The Lili bank account has no monthly fees, no minimum deposit and is completely mobile – with an app for iOS and Android devices. Lili was specially developed for freelancer and independent contractors who offer digital tools to help you categorize your business and personal expenses, save taxes, and accept payments from customers on a single account.
Lili Banking is best for small business owners who:
Would you like a free bank account with no minimum balance.
Use their social security numbers for tax purposes.
Deposit checks for less than $ 6,000 each month. Send less than $ 1,000 a month to external bank accounts.
You want built-in tools that can help you organize your expenses and save taxes.
Are fine with a pure mobile banking experience.
Advantages and disadvantages
No monthly fees, minimum balance or minimum deposit.
Unlimited no fee transactions.
Free access to ATMs through the MoneyPass network; Cash deposits possible through Green Dot locations.
Integrated expense management and tax planning tools.
Provides an early payment direct deposit feature that allows you to receive money up to two days earlier than a traditional bank account.
Low monthly limits for mobile check deposits and external bank transfers.
Mobile only, no web access.
I cannot use an employer identification number to apply.
Off-Network ATM Fees, US $ 2.50 for US ATMs, US $ 5 for International ATMs.
No checkbooks; Transfers cannot be sent or received.
Limited business-related functions, e.g. B. No shared accounts, multiple business debit cards, billing tools, and third-party integrations.
Lili bank account at a glance
Minimum requirement for the opening deposit:
Unlimited no fee transactions
With Lili, the deposits are insured by the FDIC
How the Lili bank account works
Lili is a mobile bank account specifically aimed at freelancers and independent contractors. Since Lili is not a bank, her banking services are provided by the Choice Financial Group and deposits in all accounts are handled by the Federal Deposit Insurance Corp. insured up to USD 250,000.
To open a Lili bank account, you need to download the mobile app and provide your email address. You complete your application by entering your name, telephone number, date of birth, social security number and postal address. You will also need to select what type of freelancer or contractor you are from a drop-down list provided by Lili.
After submitting your application, you should get approval and account access almost immediately. It is important to note that while Lili is fully mobile, you have the option to apply for an account through the website.
If you’re applying for an account online, follow the same steps to fill out and submit your application. Once your application has been approved, download the mobile app and pair your device using a verification code that can be sent to you via SMS or email.
Regardless of how you sign up for Lili Banking, use the mobile app to fund your account and manage your expenses. You can fund your account through direct deposit, ACH transfers or mobile check deposit as well as by linking external bank accounts or platforms such as Venmo and PayPal.
Although it can take up to two weeks for your Lili Visa Business debit card to be delivered, you can use a digital version of your card through the Lili app. You can also track the progress of your physical map from the main screen of the mobile app. Once you’ve received your card by email, you’ll need to activate it in the app before you can use it.
If you as “Do business like, ”Also as a DBA or a Sole member LLC Using your Social Security number for taxes (as opposed to an EIN) gives you the option to add your company name to your Lili bank account. To add your company name, you will need to provide Lili with your tax return, business license or fictitious name registration.
Once your documentation has been reviewed and verified, you can accept payments and review deposits under your company name.
Where the Lili bank account catches the eye
No fees: The Lili bank account has no monthly fees, no minimum balance requirements, no minimum opening, and unlimited no-fee transactions. This account gives you access to free ACH transfers, free mobile check deposits, and free expense management tools.
In addition, Lili does not charge any overdrafts, returned items or payment stops, ancillary costs that are charged by both online and brick-and-mortar competitors. And Lili doesn’t charge a fee for adjusting the exchange rate, which means there are no additional fees for buying debit cards outside of the US
Access to ATMs and cash deposits: With your Lili Business debit card, you can withdraw cash free of charge at over 32,000 MoneyPass ATMs. The Lili app has a locator that you can use to find the nearest ATM.
While your card won’t allow you to deposit cash at an ATM, the At The Register service allows you to deposit cash at over 90,000 participating Green Dot locations. Lili does not charge any cash deposit fees, but the Green Dot Merchant does charge a fee of up to $ 4.95 per deposit. In addition, you are limited to deposits of $ 1,000 within 24 hours, up to a maximum of $ 9,000 per month.
Integrated spending and tax tools: Within the Lili app you have access to tools with which you can manage your expenses Plan for taxes. You can easily categorize your expenses by swiping, left for “life” or personal and right for “work” or business. Issue categories are preselected based on the trader. However, you can tap the transaction to edit the category if necessary.
Lili also lets you add receipts to transactions, download annual and quarterly expense reports, and track real-time spend insights.
In addition, Lili allows you to automatically set aside a pre-defined percentage of the amount of money every time you get paid using the Tax Bucket feature. The tax estimation tool can help you determine how much you should save. You can also manually add money to your control basket or remove money at any time.
And if you want to save for emergencies, you can open an emergency bucket in which you can reserve a fixed daily amount for an emergency fund.
Where the Lili bank account is not enough
Low monthly limits for deposits and transfers: With the Lili bank account, you are limited to a maximum of $ 6,000 mobile check deposits per month and a maximum of six checks per month. You will not be able to access check deposits until your account has been open for 30 days. You must receive or transfer a minimum of $ 200 or more per month to deposit checks.
Additionally, you are limited to $ 500 per day and a maximum of $ 1,000 per month for transferring money to a linked external account. While you also have the option of linking your Lili bank account to apps like PayPal, CashApp, and Venmo, these are quite restrictive limits for sending and receiving funds compared to competitors.
As an example with Novo Business Checking You can deposit up to $ 40,000 in mobile check deposits per month, and limit ACH external transfers to just $ 5,000 per payment.
For cell phones only: Aside from the original application, Lili does not offer web access to the bank account. This can be a disadvantage if you prefer a laptop or desktop to manage your finances. It’s also worth noting that, according to a survey by accounting firm PricewaterhouseCoopers, although 27% of small business owners have switched to digital banking since the onset of COVID-19, 6% have switched to branch banking, which a mobile business might do is just a barrier to entry.
I can’t use an EIN to apply: To apply for a Lili bank account, all you need is basic personal information, including your social security number. However, you cannot sign up for an account with an employer identification number.
Although small businesses that use their social security numbers for tax purposes can add their business names to their accounts after applying, those businesses with an EIN cannot create a financial footprint with that bank account.
Limited business-related functions: While the Lili bank account is designed for freelancers and contractors, it lacks business-related features that competitors offer. Lili does not offer checkbooks, cannot send or receive transfers, cannot accept joint accounts, and does not allow multiple business debit cards.
In addition, this account does not include billing tools – a particularly useful feature for many self-employed business owners – or integrations with third-party business tools such as accounting software, e-commerce platforms, or point-of-sale systems.