Novo Business Banking Review 2024

Disclaimer: Novo is a fintech platform, not an online bank. Banking services provided by Middlesex Federal Savings F.A.; Member FDIC.

Novo is one of the best banks for startups for a variety of reasons, including no fees, free ATM access, online banking integrations, invoicing options, and more. The only real drawback of the Novo bank is the fact that you can’t make cash deposits. If this is a problem, you should look elsewhere for startup banking.

Novo Business Banking Eligibility Requirements

Getting a Novo business bank account is about as easy as it gets. You just need to be a US citizen, 18 years old or older and have a US-based business. Considering the hoops you have to jump through to get a business bank account with some other providers, Novo is extremely accessible. Pretty much any US business owned by an adult can qualify if they: 

• Are 18 years old or older
• Have a US-based business
• Be a US citizen or permanent resident
• Provide a valid US mailing address
• Provide a Social Security number
• Provide a mobile phone number

There are some business banking options that require significant funds or financial backing to qualify for. Novo is not one of them. As long as you are US-based, you should be able to qualify for one of Novo’s free business bank accounts. 

Pros and Cons of Novo Business Banking

Pros of Novo Business Banking

• No minimum balance
• No monthly fees
• Unlimited fee-free transactions
• No ACH transfer fees
• Worldwide ATM fund refunds
• Unlimited invoicing and bill pay 
• Option to send paper checks for free
• Multiple integration options
• Discounts available for popular business services and software

Cons of Novo Business Banking

• No option to deposit cash
• Fees for insufficient funds
• No recurring payment options
• No domestic or international wire transfers (can send international wire transfers through Wise integration)

Novo Business Banking Pricing and Features

There’s a lot to like about Novo’s business banking. You don’t have to worry about paying monthly fees, ATM fees, or maintaining a minimum balance. All of these features allow you to keep your banking costs down. 

Considering how affordable Novo’s banking service is, it’s surprising just how much you get with it. Your account includes free unlimited invoicing, unlimited bill pay, no ACH transfer fees, and no incoming wire fees. These features make your bank account functional for the majority of business needs. 

The only significant downside – and possible deal-breaker – is the lack of cash deposits. If your business needs to make frequent cash deposits, you might want a different bank account provider. 

Rewards and Benefits

• Free ATM access worldwide
• Mobile online money management tools
• Mobile check deposits, payments, and money-sending options
• Free paper check mailing
• Unlimited invoicing
• Integration with QuickBooks, Stripe, Zapier, Xero, Wise, and Shopify
• Novo perks program, which gives discounts on services and products like Gusto, Stripe, HubSpot, and more. 

Interest Rates

• Checking accounts don’t earn interest

Fees

• Insufficient Funds Fee: $27

If you want an affordable online banking option and you don’t need to make cash deposits, Novo is a standout. The only fee it charges is for insufficient funds, which is standard with all banking options. Not only is it cheap, but it’s also easy to qualify for, making it an easy business banking choice for many startups. 

Customer Reviews

Novo has plenty of positive reviews, which is unsurprising given all the features you get. Business owners love how user-friendly it is, the great customer service, and the functionality of the mobile banking tools. 

Here are some verified customer reviews from Trustpilot by people who use Novo’s business banking:

“I have been happy with NOVO since the minute I signed up. I have needed help once, was able to talk to a person and what I needed was tended to immediately. The app is user friendly, and I love how since I started there are so many more features and incentives. Thank you!”

“I moved my business banking to Novo a few years ago, after my other bank closed. I have a very small, service-based business (just me and a couple of contractors) and the features with Novo are perfect for my needs. It made paying my contractors easy. The ability to set aside funds in “reserves” is very helpful.

Overall, it has been a smooth and straight-forward experience using Novo.”

“I came over to Novo Bank when Azlo shut down. I am a small business owner & it’s been amazing banking with Novo – excellent customer service, easy transactions & now they have Nono funding for my business – it’s truly unbelievable how easy they make everything. I thought I would miss Azlo but Novo has surpassed my expectations – I feel like they listen & [they] continue to improve.”

How Does Novo Compare?

With so many business banking options out there, it makes sense to compare them with one another to find the best fit for your business. Let’s look at how Novo compares to another major online business banking provider, Brex. 

Final Thoughts on Novo Business Banking

Novo is a solid choice for startups and small businesses that need an affordable, functional online business banking solution. It is mostly free to use, doesn’t require a minimum balance, and has plenty of tools and features that business owners love. 

The only thing that may make Novo undesirable is the lack of cash deposits. If you need to make cash deposits very often, Novo is not the best choice. That being said, other, more traditional banking options will let you deposit cash and are still affordable to use. 

Frequently Asked Questions

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