Bank fees are a hugely contentious issue. Banking in Ireland is expensive and is also a cost that is difficult to control (very hard to reduce number of direct debits, withdrawals, lodgements etc).
I always recommend that even the smallest of businesses open a separate bank account. Many small business owners are rightly concerned about the cost of banking when opening a separate account and are turning to free options like N26 or Revolut.
Here is a quick roundup of the main options of the moment:
Anyone following me for a while will know that I didn’t recommend Revolut as a banking option for Irish customers due to a lack of consumer protection. This changed on 24th March 2022 when Revolut officially launched in Ireland as a fully licenced bank with full consumer protection for up to €100,000 in deposits.
There is no charge on a standard Revolut account which includes 5 ATM withdrawals OR withdrawals of the first €200 for free. After that, the fee is 2% for each withdrawal (minimum charge €2). All other transactions such as contactless, direct debits and online transfers are free. However Revolut would not suit a business owner as their sole account if they need to be able to lodge cash sales (from doing markets etc) as Revolut cannot take cash lodgements. It is a digital only bank.
N26 are another digital bank based in Germany. Deposits are protected up to €100,000 under the German bank guarantee scheme.
There is no admin fees for a N26 account. You can do 3 ATM withdrawals for free and each withdrawal over that is €2. There is a €10 charge to get a bank card send out to you. Again N26 does not charge for online or contactless transactions and does not take cash lodgements.
- Bank of Ireland
Bank of Ireland offer free business banking for start-ups for 2 years. After this, there is an account maintenance fee of €15 per quarter. Contactless transactions are charged at €0.01, direct debits and online payments are €0.10 per transaction and ATM withdrawals €0.25 per withdrawal.
Bank of Ireland personal accounts are charged a flat fee of €6 per month.
- Allied Irish Bank
AIB also offer free business banking for start-ups for 2 years. After this, there is an account maintenance fee of €4.50 per quarter. Contactless transactions are charged at €0.20, direct debits and online payments are €0.20 per transaction and ATM withdrawals €0.35 per withdrawal.
AIB also charge €4.50 per quarter for personal accounts and the transaction fees mentioned for business banking.
- Permanent TSB
Permanent TSB charge a quarterly maintenance fee of €3.81 for business customers. Contactless transactions are charged at €0.23, direct debits and online payments are €0.23 per transaction and ATM withdrawals are €0.15 per withdrawal.
PTSB personal accounts are charged a flat fee (no day to day charges) of €18 per quarter.
Disclaimer: This post does not constitute financial advice and is for information and educational purposes only. This blog does not constitute an accountant/client relationship.