How can I easily reduce bank charges on a business account?

The different types of bank charges on a business account

Banking fees include both commissions for services or transactions and charges for payment incidents or irregularities.

Here is a list of the main fees charged by a bank:

Account management fees

They remunerate the bank for the services it provides They are billed monthly or annually, depending on the account agreement. They cover provision of means of payment (cheques, credit cards, etc.), SEPA credit transfers, etc.

Fees vary from one establishment to another. You can count on an average of 10 euros per month for an online pro account or 30 euros maximum for a classic account. Many establishments offer a free pro account for the first month.

Account management fees appear in bank price lists, in addition to fees for direct debits, transfers and withdrawals.

Account management fees are payable even if the account remains inactive.

Transaction fees

As their name suggests, transaction fees correspond to commissions deducted by the bank for each financial transaction carried out on the account . They include transfer fees, direct debit fees and cheque deposit fees.

Transfer fees

They correspond to a percentage of the amount of the transfer. remunerate the bank for carrying out a transfer . The amount varies depending on whether the transfer is domestic, SEPA or international.

They may be free in certain packs or up to a certain ceiling.

Direct debit charges

These are the cost of setting up a direct debit on the account. Most online banks do not charge fees for direct debits. However, charges may apply in the event of rejection for lack of funds on the account, for example.

Cheque deposit fees

These are bank charges for cashing a cheque . Some packages set ceilings for free service. Only then do fees apply above these ceilings.

Overdraft and agios charges

He discovered when a bank account shows a negative balance . The bank therefore charges agios in return for this overdraft. These are therefore charges applied by the bank in the event of an overdraft.

They are made up of miscellaneous expenses, interest charges and bank commissions. They may be flat-rate or proportional . In the latter case, agios are calculated according to the amount and duration of the overdraft.

Managing authorized overdrafts

Overdrafts can also be authorized. In other words, the bank authorizes the company to pay for its transactions. even if the account does not have sufficient provisions .

Its use is regulated by the account agreement : duration, limit, fees. Authorized overdrafts are not free. The bank charges set-up fees and agios.

Calculating agios

As you can see, agios refers to charges applied by the bank when your bank account balance is negative.

The amount can be lump-sum . In this case, the bank charges a minimum amount regardless of the amount and duration of the overdraft.

Agios can also be proportional . In this case, they are calculated on the basis of the amount, term and debit interest rate set out in the account agreement.

Additional service fees

In addition to fixed account management fees, there may be additional charges.

Bank cards

Bank card fees vary according to the card's features. They generally vary from between 30 and 60 euros per year.

Insurance

Increasingly, to stand out from the competition, some banks are including various types of insurance in their banking offers .

These may include guarantees against :

• Fraudulent payments

• Theft or breakage of portable equipment

• Legal insurance

• Etc.

Access to these insurance coverages also has a cost. This varies according to the bank, the extent of cover, the type of offer taken out, etc.

Specific services

Some banks offer additional services such as capital deposit As soon as the account is opened, the partners transfer their contribution to the account. Once the deposit has been made, the bank issues a certificate of capital deposit.

This service is available for a fee. The fee depends on the bank you choose and the offer you take out.

Compare bank charges between different banks

Given the diversity of offers and banking establishments, it's important to make a comparison in order to find the best offer at the best price. Here are the different criteria to consider.

Traditional banks vs. online banks

Today, traditional banks are increasingly pitted against online banks. What are the advantages of each?

The advantages of traditional banks

A traditional bank is one with physical branches or offices.

Customers can go there to carry out transactions or to consult advisors. They are also known as physical bank or traditional bank.

Here are the main advantages of this type of bank:

• Local services . Customers can meet their advisor directly and carry out their transactions in person.

• La confiance . Traditional banks are generally long-established, offering a guarantee of security. This reassures customers.

• Better support

The advantages of online banking

Also known as digital banks, or digital banks, online banks operate mainly online via a mobile application or the Internet. They therefore do not have no physical agency.

Here are the main advantages of online banking:

• Reduced costs . This is the main advantage of digital banks. Their costs are on average three times lower than those of a traditional bank. One reason for this is that online banks have no physical branches. As a result, they have lower fixed costs, which are passed on in their rates.

Online banks even offer free bank cards, for example.

• Quick and easy account opening . It's all just a few clicks from behind the screen of a computer or mobile device.

• Simplified, autonomous management. Customers don't have to go anywhere to carry out their transactions. They can print out RIBs, order checkbooks, set up standing orders, etc. themselves, 24/7. Banking management is 100% paperless.

Comparative costs

The main difference between a traditional bank and an online bank concerns their costs . Online banks with no physical branch network face lower fixed costs. They can therefore afford to apply lower fees.

Some operations that are usually charged for in traditional banks are even made free of charge in digital banks.

Criteria for choosing a professional bank

Here are the main criteria to consider when choosing a professional bank:

The company's specific needs

The first thing to do is to consider your company's banking needs An SME does not have the same needs as a major account. Similarly, a logistics company does not have the same banking needs as an e-commerce business. The banking services required may also vary according to the company's legal status.

The first step is to draw up a list of the services your organization needs.

The services offered vary from bank to bank. Some even cater for a particular niche.

In particular, compare different banks with regard to the following points:

• The payment methods you need for your business (type of bank card, limits, possibility of obtaining a checkbook, etc.).

• The ability to carry out international transactions

• The payment systems you need for your business :

• Conditions and ceiling for overdraft authorizations

• The number of authorized direct debits and credit transfers.

Our rates

The question of rates is fundamental when choosing a business bank. According to the figures, companies allocate 0,69 % of their sales to bank charges. That's 1,700 euros a year.

It is therefore in your interest to compare the rates charged by different banks before opening an account to keep your costs to a minimum.

Customer service quality

An ideal pro bank should have available, easy-to-reach customer service. The means of contacting customer service should be as varied as possible: email, telephone, livechat, etc. The range of hours of availability should also be as wide as possible.

In short, your pro bank's customer service must be available and responsive . You need to get help quickly if you run into difficulties.

Customer reviews and reputation

In the age of the Internet, it's now customary to do so before opting for a product. The banking sector is no exception. Think about check the bank's online reputation before opening a pro account.

In fact, there are dedicated platforms that publish customer reviews. So you can make an informed choice.

Tips for reducing bank charges

Here are our tips for reducing your bank charges:

Optimize account management

You can optimize the management of your pro account through regular monitoring of your transactions and by giving priority to online management.

Regular monitoring of transactions

It is important to always read your bank statements . In particular, take the time to analyze your various expenses. Break down each expense item and ask yourself if they correspond to services you really need.

You need to eliminate all unnecessary services. So think about ask your bank to remove them from your package . For example, you can ask for a bank card that's better suited to your needs, so you pay fewer fees.

Using online management tools

You can also reduce your costs by opting for online management tools . You can use an all-in-one tool that combines various functions:

• Banking

• Accounting

• Etc.

By doing so, you save on travel, time and money.

Negotiating with your bank

It is possible to negotiate bank charges. This practice is mostly used with traditional banks because you have access to a physical advisor.

In the case of online banks, the task can be more difficult. Because of the dematerialization of services, you don't have a dedicated advisor. What's more, rates are already competitive.

However, it is still possible to make one-off requests.

The possibility of negotiating fees

You can negotiate fees according to the size of your company. For example, you can ask us to review your account management fees, transaction fees and/or overdraft authorizations.

Before applying for credit You can also freely negotiate the repayment terms.

Priority services

You can also negotiate an à la carte service with your bank. In other words, you can list the services you need in advance. The bank can then put together a personalized package specifically tailored to your needs.

This means you only pay for the services you need.

Use promotional offers

It's not unusual for banks to offer promotional deals. Take advantage of them to reduce your costs.

Welcome offers

With the number of banks on the rise, banks are vying with each other to find strategies to attract customers. Welcome offers are one such strategy.

Online banks were the pioneers in this field. Today, some traditional banks have also followed the trend.

Discounts for new customers

Some banks also offer discounts for new customers . For example, a month's free account management fee.

Discounts of this kind can therefore be advantageous for optimizing bank charges. However, while they may be tempting, you need to remain vigilant about the bank's monthly or annual costs. Are they really competitive? You need to think carefully before choosing a particular bank.

Heropay: the 0-fee pro account

Would you like to reduce your bank charges? What could be better than a pro account with 0 fees and no hidden charges?

Heropay is both a payment tool and a professional bank account.

Here are its features:

• A free pro account with physical and digital bank cards and a deferred payment option

• An online payment solution at unbeatable prices

• Flexible, no-obligation financing solutions (BNPL in B2B, accelerated payment on marketplaces (Amazon...), receivables and debt financing)

In short, in a world of fierce banking competition, reduce bank charges All you have to do is compare the available offers and choose the one with the best price. Or take a look at Heropay, a 0-euro pro account with no hidden charges.