Novo Business Checking vs Mercury Business Banking

Novo supports sole proprietors, including freelancers and unregistered businesses, as well as LLCs and other eligible entities. Its current application help requires both an SSN and EIN for sole proprietors. Mercury supports registered entities including single- and multi-member LLCs, but does not support unincorporated sole proprietorships. Approval and other application requirements still apply.

Novo's standard checking and Reserves do not pay interest. Mercury Treasury is an optional investment, not interest on operating deposits. Its published MRGXX government money-market net yields range from 3.30% to 3.75% across balance tiers, using the October 19, 2026 seven-day effective SEC yield. Rates can change and investments can lose value. Eligibility requires at least $250,000 within one Mercury organization plus other conditions; current help excludes single-member LLCs, partnerships, LLPs and nonprofits.

Mercury includes ACH, domestic wires and standard USD international wires. The optional OUR instruction costs $15 to address intermediary fees; non-USD international wires have a 1% conversion fee. Novo quotes up to $30 for domestic wires, currently available to selected eligible accounts, and uses third parties for outgoing international wires. Novo Express ACH is optional at 1.5%, with a $0.50 minimum and $20 maximum. A no-monthly-fee account still has transaction-specific costs.

Both advertise conditional FDIC coverage up to $5 million through partner-bank sweep arrangements. Novo uses Middlesex Federal Savings and Cambr network banks; Mercury uses Choice Financial Group, Column N.A. and sweep banks. Other deposits at the same banks and program rules affect coverage. Neither fintech is itself a bank. Mercury Treasury investments are outside deposit insurance and are not guaranteed by the partner banks.

Novo includes invoicing and connects with tools such as Stripe and Shopify. Eligible automatic Stripe payouts can arrive up to two days faster through Boost after setup; manual payouts do not qualify. Mercury also includes invoicing, so basic invoice creation is not exclusive to Novo. Recurring invoices and additional payment-collection features depend on Mercury's plan. Payment processor charges remain separate for both providers.

Novo offers up to 20 Reserves within one checking account. Allocate money back to the main balance before paying bills; Reserves are not separate bank accounts. Mercury lets businesses create multiple accounts for taxes, payroll or vendors and use automatic transfer rules. Its rules can distribute set amounts or percentages and maintain target balances. Both support budgeting, with different account structures.

Novo reimburses up to $7 monthly in domestic and international third-party ATM fees. Mercury's business debit-card help warns that ATM operator fees may apply; non-USD withdrawals also have currency-conversion charges. Its limits are $1,000 per card per business day and $3,000 per day across cardholders. Do not apply Mercury Personal's separate ATM reimbursement benefits to a business account.

Neither accepts physical cash deposits. Mercury's partner-bank branches cannot take cash for Mercury accounts, and Novo offers electronic funding and mobile check deposits instead. If cash receipts are routine, compare an account with a supported cash-deposit method before choosing either.

Is Novo Business Checking or Mercury Business Banking better?

Choose Novo for a sole proprietorship, eligible Boost payouts or a simple budget organized with Reserves. Choose Mercury when included standard USD wires and multiple operating accounts suit your workflow. Consider Treasury only after confirming your entity and location qualify, then compare fund risk, fees and withdrawal timing separately from business checking. A $250,000 balance does not by itself guarantee Treasury access.

Does Novo or Mercury charge a monthly fee?

Novo Business Checking: $0. Mercury Business Banking: $0 (banking is free on every tier).

Which earns more on cash, Novo or Mercury?

Mercury. Novo's standard checking and Reserves do not pay interest. Mercury Treasury is an optional investment, not interest on operating deposits. Its published MRGXX government money-market net yields range from 3.30% to 3.75% across balance tiers, using the October 19, 2026 seven-day effective SEC yield. Rates can change and investments can lose value. Eligibility requires at least $250,000 within one Mercury organization plus other conditions; current help excludes single-member LLCs, partnerships, LLPs and nonprofits.

Which is better for who can open an account?

Novo. Novo supports sole proprietors, including freelancers and unregistered businesses, as well as LLCs and other eligible entities. Its current application help requires both an SSN and EIN for sole proprietors. Mercury supports registered entities including single- and multi-member LLCs, but does not support unincorporated sole proprietorships. Approval and other application requirements still apply.

Can a sole proprietor use Novo or Mercury?

Novo supports unincorporated sole proprietors and currently lists both an SSN and EIN among their application requirements. Mercury requires a supported registered entity. A single-member LLC is eligible to apply for standard Mercury business banking, but its current Treasury qualification guide excludes single-member LLCs.

Is Mercury Treasury an FDIC-insured savings account?

No. Treasury holds investments and can lose value. Its government money-market fund differs from its ultra-short bond fund, which has a floating net asset value. The investment yield is not a bank-deposit APY, and deposit sweep insurance does not cover Treasury holdings.

Does Mercury require a $250,000 Treasury investment?

The threshold is at least $250,000 across accounts within one Mercury organization for eligibility, not a mandatory $250,000 allocation to Treasury. Entity and location restrictions also apply. Confirm approval and processing times before transferring operating cash.

Can Mercury organize money like Novo Reserves?

Yes, with a different structure. Novo Reserves are allocations within one checking account, while Mercury supports multiple business accounts and automatic transfer rules for purposes such as taxes and payroll. Neither structure creates unlimited additional deposit-insurance coverage.

How quickly can you withdraw from Mercury Treasury?

Mercury's same-day withdrawal disclosure applies only to its government money-market fund, with a 3 p.m. Eastern business-day cutoff and partner-processing conditions. Its Treasury page lists one to two days for the ultra-short bond fund. Keep payment deadlines separate from an advertised investment yield.