Business Bank Accounts On Analysis

On Analysis business bank accounts are typically ideal for businesses that maintain a higher average monthly ledger balance. In other words, you keep/maintain more money in the bank each month.

The general way On Analysis accounts work is at the end of the month, the average monthly ledger balance is used to calculate your earned credits (different banks may use different terminology but the general principle is the same). Those credits are used to offset the monthly fees incurred by all the banking products/services associated with your account. If your credits come in below the total monthly fees (meaning your credits are insufficient to cover your total monthly bank fees), your account is assessed the difference as a bank fee.

If you find that you are constantly paying bank fees each month and your account is On Analysis, speak with your commercial banker to find out how you can reduce some of those fees and what the approximate average monthly ledger balance you would need to keep/maintain to offset those monthly bank fees.

Perhaps you have several idle bank accounts which you no longer need or use. Closing those accounts will eliminate the fees associated with those banking products. You may also have bank services which you don’t need and eliminating unnecessary services may also help to lower your monthly bank fees.

If after making these adjustments you still experience ongoing monthly bank fees, you may want to consider other banks and product offerings which may offer lower monthly fees and minimum requirements. Many banks offer tiered banking products/services which may better align with your business and help further reduce and/or eliminate unnecessary monthly bank fees.