No, you cannot open a business bank account with an employer identification number (EIN) only. You’ll also probably need other business paperwork — like your business license and formation documents — plus personal identification like a driver’s license.
Why can’t you open a business bank account with just an EIN?
An EIN is a tax ID number for your business. The IRS uses this number to identify your company when you file payroll taxes and your business income tax return. Banks use your EIN to verify that your business is a legitimate entity that pays taxes.
But banks are also required by law to verify the identities of the customers behind those accounts. As a result, you will need to provide at least your name, date of birth, address and some form of identification number — for instance, a Social Security number.
While this personal information is required to open a business account, an EIN isn’t always necessary. If you run a sole proprietorship or single-member limited liability company (LLC) that doesn’t have employees, you can open a business bank account without an EIN.
Can you open a business bank account without a Social Security number?
You may want to open a business bank account with your EIN if you don’t have a Social Security number. But your bank may not require your Social Security number as long as you have an EIN and other business formation documents if you're looking to open a business bank account for an LLC, for instance. The same is true for partnerships and corporations.
Sole proprietors typically need to provide their Social Security numbers, though.
If you’re not a U.S. citizen and don’t have a Social Security number, banks may allow you to provide alternate information for identity verification.
For example, Relay business banking lets you apply with a passport, but you may need to answer extra questions about how your business makes money. Bank of America, Chase and Wells Fargo accept nonresidents who have an individual taxpayer identification number (ITIN).
Can you open a business bank account with bad credit?
Yes, you can open a business checking account with bad credit — your credit history generally doesn’t affect your ability to get a bank account.
But most banks also run a ChexSystems report, which is similar to a credit check. A negative ChexSystems report might show issues like bounced checks, overdraft fees and forced closed accounts. Banks may turn you away if they think you’re high risk based on that information.
FAQs
Here is a list of our partners and here's how we make money. Visit your My NerdWallet Settings page to see all the writers you're following. No, you cannot open a business bank account with an employer identification number (EIN) only.
Can I open a business bank account with just my EIN? ›
Can I Open a Business Bank Account With Just an EIN? In general, the answer is no. While you'll need an EIN to open a business bank account if your business is set up as a partnership, corporation or LLC with employees—it's just one of several pieces of information you'll likely need to provide.
Can I use an EIN number for banking purposes only? ›
If you've ever wondered, “Can I use an EIN number for banking purposes only?” then you should know that if you obtain an EIN to open a bank account, you should use it for all other business matters as well.
Can I open a business bank account without my SSN? ›
For a start, you will need your Social Security Number or an equivalent identification such as your business's EIN (employer identification number). An EIN is a unique identification number for your business. This nine-digit number is issued by the IRS and works pretty much like your social security number.
What kind of bank account should I open as an LLC? ›
Opening a business bank account for your LLC doesn't just help streamline bookkeeping and operations (though it does that, too). A dedicated LLC bank account is an essential step to maintaining the legal distinction between the business and its owners, which is necessary to preserve limited liability protections.
Can you be denied a business bank account? ›
Application Declines Can Stem from Bad Credit, Tax Liens, Prohibited Business Types and More. Applying for a merchant account can be an intimidating process, especially if it is your first time in the marketplace.
Can a sole proprietor open a bank account with an EIN? ›
Details you'll need to apply online:
Business tax ID number: Business Employer Identification Number (EIN) provided by the IRS in the following 9-digit format XX-XXXXXXX. Sole proprietorships may use either their EIN or Social Security Number (SSN)
Can I use my EIN instead of SSN for bank account? ›
If you are a sole proprietor, you can apply with your SSN. Any other business will require entering both your EIN and SSN, where the SSN number is needed for personal verification and the IRS EIN number is needed for business verification.
What can I do with my EIN number? ›
This EIN is your permanent number and can be used immediately for most of your business needs, including:
- Opening a bank account.
- Applying for business licenses.
- Filing a tax return by mail.
Use your EIN on all of the items that you send to the IRS and the Social Security Administration (SSA). Caution: An EIN is for use in connection with your business activities only. Do not use your EIN in place of your social security number (SSN).
Get documents you need to open a business bank account
- Employer Identification Number (EIN) (or a Social Security number, if you're a sole proprietorship)
- Your business's formation documents.
- Ownership agreements.
- Business license.
Some U.S. banks that don't require an SSN to open an account include Bank of America, Alliant Credit Union, Axos Bank. Revolut, a neobank that offers banking services, also doesn't require one.
Which bank does not need SSN? ›
Here are some banks and credit unions that don't require you to have an SSN to open an account:
- Bank of America.
- Chase.
- Wells Fargo.
- Marcus by Goldman Sachs.
- Self-Help Federal Credit Union.
- Latino Credit Union.
- Tide. Tide offers a range of highly-rated no-monthly-cost current accounts, that offer accounting integration, invoicing capabilities directly from the app, and expense Cards. ...
- Cashplus. ...
- Revolut Business. ...
- ANNA Money. ...
- Wise for Business. ...
- Countingup. ...
- Mettle. ...
- Starling Bank.
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Should my LLC have its own bank account? ›
Contents. One of the most important moves after you've formed a limited liability company (LLC) is to open a separate bank account for your LLC. Having a separate bank account is required by law because a limited liability company is a separate entity from you as an individual.
Do I need my EIN letter to open a bank account? ›
You can open a business bank account without an employee identification number (EIN) if your business is organized as a sole proprietorship or a single-member limited liability company (LLC). In both of those cases, you would use your personal social security number to open the account.
Can I open a business bank account without my business partner? ›
Joint Accounts: A joint checking account or a joint savings account is typically used in a business partnership or in LLCs or corporations with multiple members. Any member is free to withdraw or deposit into these accounts. You may open a business bank account without your partner.
Can I open a Chase bank account without SSN? ›
Wells Fargo - if you don't have an SSN or ITIN, you can provide evidence of nationality or residence by providing a government-issued ID instead³. Chase - will accept either SSN or ITIN, or a valid form of ID instead⁴. Bank of America - will accept an ITIN⁵.
