N26 was considered a pioneer in terms of “account in your pocket”. The basic idea was to combine banking in one app and use a credit card as the heart of the account. In the meantime, N26 offers more than just an account model, the virtual online bank now also offers a business bank account for SMEs. Read more on such accounts at BusinessIntelligenceINC.
What is the distinguishing feature of N26 Business? We’ve checked it out.
The most Important in brief:
- Free business account with free Business MasterCard
- For self-employed and freelancers
- 0.1% cashback on all purchases made with the card
- Push notifications for card payments, direct debits and credit transfers
- Intelligent account management with automatic categorization
- Smartphone App and Web App for the desktop
- Very good customer service
It has become commonplace that the first glance at an account is the account management fees. Here we already have the first good news. The N26 Business account completely eliminates account management. However, a MasterCard Business credit card is an integral part of the account.
The next plus point is without doubt the cashback system. The customer receives a credit of 0.1% of the invoice amount for every purchase he pays with the MasterCard.
Cash withdrawals are generally possible free of charge at the more than 7,000 retail partners. Withdrawals from ATMs are limited to five times a month, but N26 charges two euros per withdrawal for the sixth use. If the account holder is older than 26 years and does not have a regular cash deposit, the number of free cash withdrawals is reduced to three times a month. However, for cash withdrawals at ATMs outside the euro area, N26 charges 1.7 percent foreign currency conversion fees.
Cash deposits to the account can also be made in retail. However, fees of 1.5 percent apply for amounts exceeding 100 euros per month.
Maestro Card (EC Card)
If desired, the N26 Business Account holder can also receive a free Maestro card to ensure that he or she can really make cashless payments anytime and anywhere. Cash withdrawals from ATMs are generally charged at two euros, and outside the euro zone at 1.7 percent for foreign currency.
Anyone who has the necessary creditworthiness and would like to use a dispo (overdraft) from time to time can be satisfied with 8.9 percent interest per year for the overdraft. If you compare this interest rate with that of some competitors, it turns out to be quite favourable.
All transactions can be categorized via the app, for example “office supplies”, “fuel” or “food”. This is a nice simplification for accounting, especially because the data can all be exported as CSV files.
The MasterCard Business is not a classic credit card with delayed debiting, but a debit card. With this card, the amount paid is immediately debited from the account. The cardholder is thus always informed of his or her current financial status and does not experience any unpleasant surprises at the end of the month.
N26 Open a Business Account
The N26 Business Account can be opened by anyone who is resident in Germany. According to N26, opening an account takes less than eight minutes and is fully electronic. The application form is easy to read and the questions are self-explanatory. Unfortunately there is no telephone number available to ask any questions during the application process. If you are not a client, you can only contact N26 by fax. Members have the option to ask questions via chat, phone or mail in the login area.
However, the N26 corporate account can only be used if the applicant does not yet have another account with N26. The online bank currently only allows one account per customer. However, N26 does not check whether private expenses also flow through the business account, on the contrary. The company encourages its customers to separate business and private expenses by using their credit cards and Maestro cards separately.
Open N26 Business Account online in a few minutes: https://n26.com/en-eu/plans-business
Evaluation – Conclusion
If we look at the costs incurred for a classic business account, the N26 business account scores across the board. The cheapest Deutsche Bank AG business account costs 9.90 euros per month, and free cash withdrawals with the bank’s credit card are unthinkable. For freelancers and tradesmen, the N26 Business Account is an ideal alternative to conventional business accounts.