Can I Open A Business Bank Account With An EIN Only? (2024)

FAQs

Can I Open A Business Bank Account With An EIN Only? ›

If you want to open a business bank account and you only have an EIN, you still need to gather other documents that your bank will request from you. At a minimum, you'll need to provide a government-issued ID and your SSN.

Although an EIN is usually required to open a business bank account, it's not usually the only information you'll need to provide. Most banks and credit unions will also want your personal I.D. information along with details about your business, such as your registration paperwork and trade name.

You can be denied a business bank account. Banks are under no obligation to open an account for any business, and they may decline an application for various reasons. In the case of denial, the bank is usually required to provide a reason for declining the applications.

Though you don't need a high credit score to open a business bank account, poor credit history and a track record of negative banking activity could limit your options. If you're concerned about being turned down for a business bank account, shop around for a bank or credit union that doesn't use ChexSystems.

However, if a single-member LLC, whose taxable income and loss will be reported by the single member owner needs an EIN to open a bank account or if state tax law requires the single-member LLC to have a federal EIN, then the LLC can apply for and obtain an EIN.

Verifying a business's EIN number usually involves cross-checking government databases, ordering reports from credit bureaus, and/or contacting the business directly.

Opening a business bank account requires proof of identification for both you and your business. Examples include your state-issued driver's license or passport, your business license or your partnership agreements.

You don't need a specific personal credit score to get a business checking account or savings account. Your bank probably won't consider your credit score at all when you apply for a bank account.

The primary reasons businesses are denied a new business bank account include the business being too new, documentation being missing or unverifiable, or credit issues on either business or personal credit reports.

How long does it take to get approved for a business bank account? ›

How long does it take to open a business bank account? You can open a business bank account in just a few minutes if you're getting started online. Opening a bank account at a branch may take a little longer if you have to wait for a banker who can get your account set up.

Application Declines Can Stem from Bad Credit, Tax Liens, Prohibited Business Types and More. Applying for a merchant account can be an intimidating process, especially if it is your first time in the marketplace.

In some cases, corporate credit cards don't require an SSN, meaning you can get business credit cards with an EIN only. The Brex 30 Card allows applications without an SSN. Be aware, though, that it requires a linked business bank account with a minimum $50,000 balance, so it won't be a fit for all small businesses.

Banks must verify customer information before you open an account in order to help prevent fraud and money laundering. Requiring an EIN to prove your business's identity and the nature of your business is one way to do this.