Why You Should Have a Business Savings Account

Home Blog Why You Should Have a Business Savings Account

Posted On: January 22, 2025 by Peoples Bank of Kankakee County in: business

Running a business involves making countless decisions, but one choice that can profoundly impact your company's financial health is opening a business savings account! At Peoples Bank, we believe in empowering businesses to achieve their goals by providing tools and services that foster stability and growth.

A business savings account is one of those tools—here’s why every business should have one.

1. Financial Security for the Unexpected

Unforeseen challenges are part of running a business. Equipment failures, sudden market changes, or unexpected opportunities can arise when least expected. Having a business savings account ensures your company has a financial cushion to weather these moments without derailing your operations or plans.

Peoples Bank Advantage:
With competitive interest rates and flexible access to your funds, our business savings accounts are designed to help you build a safety net that grows over time.

2. Planning for Future Growth

Growth requires investment, whether it’s upgrading equipment, expanding your team, or launching a new product line. A business savings account allows you to set aside funds specifically for these initiatives, so you’re ready when opportunities knock.

Peoples Bank Advantage:
Our team is here to help you align your savings strategy with your business goals, ensuring you’re prepared to take the next big step.

3. Easier Tax Planning

Taxes can be a significant expense for businesses, and proper preparation is crucial. A business savings account can be used to set aside funds for tax obligations, helping you avoid last-minute stress when deadlines approach.

Peoples Bank Advantage:
With our straightforward account management tools, you can track your savings and ensure your tax obligations are covered with ease.

4. Improved Financial Organization

Separating savings from your day-to-day business account helps you manage your finances more effectively. It prevents overspending and provides clear insight into how much is being set aside for future needs.

Peoples Bank Advantage:
We offer online and mobile banking tools to help you manage your accounts efficiently, ensuring you stay on top of your financial goals.

5. Competitive Edge

Financial stability can make your business more attractive to lenders and investors. A robust savings account demonstrates that your business is prepared for challenges and opportunities, enhancing your credibility and confidence as an entrepreneur.

Peoples Bank Advantage:
Our Business Banking Team can guide you in building a savings strategy that supports your business's long-term growth and stability.

How Peoples Bank Supports Your Savings Goals

At Peoples Bank, we understand that every business is unique. That’s why we offer tailored solutions to help you manage your savings effectively. Our Business Savings Accounts come with competitive interest rates, low fees, and easy access, so you can focus on growing your business without financial stress.

Additionally, our full suite of Business Banking Solutions—including loans, lines of credit, and smart banking tools—ensures you have the support you need to succeed. When you partner with Peoples Bank, you’re not just opening an account; you’re building a relationship with a bank that’s invested in your success.

Start Saving Today

A business savings account isn’t just a nice-to-have—it’s a must-have for any business looking to thrive in today’s competitive market. With Peoples Bank by your side, you’ll have the tools, support, and guidance to take your business to the next level.

Visit us online or stop by your local branch to learn more about our business savings options. Let’s build a stronger financial future for your business together!

An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway. We can cover your overdrafts in two different ways:

We have standard overdraft practices that are available after your account has been open for 30 days and as long as you maintain your account in good standing.
We also offer an overdraft protection plan, Overdraft Protection Sweep, a link to a savings account. It may be less expensive than our standard overdraft practices. To learn more, ask us about this plan.

This notice explains our standard overdraft practices.

What are the standard overdraft practices that come with my account?

After your account has been open for 30 days and as long as you maintain your account in good standing, we do authorize and pay overdrafts for the following types of transactions:

Checks and other transactions made using your checking account number
Automatic bill payments

We do not authorize and pay overdrafts for the following types of transactions unless you ask us to (see below):

ATM transactions
Everyday debit card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction.

If we do not authorize and pay an overdraft, your transaction will be declined.

What fees will I be charged if Peoples Bank of Kankakee County pays my overdraft?

Under our standard overdraft practices:

We will charge you a fee of up to $30 each time we pay an overdraft.
The maximum daily overdraft fee per presentment or item paid using the Overdraft Reserve Program is $150.00 per day.
No per item handling fee will be charged on de minimis overdrafts. De minimis overdraft for this policy means transactions that overdraw your account by $30 or less.
There is an overdraft fee of $5 per day that will be charged beginning the 4th consecutive business day your account is overdrawn.

Nonsufficient funds (NSF) fees - if an item drafted by you (such as a check) or a transaction you set up (such as a preauthorized transfer) is presented for payment in an amount that is more than the amount of money in your account and we decide not to pay the item or transaction, you agree that we can charge you an NSF fee for returning the payment. Be aware that such an item or payment may be presented multiple times by the merchant or other payee until it is paid, and that we do not monitor or control the number of times a transaction is presented for payment. You agree that we may charge you an NSF fee each time a payment is presented if the amount of money in your account is not sufficient to cover the payment, regardless of the number of times the payment is presented.

PAYMENT ORDER OF ITEMS - The law permits us to pay items drawn on your account in any order (for purposes of this section "items" means checks, orders and electronic transactions). To assist you in handling your account with us, we are providing you with the following information regarding how we process those items. When processing checks and orders drawn on your account our policy is to pay lower numbered checks and orders in numerical sequence, but electronic transactions are paid first in the order received. The order in which items are paid is important if there is not enough money in your account to pay all of the items that are presented. There is no policy that is favorable in every instance. If the smallest items are paid first, you may have fewer NSF or overdraft fees, but the largest, and perhaps more important items (such as rent or mortgage payments) might not be paid. However, if the largest items are paid first, your most important items might be paid but it may increase the overdraft or NSF fees if funds are not available to pay all of the items. We think our policy attains a reasonable balance between minimizing additional costs to you and paying your more important items. We encourage you to make careful records and practice good account management. This will help you to avoid creating items without sufficient funds and incurring the resulting fees.

What if I want Peoples Bank of Kankakee County to authorize and pay overdrafts on my ATM and everyday debit card transactions?

If you also want us to authorize and pay overdrafts on ATM and everyday debit card transactions after your account has been open for 30 days, you may opt in.

You have an ongoing right to change this consent at any time. If your overdraft privilege has been revoked for any reason, the opt-in or opt-out selection may not apply. Please contact your nearest office for more information.

Alternate ways to Opt In/Out or make changes:

By Phone. Our Customer Care Representatives can be reached at 815-936-7600.
By Mail. Peoples Bank of Kankakee County, 333 E. Court Street, Kankakee, IL 60901
In Person. Please visit your local office and ask a representative to help you decide which plan is best for you.