Advantages of a Current Bank Account for Businesses

More and more businesses are opting for current bank accounts simply because of the flexibility they offer and also because of the wide array of services they provide. Some of the major advantages that most of the banks offer to its business customers with Current bank accounts are their convenience, reconciliation options and overdraft and credit facilities.

Convenience

Most banks will give their current bank account holders a free debit card that can be used for business related expenses.  The money will be directly deducted from the company's account, instead of having to be reimbursed later.

Free 24/7 Internet banking, as well as Telephone and Branch banking facility is included with most current bank accounts. You can simply operate your account via the Internet any time of the day. This is especially helpful for businesses that are involved in international trade and have to cater to multiple time zones.

Reconciliation Options

Through the online banking interface, you can choose to view account history and download transaction history for at least the last 12 months. The downloaded file format is compatible with most accounting software and common spreadsheet programs, so you can reconcile all transactions at the end of every business day, monthly or annually. This feature is exceptionally useful in the event of an internal or external tax audit since all information is available instantly for verification and cross-referencing. 

Through online banking, banks have also started to offer check-imaging services where an image of all cleared checks is available to review at a later date. This eases the burden of paperwork and filing that a business has to do.

Overdraft & Credit Facilities

Businesses can also apply and get overdraft facility with a low interest rates on their current account.  This can be especially useful when the company needs to cover short-term cash flow issues with minimal hassles and maximum flexibility. Additionally, banks offer other the use of credit cards and bank business loans based on the bank’s relationship with the business and the credit standing of the business.

Check Deposit Lockboxes, Direct Deposit Benefits & Bill Payments

Businesses will immediately get access to benefits such as lock box services for check depositing, as well the possibility of depositing checks by using a scanner at their office and uploading received check images to the bank for crediting to the business account. This helps save valuable time by eliminating the need to constantly go to the bank to make deposits.

Businesses can also utilize the direct deposit feature available with most business account to make direct deposit of employee salaries into their bank accounts through a batch instruction to their bank. This eliminates the need to write checks every month and deal with the additional hassle of lost checks and reconciliation of un-deposited checks. 

Lastly, most banks offer the convenience of bill payment directly through the business bank account, once again saving time and money by eliminating money spent on postage stamps and making trips to the postal drop-off stations. The best business accounts typically offer these services free of cost.