Axos Bank Review

Pros

• Free checks
• Welcome offer
• Cash deposits at ATMs or via GreenDot
• Savings options to suit your needs
• ATM fee reimbursement (domestic)
• Unlimited debits, credits, and deposits

Cons

• Minimum balance requirements
• Hidden fees
• Limited integrations

What Is Axos?

Axos, or Axos Bank, is an up and coming banking solution for businesses. Unlike many competitors in the crowded field of business banking, Axos Bank is a direct bank and member FDIC, not a financial services company offering business banking services. That sets Axos Bank apart, but does it make a difference for Axos Bank customers?

If anything, Axos’s status as a bank means it can offer a greater variety of banking services than many competitors, with specialized offerings aimed at diverse groups of individuals and business customers.

On the business side, Axos offers basic and interest-bearing checking accounts in addition to savings, premium savings, money market, and certificates of deposits. Axos also offers business financing, including equipment financing, commercial real estate loans, treasury management, and investment services. Although Axos banking customers can find several options for interest-bearing accounts, note that the interest rates are not the highest we’ve seen among internet banks, which generally offer higher interest than traditional brick-and-mortar banks.

Here is a rundown of the business services Axos Bank offers:

• Business checking
• Business interest checking
• Business savings and premium savings
• Business money market account and CDs
• Debit card, with domestic ATM fee reimbursement
• Commercial financing
• Real estate and construction lending
• Merchant services (through a partnership with Celero)
• Mobile and online banking
• Bill payment
• Advisory services

Axos Bank Rewards & Perks

We expect business banking services to offer competitive rewards to customers, and while Axos is not the most generous we’ve seen in this category, we have to admit they hit the basics even if they don’t go above and beyond. Three areas we especially look at when we are comparing one bank’s rewards and perks to its competitors are APY, the availability of partner offers and special discounts, and access to credit options. Because Axos offers a variety of interest rates, let’s start with those first before we look at the other categories of business banking rewards and perks Axos makes available to customers.

• Interest-Bearing Accounts: You’ll find several ways to earn interest at Axos Bank. Each type of account has different opening deposit, monthly fees, and minimum balance requirements, which are subject to change, so we’ll refer you to Axos’s website for the most up-to-date information. As a sample, however, know that rates on savings and checking accounts seem to vary between 0.10% and 0.81%. Both rates qualify as high APY compared to the current national average of 0.06%. Be sure to check out all the different interest-earning opportunities Axos offers, including interest checking, savings and premium savings account, money market, CDs and CDARS. Axos also offers options for commercial banking.
• Partner Offers: Some business banking service providers offer partnerships with software companies and other partners to offer integrations, discounts, and special offers. Axos does not have any partnerships of that nature to offer its business banking customers.
• Access To Credit: If Axos is lacking in partner perks, it makes up for that lack somewhat by the range of credit and financing options it makes available to customers. These options include commercial lines of credit, term loans starting at $250,000, real estate lending, equipment financing, and more. Axos does not offer an in-house credit card, however.

Finally, Axos Bank is offering a welcome bonus to new customers. If your business was incorporated after June 1, 2020 you will receive $200 when you add a code to your Axos business banking application. (See the Axos website for more information. Conditions apply.) If your business is older than that, you can still receive a $100 bonus when you open an Axos account. This offer has an expiration date, but we have seen Axos renew and actually improve on this offer, so while you can’t count on it we include it here in this Axos review.

Axos Bank Pricing & Fees

Axos marketing materials tout the bank’s lack of fees. A careful Axos Bank review that focuses on the fine print will notice a few attention-grabbing footnotes. For starters, some Axos accounts come with transaction limits. For basic business checking, users are now allowed unlimited transactions each month, including debits, credits, and deposits. That’s a change since our last Axos review, and we have upgraded our rating to reflect that change. And since our last review, the small business interest checking account now allows 100 free transactions per month, up from just 50, with per-item fees of $0.50 after that. Though we appreciate the changes, it’s easy to see how that could quickly add up for a thriving business.

Wire transfers are another area where fees could add up, with charges of $7 and $15, respectively, for outgoing and incoming wires. Outgoing international wires will cost you $50, so if your business relies on overseas partners, be sure to calculate the cost of doing business via Axos.

Furthermore, most Axos accounts come with monthly maintenance fees that are waived only if a minimum average balance is maintained. The business interest checking account, for example, requires a $5,000 average daily balance to waive the $10 monthly fee. This account does come with a higher interest rate (currently 0.81%), so it’s easy to see why users would want to maintain that balance. Still, it’s a requirement that limits your options if you are looking for truly fee-free business banking.

Limits apply on the savings side, too, as well as fees for relatively uncommon actions such as stop payment requests. Axos makes its full terms and conditions available online for all its business accounts.

We suggest you read the fee schedule or talk to a representative so you can avoid fees.

Axos Bank Eligibility Requirements

Axos makes business banking services available to all types of US-based businesses, from sole proprietorships to corporations. All businesses applying for an Axos account must present a copy of each owner’s and authorized signer’s driver’s license. If you’re doing business under a different name, you may need to show a DBA certificate or similar documentation.

Here’s a summary of the additional documents Axos requires for different types of business:

Screenshot of Axos Bank webpage, captured 11/19/21

The application process for Axos bank can be completed online. Because of fees that can add up when users make transactions like deposits and transfers, we think an Axos business account is best suited to smaller businesses that can batch transactions rather than very large organizations making multiple debits, payments, and deposits each day.

Axos Bank Features

Certain features are non-negotiable when you’re looking for business banking services. Axos Bank delivers those, but not a whole lot more. Axos ticks all the essential boxes, with debit cards and ATM access, savings and interest checking, bill payment, access to credit, a mobile app, and even a link to mobile services. So far, we don’t see much beyond this standard features list. Here are details about a few notable features:

• ATM Reimbursement: Axos does not maintain its own network of ATMs, so customers can expect to be charged fees for using their debit cards at ATMs nationwide. Never fear, Axos will refund 100% of those fees.
• Access To Credit: Axos Bank customers have access to Lender Finance options. However, these loans are aimed at high-end customers, with loan amounts ranging from $10 million to $100 million and with two- to four-year repayment terms. Small balance loans are available for commercial real estate.
• Foreign Transaction Fees: Axos offers special accounts aimed at international residents and world travelers. If you use the World Checking and Savings account, you can receive unlimited fee waivers for incoming international wire transfers and one outgoing international wire in addition to unlimited US ATM fees reimbursements and four ATM foreign currency conversion fee reimbursements each month. However, these benefits are not available with Axos business accounts, where users can expect to pay a 1% foreign transaction fee when using the Axos debit card overseas for POS and ATM transactions.
• Quickbooks Integration: It makes sense for online banks to offer integrations to other popular business software products, so users can connect all their departments online. We are happy to see that Axos business bank accounts are QuickBooks compatible. That can save users the hassle of transferring records and transactions manually. We’d like to see more integrations with banks offering business banking services, but if you’re only able to access one product, QuickBooks is a good one to start with.

Finally, like nearly all banks, Axos imposes some restrictions on the availability of funding. Here’s what you can expect:

Axos Bank Customer Service

Axos offers a fairly standard variety of customer support options, including live phone support on business days between 6 AM-6 PM Pacific Time. Additional support is available via email, and the company maintains a library of a couple of dozen informational videos on its YouTube channel as well as posting information on Twitter. Relatively comprehensive FAQ sections can be found on the Axos website.

Across an array of review sites, users share negative experiences they have had with Axos bank. Not all the reviewers are business customers, however. Axos has been accredited by the Better Business Bureau since 2011.

Despite a 1.06/5 star composite rating on the Better Business Bureau Axos webpage, the BBB gives Axos an A+ rating. We looked at several other sites where users can post reviews of their experiences with companies, and customer service seems to be a common complaint about Axos Bank. We’ll go into detail about what we found in the next section.

Axos Bank Reviews & Customer Complaints

Keeping in mind that online reviews typically come from users with an ax to grind rather than those who are satisfied, we tend to give the benefit of the doubt when we encounter poor reviews online. However, when we see the same poor results and negative reviews posted on multiple sites, we take notice. And it must be said that Axos Bank reviews tend overwhelmingly toward the negative. In fact, I found very few reviews online that were overwhelmingly positive. A pattern could be discerned of initial satisfaction, followed by problems and a lack of resolution from customer service.

Similar to our findings with the Better Business Bureau, on Trustpilot Axos users have awarded the bank just 1.8/5 stars. Even though we found just 28 Axos reviews on Trustpilot, an overwhelming majority (93%) rated Axos Bad vs. just 7% who called it Great. No users selected Excellent, Average, or Poor, reflecting widespread agreement even among this small pool of users. It’s a little better on WalletHub, where Axos has a composite 3.6/5 stars from 1,251 reviews.

However, we saw only a couple of recent reviews (dated 2022) that gave Axos higher than 2 stars. A common complaint is that it’s difficult to resolve problems online. As one frustrated customer put it, “They claim to be an online bank but everything requires you to call in, so I think that makes them a phone-in bank.”

Positive Axos Reviews

• Good variety of accounts
• Higher than average interest

Negative Axos Reviews & Complaints

• Customer service not helpful
• Limited phone service hours
• High fees
• Slow application process for accounts and loans
• Problems with mobile app

Is Axos Bank Safe?

Axos Bank is an FDIC member and all deposit accounts are insured through the FDIC. The bank takes measures to protect customers and keep their financial information secure. That includes SSL encryption, firewalls, fraud monitoring, and automatic times logouts. All bank documents are encrypted and stored in a secure message center.

Axos Bank routinely monitors accounts for unusual activity and contacts customers quickly about suspicious transactions. Information provided to Axos is protected by a strong privacy policy and by federal law.

Final Verdict: Is Axos Bank Worth It?

This Axos Bank review has revealed a business banking option that includes attractive options such as relatively high-yield savings and interest checking options and several choices for Axos checking accounts. But our in-depth look at Axos Bank has also revealed some potential negatives, including a pattern of customer complaints, that raise doubts about whether this is a good option for a small business looking to access business banking services.

We like the variety available with Axos Bank for both business checking and savings accounts. You can decide which type of account will work best for your business, considering factors like minimum opening deposit, interest-earning potential, and daily balance requirements to decide what would suit you best. The reimbursement of all domestic ATM fees is a welcome policy. And while the interest rates available are not the highest we’ve seen, you can count on earning a higher rate than the national average when you deposit your money in an Axos Bank account.

On the other hand, we are troubled by some of the fine print revelations with Axos, a bank that markets itself as a fee-free option for businesses. It would be easy to avoid some of those potential fees, by understanding and abiding by the minimum balance requirements, for example. We do note some improvements regarding Axos fees that have nudged our ratings higher, and we hope to see further improvements that will allow us to continue to bump our overall Axos score in the future.

For the time being, however, we continue to feel that business owners who choose to look further into Axos business banking should proceed with caution. Check out our list of the best business bank accounts for small businesses to find alternatives that might suit you better than Axos.

Axos FAQs

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