Our Take
4.2
NerdWallet rating
The bottom line:
Rho’s business checking account stands out for its free same-day ACH and wire transfers. It’s a good choice for cashless corporations, especially those handling large amounts of money.
Rho Business Checking
Checking
Federally insured by NCUA
Monthly fee
$0
Bonus
N/A
Pros & Cons
Pros
- No monthly fees or minimum opening deposit.
- Unlimited fee-free transactions; no overdraft fees.
- Free same-day ACH transfers.
- Free domestic wires.
- Free international wires (though third-party fees may apply).
- 24/7 customer support on weekdays.
Cons
- No ATM access.
- Check deposits may take 6-7 business days to clear.
- Not available to sole proprietors.
Full Review
Rho is a financial technology company that offers FDIC-insured business banking accounts via Webster Bank, N.A. Rho’s business banking services include checking and savings accounts, as well as treasury accounts (savings vehicles that pay high annual percentage yields). Free wire and same-day ACH transfers set Rho apart from other online business bank accounts — especially for businesses that move large amounts of money regularly. However, Rho customers can’t withdraw or deposit cash.
In general, Rho is designed for digitally native businesses, not those with storefronts on Main Street. If you’re dealing with cash and a point-of-sale system, consider other picks from our list of the best business checking accounts.
This review and the corresponding star rating focus on Rho’s business checking account. But Rho also offers competitive business savings and cash management accounts:
- Rho business savings offers a whopping $75 million in FDIC insurance via Insured Cash Sweep networks, making it a great choice for businesses that have received big cash investments. The account pays 2.75% APY as of this writing.
- Rho’s treasury account pays up to 5.31% APY as of this writing. You’ll need at least $500,000 to open this cash management account, but it gives you the chance to earn even more from your idle cash.
Rho business banking is best for small-business owners who:
- Frequently send wires and ACH transfers.
- Operate incorporated businesses.
- Have large financial reserves and want to earn interest on it.
- Do not use cash.
Rho and its startup-focused banking competitors — like Brex and Mercury — generally aren’t designed for businesses that use cash. If you want the option to go to an ATM, consider Grasshopper Bank.
Grasshopper offers features designed to move money digitally, like unlimited free ACH transfers and low-priced wire transfers. But you’ll also get fee-free withdrawals at more than 45,000 ATMs nationwide via the MoneyPass and SUM networks. Grasshopper’s checking account even pays interest. Read our review of Grasshopper business checking.
Rho business checking at a glance
Monthly fee: | $0. |
Minimum opening deposit: | $0 |
APY: | None. |
Transactions: | No specific transaction limit, but domestic wires are capped at $25 million per day incoming and $10 million per day outgoing. Incoming and outgoing ACH transfers and transfers from linked external bank accounts are each capped at $2 million per day. |
Cash deposits: | None. |
Bonus: | None. |
How to open a Rho business checking account
Rho business bank accounts are available to businesses that are incorporated in the United states.
Rho requires the following to open a checking account:
- Articles of incorporation.
- Company bylaws.
- Employer Identification Number (EIN) letter.
- Beneficial owner information.
- Social Security number and other personal information.
Once your application is accepted, you can open and set up your business account and make your initial deposit via ACH or wire transfer.
Rho business savings accounts
If you want to earn interest on your balance and access expanded Federal Deposit Insurance Corp. (FDIC) insurance coverage, Rho’s business savings account may be a good option. The account pays an APY of up to 2.75% as of this writing. Plus, up to $75 million of your funds will be covered by FDIC insurance.
Most traditional business savings accounts offer only the required $250,000 in coverage. But even among accounts with similar Insured Cash Sweep coverage, Rho’s limit greatly outpaces many competitors.
Rho cash management accounts
Rho’s cash management account lets you invest spare cash in Treasury bills. This service has a high minimum ($500,000), but if you can afford it, investing may be worth it. Yields start at 4.87% as of this writing and go as high as 5.31%.
Treasury bills aren’t bank accounts, so they’re not FDIC insured the way savings accounts are. Instead, they’re covered by the Securities Investor Protection Corporation (SIPC), but only for up to $500,000.
Where Rho business checking stands out
Free same-day ACH and wire transfers: Free ACH transfers are table stakes for business checking accounts, but most take several days to arrive. Offering free same-day ACH transfers sets Rho apart — most banks charge a fee if you want your transferred funds to be available immediately. Free wires are a bonus, only matched by other startup-focused brands like Mercury.
High transfer limits: Rho supports the movement of millions of dollars in and out of business accounts each day. If your business receives large payments from investors or clients, that might be a valuable differentiator.
Linked savings vehicles: Rho’s savings and cash management accounts offer users the chance to earn high interest rates on their funds. And you can link your accounts to simplify cash management. For instance, if your checking account drops below a certain threshold, you can set it up so funds will automatically be transferred from your cash management account into your checking account.
Where Rho business checking falls short
No access to cash: Rho customers can’t deal in cash. The fintech doesn’t support either cash deposits or withdrawals. If you’re a digital-first startup, that might be no problem. But if you regularly handle cash, consider Axos — an online-only bank that offers unlimited refunds on ATM fees when you withdraw cash and supports fee-free cash deposits.
Not available to sole proprietors: If your business isn’t incorporated, Rho isn’t for you. Sole proprietors may instead want to consider Bluevine business checking, which offers a polished digital experience but serves solopreneurs too. Plus, you’ll earn interest on the deposits in your checking account.
Long hold time for deposited checks: Rho says deposited checks can take six to seven business days to clear. For some businesses, Rho’s free wire and same-day ACH transfers will more than make up for that. But if your business deals frequently with checks, you may be better off with Chase business checking. Checks deposited using Chase’s QuickDeposit feature on mobile are typically available the next business day.
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