In a heartfelt email, Azlo recently announced that its parent company, BBVB, is ending operations for its two online banks, Azlo and Simple. Azlo was a fee-free bank geared toward small businesses, while Simple offered similar fee-free banking services to consumers.
The move has many Azlo customers wondering what to do next. The good news is, moving your money from one bank to another is easier than ever, thanks to technology.
Your only challenge? Figuring out where your money is going next.
As awesome as Azlo was, there are some great online banking options for small businesses and sole proprietors. Here’s what you need to do to close out your account, along with some online lenders who offer appealing features to small businesses.
What’s Ahead:
Azlo account holder options
As an Azlo customer, you’ll have two options for the funds that are currently in your account.
Leave your money with BBVA
Both Azlo and Simple’s customers were assured their funds would be left in place…for now. Simple customers were told their funds would be with BBVA, but they could continue to access them using the Simple app and website. Those customers will eventually receive a notice that their account is now being serviced by BBVA.
Azlo’s email was noticeably different. The funds will remain untouched during the transition, the email promised. There was no mention of transitioning to BBVA. If you choose to leave your funds with Azlo presently, you’ll need to be prepared for an email notifying you that it’s time to close your account someday.
Transfer your Azlo funds
Whether you choose to do so now or a little later, you’ll eventually want to move the money you have in your Azlo account. If you start early, you can leave some money in your Azlo account to cover any withdrawals that come through after you’ve moved your money elsewhere. Once you’re satisfied that nothing else will come through Azlo, you can close your account.
To ensure a smooth transfer, take the following steps:
- Shop around for the best small business banking option, looking for the same conveniences and low costs Azlo offered.
- Set up your new account.
- Go to your Azlo account, either online or through the mobile app, and make note of all recurring withdrawals and deposits you receive on a monthly basis.
- Transfer the majority of your funds, leaving a little behind to cover any transactions you may have missed.
- Shift all withdrawals and deposits to the new account.
- Watch your Azlo account and make sure it’s inactive.
- Download copies of any transactions you may need for bookkeeping or tax purposes.
- Move the remainder of the money in your Azlo account, leaving a zero balance.
- Send an email to [email protected]. An account specialist will review and email you within a couple of days to confirm the closure before taking the final steps.
Small business banking alternatives
There’s no shortage of banking options for small businesses. However, there are a select few that offer many of the benefits you got with your Azlo account.
Bluevine
- Monthly fees: None.
- Minimum balance requirement: None.
- Interest offered: 1.5% on balances of up to $100,000 (conditions apply).
- ATM fees: Fee-free transactions available at 38,000 ATMs.
Bluevine’s offerings are tailored specifically for small businesses, with both banking solutions and tools to help you manage your finances. The checking account is completely fee-free, even if you have an insufficient funds charge or incoming wire transfers. There are no transaction limits or balance minimums.
But with Bluevine, you’ll not only save money on fees, but you’ll also earn interest on your checking balance. This is something you didn’t get with Azlo. You’ll get 1.5% for a balance up to $100,000 (this is significantly higher than the national average). To qualify for that APY you just have to meet one of the following monthly eligibility requirements (effective May 1, 2022):
- Spend $500 per month with your Bluevine Business Debit Mastercard®.
- Receive $2,500 per month in customer payments into your Bluevine Business Checking account via ACH, wire transfer, mobile check deposit, or directly from your merchant payment processing provider.
Lili
Minimum balance requirement: None.- Interest offered: None with Lili Standard; 1% on savings with Lili Pro.
- ATM fees: Fee-free transactions available at 38,000 ATMs.
Freelancers should check out Lili, which offers everything a solopreneur needs to manage money. You’ll get a checking account that includes a Visa® business debit card, along with handy tools to help you track expenses and that can give you insight into how you’re really spending your money.
Since your Lili account is meant to help you run your freelance venture, you’ll also get other unique tools, including autosave, which lets you set money aside for paying taxes or emergencies.
Another standout feature for freelancers is the early payment option through Lili. As long as you’re paid or receiving money through direct deposits, you’ll have access to the funds up to two days earlier than you would with other accounts. That can help with the many cash flow issues that come from clients paying their invoices at different intervals.
Lili Standard is free, but Lili Pro offers enhanced business tools and cost-saving benefits for only $4.99 a month. You’ll get cash back with more than 14,000 merchants, 1% interest on savings, unlimited invoicing, and much more.
Novo
Monthly fees: None.- Minimum balance requirement: $50 to open.
- Interest offered: N/A.
- ATM fees: Refunds all ATM fees.
Novo is giving you an extra incentive to move over from Azlo. Currently, Novo is offering a bonus of $25 per $1,000 spent on your card if you switch from Azlo. But even without this incentive, Novo is worth considering for your business banking.
You’ll need $50 to open an account with Novo, but once you’ve made that opening deposit, there are no balance minimums or fees. You can use your card at any ATM with the full confidence that any fees you’re charged will be refunded. Unlike Bluevine, Novo does charge an insufficient funds fee of $27, but all other transactions are fee-free.
But for businesses, one of Novo’s most useful features is its mobile app. You’ll get insights into how you’re spending your money to help strengthen your cash flow.
Chase Business Complete Banking℠
Monthly fees: $15 without meeting the minimum balance requirement.- Minimum balance requirement: $2,000 daily or $2,000 in purchases or deposits to waive the monthly fee.
- Interest offered: N/A.
- ATM fees: Fee-free transactions available at Chase ATMs.
If you’re looking for business banking with a local presence, Chase Business Complete Banking℠ is worth considering. You can do all your banking online using the mobile app, but you can also visit a nearby branch for in-person transactions.
A local presence also means you’ll have access to ATMs for fee-free transactions. No waiting to be reimbursed, as long as you have Chase ATMs near where you live and travel. An account also gives you access to Chase QuickAccept for processing credit card payments using your mobile device.
One downside to Chase Business Complete BankingSM is the $15 monthly fee. That fee will be waived as long as you keep a $2,000 daily balance, make $2,000 in monthly purchases on your Chase Ink® Business Card(s), or receive $2,000 in eligible deposits each month.
Summary
Although Azlo is closing, your money will be protected while you look around for a new account. Whether you’re going with an online or brick-and-mortar lender, you should be able to move the money easily, then close your account.
Lili. Novo, and Chase Business Complete Banking℠ are great options for small business banking. They can be a jumping-off point in your search for a lending partner to support your business moving forward.
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