Bluevine vs Novo Checking Accounts

Looking for guidance on whether a Novo or Bluevine business checking account is best, you’ve come to the perfect place. Each provides favorable banking options for small businesses and sole proprietors, and both operate together with popular financial and accounting programs. So, which one do you think is the better option? Read our in-depth comparison to aid you in making the best decision.

Bluevine vs Novo: Summary comparison

The comparison table provides an overview of these two business banks.

	Bluevine	Novo
Service type	Business bank account	Business bank account
Country of formation	U.S.	U.S.
Year formed	2013	2016
Pricing (from)	$0 per month	$0 per month
No. of clients	450,000	150,000
Banking card used	Mastercard	Mastercard

Bluevine is a fintech business and not a bank; yet, Coastal Community Bank is the financial institution that serves Bluevine’s banking needs. A business checking account may be established with Bluevine in a matter of minutes at a low cost, and the service’s monthly costs are waived entirely.

Novo is an autonomous technology business that has formed a partnership with the Middlesex Federal Savings, F.A. bank in order to provide online banking services. You receive the advantages of FDIC insurance and the protective measures of a conventional bank via their partner when you work with Novo. On top of that, you gain access to a robust set of digital tools that were developed specifically for use by small companies.

Bluevine and Novo similarities

Bluevine and Novo are not banks; rather, they are online business banking accounts that do not have any physical branch locations. They are licensed with the Federal Deposit Insurance Corporation (FDIC), which means that the accounts of their clients are FDIC-insured to the fullest permitted limits. This is because their parent banks are registered with the FDIC.

Both of these banks provide various forms of financial assistance to companies, with Bluevine giving lines of credit of up to $250k with prices beginning at 4.8%.

You get the following with Bluevine and Novo:

• A bank account for a company that is accessible online
• There are no minimum balance fees, overdraft fees, or monthly fees associated with this account.
• Banking card
• Smartphone app

On the services side, both Bluevine and Novo offer seamless integrations with accounting software which includes Quickbooks. This enables customers of both platforms to easily sync data between each other, including bills, transactions, and payees.  Both banks feature very low or no minimum initial deposits of $50 for Novo, no fees for transaction limits, and no costs for automatic clearing house transfers.

Additionally, Bluevine users do not have to pay any out-of-network ATM costs, and Novo clients may have their ATM fees reimbursed no matter where they are in the globe. MoneyPass stations provide this benefit nationwide.

Note: It is neither difficult nor time-consuming to sign up as a client with any of these two service providers. Opening a bank account for your internet company may be done in a matter of minutes.

Their user interfaces are either online and accessible through the web, or accessible via their mobile apps, both of which are straightforward and simple to use on a regular basis. Both Bluevine and Novo are designed to be user-friendly and cost-effective banking options for professionals, small and medium-sized businesses, and self-employed individuals.

Bluevine and Novo differences

Now that we’ve established that, let’s compare Novo and Bluevine to see how they vary. The comparisons between the two are broken down into their respective categories in the table that follows.

	Bluevine	Novo
Annual % Yield (APY)	1.5% interest on balances between $0 and $100,000	N/a
ATM machine fees	Use of any MoneyPass ATM is free of charge, however using any other ATM will cost $2.50 plus the costs charged by the ATM’s operator.	There are no fees assessed when using an ATM that is not part of your network. Novo will pay the fees assessed by ATMs located all over the globe.
Checks	Depending on your situation, you may get up to 2 complimentary checkbooks every year.	You are unable to write regular checks. The mobile app gives users the ability to have checks sent over to them.
Domestic Transfer of Funds Within the Country	$15 for outgoing fees, and $0 for incoming	Novo accounts are able to receive domestic as well as international wires, however customers cannot use their Novo account to transmit domestic wires.
Promotions	SEE THE OFFER	SEE THE OFFER

There are a lot of key distinctions among these 2 bank accounts that you should take into consideration when making your decision between the two of them.

A greater annual percentage yield (APY), improved software integration, a broader free ATM network, and less extra costs are offered by Bluevine. In addition, Bluevine’s line of credit is incredibly simple to use, and the approval process for financing takes, on average, only one day to complete, which provides companies with prompt access to the funds that they need.

The conditions of its repayment are likewise adjustable; they may be paid back on a monthly or weekly basis, and their duration can range from one month to one year. Even those company owners who have just been operating their companies for a little over half a year might get credit lines from Bluevine.

As for Novo, they do not provide any interest earnings that are calculated using APY, and their bank checking accounts don’t collect interest either. Additionally, Novo has additional restrictions on domestic wire transfers since they are unable to transmit domestic wires. Through the Novo app, users are able to make ACH transactions, which do not incur any fees and are an alternative to domestic wire transfers.

Let’s look more closely at the specifics of the Novo and Bluevine offerings now that we have a better understanding of the ways in which the two banks are similar to one another and the ways in which they vary from one another.

Pricing, plans, and service offerings of Bluevine and Novo

Fees

There are some distinctions in the overall price, the programs, and the service provided by the two banks, even though both cater to proprietors of small businesses and independent contractors. The following is some info on the deals that are available from Bluevine and Novo.

	Bluevine	Novo
Free offer	Yes	Yes
Charges incurred every month	$0	$0
Cost per transaction	$0	$0
No. of accounts	Maximum of 5 additional accounts	One account
Depositing of Cash	Green Dot retail sites charge a transaction fee of $4.95, and are accessible to customers.	N/A
Monthly # of transactions	Limitless	Free of charge unlimited transactions, free of charge ACH transfers, and free of charge inbound wire transfers
Lines of credit	Up to $250k	None provided

Both Bluevine and Novo remain affordable in terms of their monthly prices, since they do not charge any fees for the initial setup or ongoing maintenance and allow for an unlimited number of daily transactions. Nevertheless, Bluevine allows you to have up to five sub accounts in conjunction with your main checking account, whereas Novo only provides one account.

In addition, Bluevine allows customers to place two free orders for checkbooks annually, but Novo does not supply any actual checkbooks. However, Novo does supply complimentary checks, which may be sent out simply from inside the Novo app.

Neither of these banks demands a minimum beginning deposit nor a minimum balance, but Bluevine’s interest-bearing account comes with an attractive annual percentage yield (APY).

Additional services

	Bluevine	Novo
Funding	Yes	No
Overdraft	Yes	Yes
Accounting	Yes	No

Both Bluevine and Novo are excellent choices for small and medium-sized companies looking for bank accounts; however, only Bluevine provides its customers with the option of opening a line of credit in the event that this becomes an important factor for your company in the near future.

There is a possibility that Bluevine might well be able to provide you with a quick, same day business loan, with the money being deposited into your checking account in as short as twenty-four hours. If you choose to make a wire transfer and pay the cost of $15, you will have your money in your account within a few hours.

To be eligible for a line of financing through Bluevine, your company must have been operational for at least six months, have a monthly income of at least $10,000, not have filed for bankruptcy in the preceding year, and the individual who will be acting as a collateral security should have a personal rating that is at least 625.

Novo and Bluevine payment and collection options

Payment methods

The following is a table that compares the various payment options provided by Novo versus Bluevine.

	Bluevine	Novo
Card type	Mastercard	Mastercard
Checks	Yes	Yes, via the smartphone app
Wire transfers	Yes	You’ll be unable to send domestic wire transfers using your Novo account.
International wires	No	Wise allows you to send money to anybody in the world.
ACH transfers	Yes	Yes

Means of collection

The following is a list of the several ways of payment that may be used with these different accounts.

	Bluevine	Novo
Checks	Yes	Yes
The use of wire transfers	Yes	Yes
ACH wires	Yes	Yes
Foreign bank transfers	No	Yes

While Bluevine is unable to accept or start foreign wires at this time, Novo has linked with Wise so that wires may be sent globally via the “Apps” page of the Novo smartphone application. Bluevine will have this capability soon.

Bluevine vs Novo: How to choose?

Neither Bluevine and Novo provide a highly appealing online checking account option for commercial enterprises. So how exactly should you go about making your decision? When deciding which option to go with, these are some of the most important considerations to bear in mind:

• Services: Certain business checking accounts may be more suited than others for your company, depending on the demands you have. Bluevine is distinguished from its competitors by its greater annual percentage yield (APY), cheaper total costs, and larger available loan quantities. Novo undoubtedly leaves an impression with its extensive collection of features and unrestricted reimbursements for ATM fees.
• Bluevine does not provide credit or loans, but it does have a financing facility known as a line of credit that is simple to set up and has flexible payback terms.
• Are you going to be engaging in any international transactions at all, or perhaps a significant number of them? If this is the case for you, then you should go with Novo since Bluevine does not presently support the processing of international wire transactions.
• Other: Some of the areas in which Novo falls short in comparison to Bluevine include its absence of cash deposit infrastructure, the absence of sub-accounts, the absence of a credit line or physical checks, and the absence of domestic wire transfers; however, it does provide ACH transactions that are free of charge. In contrast to Bluevine, which does not support international transfers, Novo’s Wise payment system enables users to send money anywhere in the world. This is a significant advantage for Novo.

For further information:

• See our detailed Bluevine review
• Read into our detailed Novo review

There are numerous additional business accounts that may be opened, and some of them are definitely worth investigating. Small and medium-sized businesses (SMBs) may choose to investigate Kabbage, as well as Relay, or even Chase bank, the biggest bank in the United States.

Bank of America might be the right choice for customers seeking for a financial institution with a big number of branch locations, whilst Capital One provides a comprehensive range of financial goods and services to companies of all sizes.

Please feel free to have a look at our comparison of business bank accounts to learn more about the many banking options available to companies.

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