business current accounts on offer at the Co-operative Bank. These are Business Directplus, FSB Business Banking Account, Standard Tariff, Cash Tariff and Community Directplus.

Here’s a quick rundown of the key features of each:

Business Directplus²

This is an everyday business account with an initial free banking period of 30 months. This is far more than some other banks offer.

Even after this introductory period, there are no charges for cash withdrawals or automated credit. And as long as you maintain a balance of £1,000 or more, there’s no monthly service charge to pay either.

You can manage your Business Directplus account easily through online banking, and you’ll get access to a business savings account and other merchant services.

FSB Business Banking Account³

This is a business current account designed for members of the Federation of Small Businesses (FSB). It has lots of benefits, including free everyday business banking (subject to certain limits) and an annual bonus of £25 for maintaining an active account.

Standard Tariff

If you’re after a fuss-free charging structure, choose the Standard Tariff account with the Co-operative Bank. There are no limits on transactions and you’ll pay the same charges no matter what your balance is.

Just like other accounts with Co-op Bank, you can manage your account easily through phone and online banking.

Cash Tariff

Does your business have a high cash turnover? The Co-operative Cash Tariff account is designed with you in mind, as it promises one of the lowest fees on the marketing for cash deposits. Like the Standard Tariff account, there’s a clear, straightforward charging structure and you can manage your money using online and telephone banking.

Community Directplus

This is a business banking account designed specifically for community interest companies (CICs), registered charities, co-operatives and credit unions. Community Directplus helps these organisations make the most of their finances with free everyday banking. There are other perks too, such as the chance to receive funding for special projects from the Co-op Customer Donation Fund.

Does Co-operative offer a business debit/credit card?

All of the Co-operative business bank accounts come with a business debit card for everyday spending. But you can also apply for a Co-op business charge card⁴ if you need one.

If your application is accepted, you’ll benefit from a 48-day interest-free period (subject to conditions) and you can have multiple cardholders. You can use your charge card to withdraw cash from any ATM with the Visa symbol, as well as to make payments.

There’s a small monthly fee to pay for business charge cards, which we’ll cover later on.

Can you make international payments with Co-operative?

If your business sends or receives money internationally, or plans to in the future, you can carry out global transfers using your Co-operative business bank account. However, you may need to call up and request the international payments facility to be added to your online banking account⁵.

Bear in mind that sending money internationally tends to be expensive when using a bank. There are often high fees to pay which, along with poor exchange rates for currency conversion, can eat into your money. We’ll cover international transfer fees with the Co-operative Bank in the next section.

How much does it cost to have a Co-operative business account?

The fees you’ll pay to carry out business banking with the Co-operative will vary depending which of their accounts you have.

Let’s take a look at some of the main fees and charges you need to know about for each account type:

Service or transaction Business Directplus⁶ FSB business banking⁷ Standard Tariff⁸ Cash Tariff⁹ Community Directplus¹⁰
Monthly account fee £7 – after introductory period Free £10 £10 Free
Cash and cheque deposits £0.75 per £100 cash (£2,000 free per charging period)£0.25 per cheque 100 free per charging period) £0.75 per £100 cash (£2,000 free per charging period)Free for cheques £0.55 per £100 cash£0.28 per cheque £0.40 per £100 cash£0.23 per cheque Free
Electronic payments in the UK (incl. Direct Debit, Faster Payments, standing orders) Free Free £0.40 £0.10 Free
International transfers – sending (via SWIFT) 0.25% for phone banking, £10 for online banking 0.25% for phone banking, £10 for online banking 0.25% for phone banking, £10 for online banking 0.25% for phone banking, £10 for online banking 0.25% for phone banking, £10 for online banking
International transfers - receiving Free (less than £100) - £6 Free (less than £100) - £6 Free (less than £100) - £6 Free (less than £100) - £6 Free (less than £100) - £6
Business debit card payments Free Free £0.40 £0.10 Free

How to save money on international payments

Sending money abroad via banks can be expensive. There are fees for sending and receiving money in certain currencies, along with not-so-great exchange rates for converting currencies.

Thankfully, there is a simpler and better value alternative for international transactions. Open a Wise multi-currency account and you can swerve all the hassle of sending international payments with banks.

From your shiny new Wise account, you can hold 50+ currencies at once. When you’re ready to pay a supplier, you can send money overseas for low fees, quick turnaround times and the real, mid-market exchange rate every time.

You can invoice like a local and receive money from global suppliers for zero or low fees. And all your essential business expenses are covered using your Wise multi-currency debit card.

After reading this guide, you should have a good idea of what’s on offer for businesses at the Co-operative Bank.

Just remember to take your time when choosing your new account, comparing fees and features carefully. It’s important to find the bank and account that work perfectly for your business. Good luck!

Sources used:

  1. Co-operative Bank Website
  2. Co-operative Bank business account page
  3. Co-operative Bank business current account page
  4. Co-operative Bank - Lending
  5. Finder - Business account review
  6. Co-operative Bank business tariff pdf - business direct plus
  7. Co-operative Bank - business tariff pdf
  8. Co-operative Bank - Standard tariff pdf
  9. Co-operative Bank - Cash Tariff pdf
  10. Co-operative Bank - Community direct plus tariff pdf

Sources checked on 28-January 2021.

Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.

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