LendingClub offers an FDIC-insured personal or business high-yield savings account which currently offers an interest rate of 3.12% APY. LendingClub is member FDIC and charges no monthly fees on the account.
A few weeks ago, when adding the personal LendingClub savings account to our List of Best High Yield Savings accounts, I noticed that they offer a business savings account with the same rate. That might not sound like major news, but it’s actually quite remarkable on a business account.
For some strange reason there is almost no market for offering businesses high-yield savings accounts. You’ll see in the business section of our tracking page around a dozen options to earn more than 0%. That’s it. Compare this with hundreds of excellent high-yield personal savings accounts and CDs.
Even more confounding is that many businesses need to carry high balances to cover monthly or quarterly costs, and they leave a lot on the table by not earning interest. Apparently most business owners take a more hands-off approach on business cash, and the banks happily hold onto your money without having to give anything in return.
And so I found this LendingClub business savings option very interesting as an account that can potentially earn cash-heavy business owners thousands of dollars per year.
LendingClub does not allow opening their business savings account online so you’ll have to call in or chat to have the application emailed over. They do allow opening their Business Tailored checking account online. That account is somewhat interesting with its 1.00% APY interest rate on balances up to $100,000 and might make sense for someone who wants to open it along with the savings account.
Other than this new LendingClub business high yield savings account which tops out at the highest yield business account, there are a couple of other options we’ve listed who offer competitive interest rates. Another alternative might be to open a brokerage account for the business and put the business cash in brokerage money market funds.
