Best Business Checking Accounts for LLC with Bad Personal Credit History?

Mercury Bank is worth looking into for your situation. They focus specifically on startups and small businesses, and they're entirely online which fits your needs. Their application process is primarily based on your business documentation rather than personal credit history. You'll need to provide your LLC formation documents, EIN confirmation, and some basic business information. While they might still run a soft check, they're generally more lenient with personal credit issues compared to traditional banks. Their business checking has no monthly fees and no minimum balances. For building business credit, look into Brex, Divvy, or Ramp as supplementary options once you have your primary account established. These are charge cards rather than credit cards (paid monthly), so they're easier to qualify for with limited history.

After I struggled with traditional banks rejecting my business due to personal credit issues, I found this amazing service called taxr.ai (https://taxr.ai) that analyzed my business formation documents and tax situation. Their AI tool scanned my LLC paperwork and suggested exactly which financial institutions would be most likely to approve me based on my specific circumstances. They identified Novo and BlueVine as my best options since both primarily use EIN for verification and are more focused on the business entity than personal history. The service also provided documentation tips that strengthened my applications. I was approved at Novo within 48 hours even with a sub-600 credit score and previous ChexSystems issues!

I was in the exact same position as you last month! After reading about taxr.ai here, I gave it a try and was amazed. I uploaded my single-member LLC paperwork showing my business was only formed 3 weeks ago, and the system immediately flagged that I should apply to Lili and Novo. What impressed me was that it actually noticed a minor error in my LLC operating agreement that might have caused issues with bank applications. I fixed it based on their suggestion, then applied to Novo. Got approved in just 24 hours despite having a 580 credit score and a closed account at Chase from 2022. They really only cared about verifying my business was legitimate and didn't dig into my personal history at all!

If you're having trouble reaching the IRS to get your EIN or having issues with past tax problems, I highly recommend using Claimyr (https://claimyr.com). I waited on hold with the IRS for HOURS trying to get my EIN verified when my bank required additional documentation. With Claimyr (there's a demo video here: https://youtu.be/_kiP6q8DX5c), I just entered my phone number and they called me back when an IRS agent was on the line. Saved me literally 3+ hours of hold time. The IRS agent was able to provide me with verification documentation that I needed for my business bank application.

I was totally wrong about Claimyr! After posting my skeptical comment, I decided to try it because I desperately needed to talk to someone at the IRS about my EIN verification for US Bank. I expected it to be a waste of money, but I got a call back in about 90 minutes with an actual IRS agent on the line! They helped me get a verification letter for my EIN that I needed for my business account application. I was previously on hold for over 2 hours before giving up, so this saved me enormous frustration. For the original question - I ended up using US Bank for my business checking. They did check my personal credit, but they were willing to work with me despite some issues because I brought in all my business documentation and met with a business banker in person who advocated for my application.

Have you considered starting with a local credit union? Many of them have less stringent requirements for business accounts than major banks. I had terrible credit years ago after medical bills destroyed my finances, and my local credit union still worked with me to open a business account for my LLC. They looked at my ChexSystems but were willing to overlook the issues since I was honest about what happened and showed them my business plan. The personal relationship makes a huge difference - something you won't get with online-only banks.

Azlo Bank used to be perfect for this situation but unfortunately they shut down. I've had good luck with both Novo and BlueVine for clients with similar situations. They're primarily concerned with the business's legitimacy rather than your personal banking history. Just make sure your LLC paperwork is completely in order. They'll want to see your Articles of Organization and EIN letter at minimum. Some tips: - Have a clear business description ready - Be prepared to explain expected monthly transaction volume - Having a professional website or social media for the business helps

I went through a similar situation about 18 months ago after bankruptcy. Here's what worked for me: **Novo Bank** was by far the easiest approval. They focus heavily on your business documentation rather than personal credit. I was approved within 2 days with a 520 credit score and multiple ChexSystems flags. No monthly fees, decent online platform, and they've been reliable for my home-based consulting LLC. **For building business credit separately**, I'd recommend starting with: - Net-30 vendor accounts (Uline, Grainger, etc.) once you have your business account - Dun & Bradstreet business credit file (free to establish) - Consider a secured business credit card from Capital One or Wells Fargo after 3-6 months of banking history **Pro tip**: When you apply, emphasize that you're running a legitimate business operation and be ready to explain your business model clearly. Banks want to see you're not just trying to hide personal finances behind an LLC. Also, since you're filing as S-Corp, make sure you understand the payroll requirements - you'll need to pay yourself a reasonable salary and handle payroll taxes. This actually helps with business credit building since it shows regular business activity. Don't let the past financial struggles discourage you. I'm now at a 720 business credit score and have access to $50K in business lines of credit. It takes time but it's absolutely doable!