Citbank Business Banking Review 2022

Citibank offers a number of business account types, including checking, savings, and lines of credit. While most checking accounts have a monthly transaction limit, the accounts are scalable and can grow with your business’s needs. However, you can’t open an account online and locations are restricted by state.

Here’s what you need to know about Citibank’s business banking options.

What is Citibank Business Banking?

Citibank is a national bank founded in 1812. It is part of the Citigroup financial services corporation. The bank has over 700 physical locations in the United States and 60,000 ATMs. Because you cannot open an account online, you’ll need to verify whether you live near a Citibank branch that handles business accounts. They are limited to the following states:

• California
• Connecticut
• Florida
• Illinois
• Maryland
• Massachusetts
• Nevada
• New Jersey
• New York
• Texas
• Virginia
• Washington, D.C.

Citibank’s business banking options include four different types of checking accounts, plus savings accounts and business lines of credit. Their services are scalable, making them a good choice for growing businesses.

Citibank Business Banking Pros and Cons

Citibank’s business checking isn’t fee-free, but businesses that can waive the monthly fees may benefit. Their widespread availability and high cash deposit limits make them an attractive option for growing businesses. However, if you’re operating on tight profit margins or just starting out, Citibank’s offerings may not be right for your company.

Pros of Citibank Business Banking

PHYSICAL BRANCHES AND ATMS. With over 700 brick-and-mortar locations and 60,000 ATMs in the United States alone, you probably live near a Citibank branch already. This makes them a convenient option for many businesses, especially if you’re located near a major metropolitan area.

HIGH MONTHLY CASH DEPOSIT LIMITS. Depending on the type of checking account you choose, monthly fee-free cash deposit limits are either $5,000, $10,000, or $20,000. Most banks limit fee-free deposits to $5,000. This is an attractive perk for larger businesses with high deposit volume. It’s also helpful for companies that expect to grow significantly in the near future.

SCALABLE ACCOUNT OPTIONS. Like most banks, Citibank offers several different levels of account options. The main options include CitiBusiness Streamlined Checking, CitiBusiness Flexible Checking, CitiBusiness Analyzed Checking, and CitiBusiness Interest Checking. They also offer specialty account types for different industries. While the monthly fees range from $15 to $30, these fees can be waived with certain balance levels.

LINES OF CREDIT AVAILABLE. When you open a Citibank business checking account, you can connect your account to their business lines of credit. This can be helpful when you need an emergency cash influx or need to cover basic expenses for seasonal work. Checking Plus accounts can be used as lines of credit, too.

Cons of Citibank Business Banking

LOW SAVINGS APR. The low savings APR makes Citibank’s business savings accounts a losing proposition. The percentage rates range from 0.01% up to $10,000 to 0.08% for accounts with over $500,000 in savings. If you want to earn significant interest, other banks have better offers.

NO FREE OPTIONS. While there are no free checking options, Citibank does waive the monthly fees ($15 to $30) with a minimum balance of either $5,000 or $10,000, depending on the account type. If you’re able to waive the fees, this can be a fair option. Otherwise, you may want to look elsewhere.

Who is Citibank Business Banking Best For?

Small business owners who value physical banking locations and widespread ATM availability could benefit from a Citibank business checking account. If your company brings in enough money to waive the monthly fees, you’ll enjoy their scalability, high monthly cash deposit limits, lines of credit, and more.

Because Citibank limits their fee-free business transactions, you’ll want to ensure that you don’t surpass the 250 or 500 allowed transactions. Otherwise, you might find the fees cut into your profits and make Citibank’s account options less attractive. Plan to have a monthly minimum balance of at least $5,000 or $10,000 or you’ll pay anywhere from $15 to $30 in monthly fees.

Ultimately, Citibank is a good option for small business owners who can fit into the bank’s parameters—and live near a physical business branch.

Who Should Consider Using Citibank Business Banking?

If you want the convenience of opening a business banking account online, Citibank is not right for you. Similarly, if you live outside of California, Connecticut, Florida, Illinois, Maryland, Massachusetts, Nevada, New Jersey, New York, Texas, Virginia, or Washington D.C., you’ll need to look elsewhere. These states are the only ones to host business account locations.

Citibank’s options are not great for small businesses that can’t waive the monthly fees with their account balance. They’re also not a good option for anyone who plans to conduct more than 250 to 500 transactions per month. The fees can easily eat into your profits. However, there are many banks who offer good options for small and brand-new businesses.

How Citibank Business Banking Works

Once you’ve confirmed you live near a CitiBusiness banking location, you’ll need to collect certain documentation and information. You’ll need your basic business and personal details, including Social Security Number, EIN, and how many employees you have. You’ll also need to bring government-issued ID and a business formation document, such as a partnership agreement or articles of incorporation. Every individual associated with the business, like investors, controlling operators, and authorized signers, must provide their own basic information.

After approval, you’ll have access to all your business banking features. These include business debit cards, a mobile app, online banking, deposits and transfers, and more.

Key Citibank Business Banking Features

While Citibank may not be right for every business, it offers several key features. Physical locations, varied account types, online banking options, and more will make your banking experience a pleasant one. As your business grows, Citibank’s accounts can scale along with you.

Physical locations and ATMs

As long as you live near a physical CitiBusiness location, you’ll benefit from in-person banking. While online banking is convenient, sometimes issues are best resolved by visiting a physical branch. Plus, with over 60,000 ATMs in the United States alone, you’ll be able to access your funds practically anywhere.

Several checking account types

There are four different checking account options: CitiBusiness Streamlined Checking, CitiBusiness Flexible Checking, CitiBusiness Analyzed Checking, and CitiBusiness Interest Checking. Streamlined Checking is the lowest tier, which is better for small businesses. Review the account types and perks carefully—there are some key differences between the mid-level account types.

Access to lines of credit

Depending on your checking account type, you can connect your account to a line of credit or simply use the account itself as a line of credit. This is good for seasonal businesses and companies that might need to cover emergency expenses. Lines of credit are still subject to Citibank approval.

High fee-free cash deposit limits

While many banks set their fee-free cash deposit limits at $5,000 or less, Citibank’s parameters are more generous. Depending on the account type, you could deposit as much as $10,000 monthly without paying any fees. This makes Citibank a good choice for businesses who deposit high volumes of cash each month.

Online banking and mobile app

Although you can’t open an account online, Citibank still offers online banking and a mobile app so you can check your accounts on the go. This is convenient for key executives and other business members who may not live near a physical branch.

Security and overdraft protection

Finally, Citibank’s business checking accounts offer good security features, including overdraft protection. You won’t need to worry about bounced checks or fraudulent transfers—simply follow Citibank’s protocols to contest transactions or get your overdraft issues straightened out. The bank is FDIC-insured, which helps protect your funds.

Conclusion

Overall, Citibank’s business accounts offer plenty of options for mid-to-large businesses. If your company deals in high volumes of cash deposits, is located near a physical CitiBusiness branch, and is looking for in-person banking options, you might benefit from Citibank business banking. However, the limited physical locations and inability to open an account online may take them out of the running.