Plenty of banks that used to show up on lists like this have dropped out or changed. These three are the ones worth opening today, and two of them cost nothing to start. The table shows the differences that actually matter for a one-person business.
| Bank | Monthly cost | Cash deposits | Savings | Tax savings tool | Invoicing | EIN needed? |
|---|---|---|---|---|---|---|
| Lili | $0 (Core) | Yes, at 90,000+ stores | 2.25% APY | From $15/mo (Pro) | From $35/mo (Smart) | No, SSN works |
| Novo | $0 | No | None listed | Reserves, free | Free | Yes |
| Current | Personal account | Yes, at stores | Up to 4.00% (with direct deposit) | No | No | Personal account |
Lili
This is the one most freelancers should open first. The free Core account covers the basics, the savings rate is real, and you can deposit cash, which Novo won’t let you do.
Lili
Best for: getting paid in cash and setting money aside
- What it is
- A business checking account built for freelancers and solo business owners. Banking is through Sunrise Banks, N.A., Member FDIC.
- What you get
- A Visa debit card, free withdrawals at MoneyPass ATMs, cash deposits at more than 90,000 stores like Walmart and CVS, and a business savings account paying 2.25% APY on balances up to $500,000.
- What it costs
- The Core account is $0 a month with no minimum deposit. Pro is $15 a month and adds the Tax Bucket, which moves a percentage of every payment aside for taxes. Invoicing starts with Smart at $35 a month. Paid plans come with a 30-day free trial.
- The catch
- The tax and invoicing tools you probably want cost extra. Lili doesn’t charge for cash deposits, but the store might.
Worth it? Yes if you ever get paid in cash or want a free account with savings that actually pays. As a sole proprietor you can sign up with just your SSN.
Novo
Novo gives away the stuff Lili charges for. Invoicing, bookkeeping and Reserves for setting tax money aside are all free, so if clients pay you by invoice, the math is easy.
Novo
Best for: sending invoices without paying for software
- What it is
- A free business checking account for small businesses, freelancers included. Banking is through Middlesex Federal Savings, F.A., Member FDIC.
- What you get
- Invoicing, bookkeeping tools and Reserves (separate buckets for things like taxes) at no extra charge, free standard ACH transfers, up to $7 a month back on other banks’ ATM fees, and 1% cash back on eligible card purchases (2% with a $5,000+ balance).
- What it costs
- No monthly fee and no minimum balance. Some optional services, like outgoing wires and Express ACH, show a cost before you use them.
- The catch
- You can’t deposit cash into Novo at all. And sole proprietors need both an SSN and an EIN to apply.
Worth it? Yes if your clients pay you by invoice or bank transfer. Skip it if you handle cash.
Current
Current is my favorite of these. It’s just not a business account, so think of it as the personal half of the setup.
Current
Best for: your personal paycheck side
- What it is
- A personal banking app, not a business account. Banking is through Choice Financial Group and/or Cross River Bank, both Member FDIC.
- What you get
- Direct deposits up to 2 days early, more than 40,000 fee-free ATMs, cash deposits at stores like CVS and Walgreens, and savings pods that pay up to 4.00% on the first $2,000 in each pod (up to $6,000 total).
- What it costs
- Fee-free overdraft and the 4.00% savings rate both need at least $200 in eligible direct deposits within 35 days. Paycheck Advance goes up to $1,000 once you qualify by adding your paycheck.
- The catch
- It’s built for paychecks. If your freelance money doesn’t come in as direct deposit, you won’t unlock most of the good stuff.
Worth it? Only if you’ve got a regular paycheck coming in alongside your side work. Then it’s a great home for your personal money, with Lili or Novo handling the business side.
A setup that works well: client money lands in Lili or Novo, and you move what you pay yourself over to Current. Your business records stay clean, and your personal money stays in the app you actually like using.
Where to park your tax money
If you’re self-employed, nobody’s withholding taxes from your payments. That money has to sit somewhere until you pay it.
Lili’s business savings is the easy answer. It pays 2.25% APY on balances up to $500,000, and it’s open on the free plan. If you want it automatic, the $15 Pro plan adds a Tax Bucket that sets aside a percentage of every payment you choose. Don’t let the 4.00% headline fool you, though: that higher rate only applies to balances over $500,000.
How to pick
Ask yourself one thing first: do you ever get paid in cash? If yes, go with Lili, since Novo won’t take it.
If everything comes in by invoice or transfer, Novo saves you money on tools, while Lili makes you pay for invoicing. You can also open both, since they’re free, and use Novo for invoicing and Lili for savings.
Whichever you pick, you’ll still want a way to bill clients and track hours. The best billing and invoicing software roundup covers invoicing outside your bank, and the best productivity apps list has free time trackers. If you’re still building the side hustle itself, check what’s paying right now or browse the freelancers section.
Banks for freelancers: FAQ
Can I just use my personal account for freelance money?
You can, and a lot of people start that way. The pain shows up at tax time, when you’re digging through a year of grocery runs to find business expenses. A free business account like Lili Core or Novo fixes that for $0.
Do I need an EIN to open a business bank account?
Depends on the bank. Lili lets sole proprietors apply with just an SSN. Novo wants both an SSN and an EIN. An EIN is free from the IRS, and if you’re approved online you get it right away.
Which bank pays interest on business savings?
Lili’s business savings account pays 2.25% APY on balances up to $500,000, and it’s available on the free Core plan. Novo doesn’t list a savings rate.
Sources (10)
Fees, rates and features come from each company’s own pages and help center. Rates are variable and can change.
- Lili. Plans and pricing. lili.co. Accessed October 22, 2026.
- Lili. Business banking. lili.co. Accessed October 22, 2026.
- Lili. How do I deposit cash into my Lili account?. support.lili.co. Accessed October 22, 2026.
- Lili. Can I manually add funds to my Tax Bucket?. support.lili.co. Accessed October 22, 2026.
- Lili. Can I apply for an account with an EIN instead of an SSN?. support.lili.co. Accessed October 22, 2026.
- Novo. No-fee business checking. novo.co. Accessed October 22, 2026.
- Novo. Can I deposit cash into my account?. novo.co. Accessed October 22, 2026.
- Novo. What business types can apply for an account?. novo.co. Accessed October 22, 2026.
- Current. Current home page and disclosures. current.com. Accessed October 22, 2026.
- Internal Revenue Service. Get an employer identification number. irs.gov. Accessed October 22, 2026.
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