How to earn more interest on your business banking accounts
If there’s one thing you know — or need to know — as a business owner, it’s that every single dollar counts.
When you’re growing a business or nonprofit organization, success often hinges on the ability to maximize every bit of your revenue and savings. The more you can reinvest, the better off you and your employees will be.
We’ve talked about the importance of saving money to shield yourself against unforeseen expenses and allow you the flexibility to respond to changing market conditions. Now let’s look at how you can put your business banking accounts to work for you by earning more interest.
High-yield savings accounts
Building up your reserve fund in a traditional savings account is a great start, but why stop there? Once you’ve got some savings accumulated, you’ll be well positioned to take advantage of the earnings available with our high-yield savings accounts.
Common wisdom says you shouldn’t put all your eggs in one basket. This can be applied to your business savings. It’s important to strike a balance between maintaining enough liquidity to cover unexpected expenses and achieving the highest possible return on your savings. You can do that by splitting your savings between a business money market account and business certificates.
Business money market accounts operate a lot like a checking account. You can make unlimited deposits, write checks and withdraw your money whenever you need it — all while earning more interest than you would with a traditional savings account. It’s a great place to stash any reserve funds you want to keep easily accessible.
Business certificates have the potential to earn higher interest than most savings or money market accounts but with the caveat that you won’t be able to access your funds for a set period of time. These terms typically range between six months and five years, with a guaranteed interest rate and the ability to either renew or redeem your certificate once it matures.
If you’ve got some extra savings built up, investing a portion in a business certificate is a great way to boost your interest earnings. Plus, you’ll receive special pricing and flexible maturity options for 24-month certificates when your business uses more than one product or service from OCCU.
Interest-earning checking accounts
Are you earning interest on your business checking account? If not, it might be time for an upgrade. OCCU offers several checking account options to fit whatever stage you’re at in your business growth.
Thrive Business Checking is the ideal account for growing businesses, with the ability to earn 0.05% APY on your deposits and no monthly fee if you maintain a minimum balance of $3,000.
For more established businesses, we offer Optimum Business Checking, which pays 0.45% APY with a low monthly service fee of $16.
Running a nonprofit? OCCU is here to support the great work you’re doing for our community! We can help you maximize your funds with Mission-Driven Checking, a nonprofit-friendly account with no monthly service fees, no minimum monthly balance, and unlimited transactions and cash deposits.
Whatever your business or nonprofit goals are, OCCU has the tools you need to optimize your cash flow and earn maximum interest on every dollar that flows through your organization.
