Citibank business account review: The only guide you need

Panna Kemenes

Citibank is an established brand, offering a range of products for business customers. You can get a checking account which is designed for a large corporations, or a Citibank small business checking account, for example.

The different Citibank business account types come with their own eligibility criteria, and have varied features and costs. Availability and fees may be different depending on the state you’re in. It’s wise to check the details with your local branch or online, before you decide on which account is best for your needs.

This article covers everything you need to know about Citibank business checking accounts, and also presents an alternative as a comparison — the Wise Business account. Let’s get started.

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Citibank business checking accounts

Most entrepreneurs and business owners will need a business checking account to manage their company finances and cash flow on a day to day basis.

Having a separate Citi business account means your personal funds are kept away from the money you need to run your business, making accounting easier. The good news is that there are several different business checking accounts available from Citibank, suited to businesses of different sizes.

You can choose from:¹

  • CitiBusiness Streamlined Checking Account
  • CitiBusiness Flexible Checking Account
  • CitiBusiness Analyzed Checking Account
  • CitiBusiness Interest Checking Account

We’ll talk more about these different account types, the features they offer, Citibank business account requirements, and the costs you need to know about, in a moment.

It helps to know that Citibank business account availability, terms and conditions vary according to your state. Accounts are available in:

  • California,
  • Connecticut,
  • District of Columbia,
  • Florida,
  • Illinois,
  • Maryland,
  • New Jersey,
  • Nevada,
  • New York and
  • Virginia.

If your state isn’t covered, or if you simply want to compare the options available to you, check out the Wise Business account, which is described in more detail below.

How to choose the best Citibank business account for your business

The first thing to check is the eligibility criteria for the account you’re considering. Citibank only offer business checking accounts in certain states, so you’ll need to make sure their product is available wherever you and your business are based.

It’s then worth checking the fees and limits applied to the accounts you have selected. You can expect to find a monthly maintenance fee, as well as some charges for transactions such as sending or receiving money and international payments.

Some business checking accounts will waive the monthly maintenance fee if you keep above an average minimum balance on the account over the month. You may also find that accounts offer a set number of transactions and deposits for free, as long as you either pay the maintenance fee or hit the minimum balance over the month. After that, you’ll pay per transaction, according to the specific terms applied to your account when you open it.

Before you choose a bank account for your business, it’s a good idea to think carefully about how you’re likely to use it. For example, you may need an account with free ATM withdrawals, or maybe it’s important to be able to write an unlimited number of checks from your account for free.

💡 One important cost to consider, if your business works with customers, suppliers, or employees based overseas, is the price of international transfers and currency conversion.

Many traditional banks add an exchange rate markup rather than using the mid-market rate for currency conversion, and may also charge an administration fee for international payments. This can be expensive, and quickly eat into your business profits.

When you’re choosing a business account, take a look at modern alternatives, alongside the products from traditional banks. The Wise Business account, is a great example, offering a simple, safe way to manage your money across different currencies.

You can open an account online, and there are no minimum balances to worry about.

Join Wise Business today

What do I need to open a Citibank business account?

To open a business bank account with Citibank, you’ll need to either call the service team, or visit your local branch. There you can check your eligibility for the products available, and confirm the paperwork you must provide to get started.

You will need to prepare information about the business, including:

  • Business Name,
  • Taxpayer Identification Number,
  • Transaction Activity,
  • Number of Employees.

Expect to be asked to provide one Government-Issued form of Identification1 (e.g. Driver's License, Passport) and a Business Formation Document. You may also need a minimum opening deposit to get your account up and running.

Can I open a Citibank business account online?

Citibank business account cannot be opened online. You will need to prepare your documents and visit a local branch to open a business account.

Citibank business account fees

Citibank business checking accounts have a monthly maintenance fee which covers a certain number of transactions and currency deposits per month.

If you maintain a set minimum balance over the course of the month, you may have your maintenance fee waived. However, if you make more than the specified number of transactions or need to deposit more than the limit set in your account terms, you may need to pay an extra fee.

Here are the main fees and limits to consider — the details are broken out by account type in a moment:

Fee or limit type Citibank business account costs²
Included monthly transactions 0–500 depending on the account type
Included monthly currency deposits $5,000–$20,000 depending on the account type, and your state
Minimum average monthly balance to waive monthly maintenance fee $5,000–$10,00 depending on the account type, and your state
Monthly maintenance fee $15–$30

Citibank business accounts

Breakdown of Citibank business accounts

Here’s an overview of the different checking accounts available for businesses through Citibank.

CitiBusiness Streamlined Checking Account

The CitiBusiness Streamlined Checking account is designed for smaller businesses, making up to 250 transactions a month. Like with all other business checking accounts, you’ll get a debit card and can make fee free ATM withdrawals from Citi branded ATMs, as well as some other benefits such as FDIC insurance.

Fee or limit type² CitiBusiness Streamlined Checking Account
Included monthly transactions 250
Included monthly cash deposits $5,000 (depending on your state)
Minimum average monthly balance to waive monthly maintenance fee $5,000
Monthly maintenance fee $15

CitiBusiness Flexible Checking Account

The Flexible Checking Account is for businesses with a larger turnover, which are more likely to hit the higher monthly minimum balance and which may require a higher number of transactions per month. You’ll pay more for this account compared to the Streamlined Account — but you also have a higher number of transactions included in the package.

Fee or limit type² CitiBusiness Flexible Checking Account
Included monthly transactions 500
Included monthly cash deposits $20,000
Minimum average monthly balance to waive monthly maintenance fee $10,000
Monthly maintenance fee $30 (depending on your state)

CitiBusiness Analyzed Checking Account

This is a non-interest bearing account, but offers earnings credits to offset the cost of fees. You’ll earn credit on the monthly combined balance of eligible accounts held with Citi. There are no transactions included in the monthly fee. This account type will suit larger businesses which have a range of cash management solutions.

Fee or limit type² CitiBusiness Checking Account
Included monthly transactions 0
Included monthly cash deposits N/A
Minimum average monthly balance to waive monthly maintenance fee N/A
Monthly maintenance fee $24

CitiBusiness Interest Checking Account

An interest bearing product like this may work for a business which holds a fairly high balance, and carries out a small number of transactions per month. The interest you earn might go some way to offsetting the fees you pay for the service.

Fee or limit type² CitiBusiness Interest Checking Account
Included monthly transactions 25
Included monthly cash deposits $5,000 (depending on your state)
Minimum average monthly balance to waive monthly maintenance fee $10,000
Monthly maintenance $30 (depending on your state)

Doing business internationally? Discover Wise Business

When you’re doing your research into the right account for your business, don’t forget to look at different providers and compare the features and fees of a full range of products.

Wise is not a bank, but a Money Services Business (MSB) provider and a smart alternative to banks. The Wise Business account offers convenience for business owners, with the option to hold money in over 40 different currencies and send and receive money around the world using the mid-market exchange rate.

You can integrate your Wise account with Xero and QuickBooks for simplicity and make batch payments to reduce admin. Use the Wise API to automate payments and workflow and you could find you’re saving both time and money, leaving you free to do what you do best — grow your business.

You can also create and send your invoices by using our free invoice generator.

Find out more about Wise Business

Choosing a business bank account is an important decision. The more research you can do, the better chance you have of finding the perfect product for your needs. By looking at traditional options such as business checking accounts from Citibank, alongside alternatives designed for global businesses, such as the Wise Business account, you’ll find the right balance of convenience, functionality, and cost for your company.

Sources:

  1. Source 1
  2. Source 2 - fees

All sources last checked 13 December 2022


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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