Making the Switch: Changing Business Bank Accounts

Meow Technologies, Inc.

Meow Technologies, Inc.

Deciding to change business bank accounts can be a daunting task, but also a necessary one as your company evolves. This guide will walk you through when to consider switching banks, how to choose the right new bank, key steps in the transition process, and tips for ensuring it is as smooth as possible.

When Is It Time For A Change?

There are a few key signals that indicate it may be time to switch business bank accounts:

Excessive Fees

While some fees are to be expected, excessive or surprise charges for transactions, overdrafts, withdrawals, deposits, and account maintenance can quickly add up. If you find your business is shelling out too much money in fees every month, it likely makes sense to shop around. Carefully compare the fee schedules and structures at other banks and credit unions to find one that is more budget-friendly.

Account Limits

If your transaction volumes are growing beyond what your account limits allow for, this restricts your business operations and growth. See if your current bank offers customizable tiers or if switching to a new provider with higher and scalable limits suits your needs better.

Lack of Business Products

You may find over time that your bank does not offer important services that you need. If you require additional financial products but your current provider falls short, changing institutions can open up more possibilities tailored to small businesses.

Poor Customer Service

Having a responsive banking partner you trust is extremely valuable. If you’re frustrated by long wait times, confusing answers, lack of availability, or representatives who seem dismissive of your concerns, these are all good reasons to take your money elsewhere. The right bank for your company prioritizes top-notch service.

Difficulties Managing Accounts

In today’s digital age, you want to be able to bank anytime from anywhere conveniently using online portals. If your bank falls behind technologically with limited digital functionalities, switching to a more progressive provider can simplify managing your finances.

Choosing Your New Bank

Take stock of your must-have features, growth goals, and budget when researching a replacement business bank account. Key aspects to compare include:

  • Interest rates - Review the interest rate offered by your current checking account and compare it to alternatives. For more information, see the following article: Do Business Checking Accounts Earn Interest?
  • Account tiers available - Review options for transaction volumes and cash needs.
  • Fees and terms - Understand all monthly costs, withdrawal/deposit/transfer fees, and balance requirements.
  • Scalability – Can their accounts and services grow with your company long-term?
  • Accessibility – Do they offer a robust digital platform?
  • Reviews - Feedback from other business banking customers.

Weigh the pros and cons carefully for your own scenario before selecting the best match.

Handling The Logistics of Switching Business Accounts

First, gather all documentation the new bank requires like government IDs, EIN, and business formation papers. Then complete their application and open your account(s), making an initial deposit. Take advantage of any switch kit resources offered for transitioning payments.

Here are key transaction types to tackle:

Payroll & Employee Direct Deposits

Update payroll provider with new direct deposit details effective on next scheduled pay date. Avoid closing old account until after payroll transfers to avoid funding gaps.

Online Sales Channel Payouts

For marketplaces, payment processors and buy now, pay later programs, connect new bank account within their portal to change where funds get deposited going forward.

Subscriptions & Automatic Payments

Download recent statements to reference all repeating auto-pays, debits and withdrawals. Update each with new account information to continue regular outflows without disruption.

Bill Pay Arrangements

Check expense tracking programs and reorder automated checks if needed. Confirm when existing scheduled payments will process before halting bill pay on old account.

Accounting Software Connections

Create new bank account on your General Ledger then connect to download transactions automatically going forward. Review rules to classify income and expenses correctly.

Vendor ACH Agreements

Contact any vendors pulling automatic payments from your old account to provide updated bank details. Monitor new account activity closely for smooth payments.

Once all connections are tested and working properly in the new account, close your old bank account following their procedures. Allow outstanding payments to clear prior to fully shutting it down.

Tips For A Seamless Business Bank Switch

Take It Slow

Rushing the process heightens risks of payment issues so proceed methodically. Build in plenty of buffer time when transitioning automated financial flows.

Keep Close Watch

Monitor account activity daily early on to verify accurate postings of deposits, bills, payroll and more across the transition period.

Leave A Buffer

Avoid shifting major lump sum deposits or payments right away. Banks often place longer holds on large initial transactions in new accounts, which can temporarily tie up needed operating funds.

Maintain Liquidity

Keep ample cash reserves accessible across both old and new accounts through the switchover to preserve financial flexibility.

Request Assistance

Utilize bank support tools like switch kits and account transfer letters to ease notifying vendors and customers about your new banking details.

By proactively preparing, carefully orchestrating the switch, and staying vigilant, you can smoothly transition to the right business bank account partner that can scale along with your enterprise. Taking methodical steps will minimize disruption allowing you to get back to growth-oriented initiatives quickly.

Apply Now

Click the button below to apply for a business checking account through one of Meow’s partner banks. The application generally takes less than 10 minutes to complete.


Meow Technologies is a financial technology company, not a bank or FDIC-depository insured institution. Likewise, Meow Technologies is not an investment adviser and none of the information presented herein should be relied upon as financial advice or a recommendation to make any financial decision nor should it be considered to be tax or legal advice. The information is the opinion of Meow Technologies for educational purposes and may not be suitable for all companies. Products, like the one described herein, are offered through Meow Technologies and are not advisory services which are only offered through Meow Advisory, LLC.** The FDICs deposit insurance coverage only protects against the failure of an FDIC-insured bank.**

Get started with Meow in under 10 minutes

*Disclaimer: Meow Advisory LLC is a registered investment adviser. Registration as an investment adviser does not imply any level of skill or training.
For accounts opened through Atomic Brokerage LLC: Meow Advisory LLC has an engagement with Atomic Brokerage LLC (“Atomic Brokerage”), a registered broker-dealer and member of FINRA and SIPC , to bring you the opportunity to open a brokerage account. Brokerage services for customers of Meow Advisory LLC are provided by Atomic Brokerage. For more details about Atomic Brokerage, please see the Form CRS, General Disclosures, and the Privacy Policy. Check the background of Atomic Brokerage on FINRA’s BrokerCheck.
For subadvisory services for accounts opened through Atomic Invest LLC: Meow Advisory LLC has an engagement with Atomic Invest, LLC (“Atomic Invest”), an SEC-registered investment adviser, to bring you the opportunity to open an investment advisory account. Investment advisory services are provided by Atomic Invest. Companies which are engaged by Atomic Invest receive compensation of 0% to 0.85% annualized, payable monthly, based upon assets under management for each referred client who establishes an account with Atomic Invest (i.e., exact payment will differ). Atomic Invest also shares a percentage of compensation received from margin interest and free cash interest earned by customers with Meow Advisory LLC. Meow Advisory LLC is not a client of Atomic Invest, but our engagement with Atomic invest gives us an incentive to refer you to Atomic Invest instead of another investment adviser. This conflict of interest affects our ability to provide you with unbiased, objective information about the services of Atomic Invest. This could mean that the services of another investment adviser with whom we are not engaged could be more appropriate for you than Atomic invest. Advisory services through Atomic Invest are designed to assist clients in achieving a favorable outcome in their investment portfolio. They are not intended to provide tax advice or financial planning with respect to every aspect of a client’s financial situation and do not include investments that clients may hold outside of Atomic Invest. For more details about Atomic Invest, please see the Form CRS, Form ADV Part 2A, the Privacy Policy, and other disclosures. Brokerage services for Atomic Invest are provided by Pershing Advisor Solutions LLC (“PAS”), a registered broker-dealer and member of FINRA and SIPC.
Neither Atomic Invest nor Atomic Brokerage, nor any of their affiliates, is a bank. Investments in securities are Not FDIC insured, Not Bank Guaranteed, and May Lose Value. Investing involves risk, including the possible loss of principal. Before investing, consider your investment objectives and the fees and expenses charged by Atomic Brokerage and/or Atomic Invest.
See the Legal Section within the Meow website for additional agreements.

U.K. Gilt pricing quoted net of fees. ~5% U.K. Gilt yield is sourced from Investing.com December 2023 6-month United Kingdom 6-Month Bond Yield. ~5% Treasury Bill yield is sourced from treasurydirect.gov December 2023 12-week U.S. Treasury Bill auction.

**Disclaimer: Meow Technologies is a financial technology company, not a depository, bank or credit union, and your account at Meow is not, itself, an FDIC-insured product.

Meow currently partners with three banking providers. Banking services are provided by Third Coast Bank SSB; Member FDIC, Grasshopper Bank, N.A; Member FDIC, and FirstBank, a Tennessee corporation; Member FDIC.

By opening a Maximum Checking account through Meow and if you choose to receive banking services provided by Grasshopper Bank, N.A, you deposit your funds into a deposit account at Grasshopper Bank, N.A. which sweeps those funds into deposit accounts across a network of Federal Deposit Insurance Corporation (“FDIC”)-insured banks, for up to the current standard maximum deposit insurance amount (“SMDIA”) of $250,000 per eligible depositor, per destination institution, for each ownership capacity or category, subject to applicable terms and conditions, including Grasshopper's ICS Deposit Placement Agreement. Grasshopper Bank, N.A. uses a third-party vendor and agent to help administer this sweep process. Visit https://www.intrafi.com/network-banks/ for a list of the banks and savings associations with which we/Grasshopper, N.A. have a business relationship for the placement of deposits at destination institutions, and into which your deposits may be placed (subject to applicable terms with you, and any opt-outs by Grasshopper, N.A. or you). The current maximum deposit insurance amount for your funds is up to $125 million in FDIC insurance through the sweep network of Grasshopper Bank, N.A, subject to change at any time with notice from Meow and/or pursuant to applicable law. Terms and restrictions apply. Subject to applicable rate sheet. Interest rate on checking products quoted in Annual Percentage Yield (APY). Interest rates and yields are effective as per the date on the applicable rate sheet. See applicable terms and restrictions and refer to the applicable rate sheets for additional information.

By opening a Maximum Checking account through Meow and if you choose to receive banking services provided by Third Coast Bank SSB, you deposit your funds into a deposit account at Third Coast Bank SSB. If you also hold funds in a sweep program with Third Coast Bank SSB, Third Coast Bank SSB sweeps those funds into deposit accounts across a network of FDIC-insured banks, for up to the current SMDIA of $250,000 per eligible depositor, per receiving bank, for each ownership capacity or category, including any other balances you may hold at that receiving bank directly or indirectly through other intermediaries, including broker-dealers. Third Coast Bank SSB uses a third-party vendor and agent to help administer this sweep process. Visit Third Coast Bank SSB for a list of the banks and savings associations with which we/Third Coast Bank SSB have a business relationship for the placement of deposits at receiving banks, and into which your deposits may be placed (subject to applicable terms with you, and any opt-outs by Third Coast Bank or you). The current maximum deposit insurance amount for your funds is up to $50 Million in FDIC insurance through the sweep network of Third Coast Bank, subject to change at any time with notice from Meow and/or pursuant to applicable law. Terms and restrictions apply. Subject to applicable rate sheet. Interest rate on checking products quoted in Annual Percentage Yield (APY). Interest rates and yields are effective as per the date on the applicable rate sheet. See applicable terms and conditions and refer to the applicable rate sheet for additional information.

By opening a Maximum Checking account through Meow and if you choose to receive banking services provided by FirstBank, a Tennessee corporation, you deposit your funds into a deposit account at FirstBank, which sweeps those funds into deposit accounts across a network of FDIC-insured banks, for up to the current SMDIA of $250,000 per eligible depositor, per destination institution, for each ownership capacity or category, subject to applicable terms and conditions, including FirstBank's ICS Deposit Placement Agreement. FirstBank uses a third-party vendor and agent to help administer this sweep process. Visit IntraFi for a list of the banks and savings associations with which FirstBank has a business relationship for the placement of deposits at destination institutions, and into which your deposits may be placed (subject to applicable terms with you, and any opt-outs by FirstBank or you). The current maximum deposit insurance amount for your funds is up to $125 million in FDIC insurance through the sweep network of FirstBank, subject to change at any time with notice from Meow and/or pursuant to applicable law. Terms and restrictions apply. Subject to applicable rate sheet. Interest rate on checking products quoted in Annual Percentage Yield (APY). Interest rates and yields are effective as per the date on the applicable rate sheet. See applicable terms and restrictions and refer to the applicable rate sheet for additional information.

***FDIC insurance coverage is only available to protect you against the failure of an FDIC-insured bank that holds your deposits (and does not protect you against the failure of Meow or other third party). Your account with Meow and all services provided to you are subject to the Meow Terms of Service (“Account Agreements”) and other applicable terms and no other representations or warranties, express or implied, are provided to you except as expressly set forth in those written Account Agreements. If you have any questions regarding your account, please contact team@meow.com.

FirstBank Funds Availability Notice

FirstBanks general policy is to allow you to withdraw funds deposited in your account on the first business day after the day we receive your deposit. Funds from electronic deposits will be available on the day we receive the deposit. In some cases, we may delay your ability to withdraw funds beyond the first business day. Then, the funds will generally be available by the SECOND business day after the day of deposit.