Bank of Scotland Business Accounts’ Review

The Bank of Scotland is Scotland’s first and oldest bank, with over 250 years of experience in business banking.

It’s helped over a million businesses in the UK, but is it the best option for your business?

Carry on reading to learn more about the Bank of Scotland’s Business Accounts.

Bank of Scotland Business Bank Account

Monthly Fee

£8.50

New Bank of Scotland Business Current Account customers get the first 12 months free

Bank Transfers

First 100 a month free, then 20p

Card Purchases

First 100 a month free, then 20p

Overdraft

Yes

Between £500 and £5,000

FSCS Protection

Yes

Trustpilot Score

712 Reviews, average rating of 1.6/5

Accessibility

Manage your account online, through the mobile app, in a Bank of Scotland branch or over the phone.

See Deal

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Eligibility Criteria

– You must be at least 18 years old.
– You’re either a sole trader, partner or company director.
– You are applying for your first bank account with the Bank of Scotland.
– You have an annual turnover of less than £25 million.

Bank of Scotland Treasurer’s Account

Monthly Fee

£0.00

Bank Transfers

£0.00

Free everyday banking for as long as you remain in credit

Card Purchases

£0.00

Free everyday banking for as long as you remain in credit

Overdraft

No

FSCS Protection

Yes

Trustpilot Score

712 Reviews, average rating of 1.6/5

Accessibility

Manage your account online, through the mobile app, in a Bank of Scotland branch or over the phone.

See Deal

opens a new window

Eligibility Criteria

– You must be a non-profit organisation such as a charity, church, club or society
– You must require the account for business use
_ You are aged 18 or over
– You have an annual business turnover under £50,000.

Bank of Scotland Business Accounts: Our Verdict

Bank of Scotland’s business banking services are well-suited for small—to medium-sized businesses that value flexibility, comprehensive support, and international transaction capabilities. However, larger companies or those needing more advanced mobile features and higher credit facilities may find them less suitable.

Its flexible banking options allow businesses to manage their accounts online, through a highly-rated mobile app, or in person at branches and the Post Office. The inclusion of free, MTD-compliant accounting software is also a significant benefit, streamlining bookkeeping and reducing costs. 

However, there are some drawbacks to consider. After the initial 12-month free period, Business Current Accounts incur a monthly fee of £8.50, and additional charges apply for international payments and overdrafts. 

The overdraft facility is limited to £5,000, which may be insufficient for businesses needing larger credit facilities. Similarly, eligibility restrictions, including turnover limits, make certain accounts unsuitable for larger businesses.

Pros & Cons

Pros

1. Flexible Banking Options: You can manage your account online, through a well-rated mobile app, or in person at branches and the Post Office. 
2. Free Accounting Software: Offers access to MTD-compliant accounting software called Business Finance Assistant, which helps streamline bookkeeping and reduces accounting costs.
3. International Transactions: Provides a range of accounts with facilities for international payments, including a Foreign Currency Account that offers transparent pricing to minimise foreign exchange costs.
4. Comprehensive Support: Includes 24/7 virtual assistant support via the mobile app, in-app messaging, telephone support during extended hours, and a dedicated Business Management Team for specialised needs.
5. Range of Accounts: From Business Current Accounts to specialised Treasurer’s Accounts and Foreign Currency Accounts, offering tailored solutions for different business requirements.
6. Free ATM Withdrawals: Advantageous for businesses needing frequent access to cash.
7. Multiple Deposit Methods: Enables businesses to deposit cheques and cash through the mobile app, in branches, or at the Post Office, providing convenience and flexibility

Cons

1. Ongoing Charges: After the initial 12-month free period, Business Current Accounts incur a monthly fee of £8.50. Additionally, international payments and overdraft facilities can lead to extra charges.
2. Restricted Overdraft Facility: Overdrafts are limited to £5,000, which may be insufficient for businesses needing more extensive credit facilities.
3. Limited Advanced Features: Lacks advanced mobile banking features like saving spaces, virtual cards, and multi-user access, which might be a drawback for tech-savvy businesses.
4. Eligibility Restrictions: Business accounts have turnover limits (over £25 million for some accounts and £50,000 for Treasurer’s Accounts), making them unsuitable for larger businesses.
5. Customer Service Issues: Despite good reviews for the mobile app, the bank has a low overall Trustpilot rating, indicating potential issues with customer service.

Bank of Scotland At A Glance

Factor	Bank of Scotland Details
Bank Accounts	Business Current Accounts – Business Bank Account – Treasurer’s Account – School Bank Account – Credit Union Account – Foreign Currency Account Business Deposit Accounts – Instant Access Savings Account – 32-Day Notice Account – 92-Day Notice Account – Fixed Term Deposit – Foreign Currency Fixed Term Deposit – 32-Day USD Notice Account
Pricing	The fee varies depending on the account. New customers can use the Business Account for free for the first 12 months, then pay £8.50 monthly. Additional services, including international payments and overdrafts, also incur fees.
Overdraft	Some accounts enable you to apply for an overdraft of up to £5,000, with a minimum facility of £500.
Ease of Use	Highly-rated mobile app and online banking platform. You can also use traditional telephone banking and in-person services at the branch or the Post Office.
Security	FSCS protection on deposits up to £85,000 plus a wide range of fraud detection measures.
Customer Support	Virtual assistant available 24/7 through the mobile app. In-app messaging with an agent Monday through Friday, 7 am to 7.45 pm, and telephone support Monday through Friday, 7 am to 8 pm and Saturday, 9 am to 2 pm, excluding UK bank holidays.
Reviews	Average Trustpilot rating of 1.6 out of 5 based on 712 reviews.
Eligibility Criteria	Virtual assistant is available 24/7 through the mobile app. In-app messaging with an agent Monday through Friday, 7 am to 7.45 pm, and telephone support Monday through Friday, 7 am to 8 pm and Saturday, 9 am to 2 pm, excluding UK bank holidays.
Additional Informational	As long as you hold an account, you will have free access to Make Tax Digital-compliant accounting software, Business Finance Assistant.

Who Should Use Bank of Scotland’s Business Banking (And Who Shouldn’t)?

Bank of Scotland is suitable for:

• Those who want the flexibility of being able to bank online or in person. 
• Businesses that want to be able to deposit cheques and cash. 
• Companies that make frequent international transfers and want to minimise foreign exchange costs.
• Customers that value access to the free, inbuilt MTD-compliant accounting software. 
• Those don’t need to access overdraft facilities of more than £5,000.
• Businesses that want to access additional business banking services like savings accounts, credit cards, loans, finance, and business insurance.

Bank of Scotland may be unsuitable for:

• Businesses with a high annual turnover of over £25 million for Business and Foreign Currency Accounts or £50,000 for Treasurer’s Accounts. 
• Customers that need overdraft facilities of more than £5,000.
• Those who want advanced mobile banking features, including saving spaces and pots, virtual cards and multi-user access. 
• Companies that want to integrate their account with 3rd party accounting software like Xero, Quickbooks and Sage.

Products And Features: Bank of Scotland Business Banking Services

The Bank of Scotland offers a range of business accounts catering to all banking needs. 

The information below highlights the key features of each Bank of Scotland Business Account.

Business Bank Account

Designed For: Startups and small to medium-sized businesses that want a comprehensive and adaptable banking solution.

Key Features:

• New business current account customers get free account fees for the first 12 months, then £8.50 per month after that. 
• Overdrafts up to £5,000 are available subject to application.
• Free access to the Business Finance Assistant MTD accounting software.
• Up to 100 free monthly electronic bank transfers from your account, then 20p afterwards.
• Ability to send money to most countries and schedule payments 2 to 30 business days in advance. 
• Free ATM withdrawals. 
• Account management options include online, via mobile app, in the branch or over the phone.
• Various cards are available, including a Visa contactless debit card, credit card and charge card. 
• You can deposit cash and cheques through the mobile app, in a branch or at the Post Office.

Treasurer’s Account

Designed For: Non-profit organisations and small community groups, including charities, churches, clubs and societies. 

Key Features:

• No fees for everyday banking as long as your account remains on credit. 
• You can manage your account online, through the mobile app or telephone banking, or at your local Bank of Scotland branch. 
• Able to access the Business Finance Assistant accounting software to simplify booking keeping.
• Ability to add additional signatory access 
• A dedicated business management team is available to provide banking support.
• Must have an annual turnover of less than £50,000

Foreign Currency Account

Designed For: Businesses that frequently deal with multiple currencies and need efficient management of international transactions, like import/exporters and multinational companies. 

Key Features:

• Annual fee of £24 for a Euro Current Account, or £60 for other currencies. 
• Only available for customers who hold a Bank of Scotland sterling business account. 
• It is not suitable for startups, small businesses with an annual turnover of less than £3 million, or large businesses with a turnover of more than £25 million. 
• Transparent pricing helps to reduce foreign exchange costs. 
• Send international payments via internet banking from £12 per transaction. 
• No charge for revicing electronic payments in Euros from the EEA or UK. 
• Business overdrafts are available in the most popular currencies and are subject to application.
• You can order a chequebook in most major international currencies.

Savings Accounts

This article primarily focuses on the Bank of Scotland’s current business accounts. However, it’s worth noting that they also offer a range of savings products for companies with surplus cash. These savings accounts include the Instant Access Savings Account, Notice Accounts, a Fixed Term Deposit and a Foreign Currency Fixed Term Deposit Account.

Pricing and Fees Breakdown

We’ve highlighted some fees for the different Bank of Scotland Business Accounts in the table below.

Feature	Account Fee	Transaction Fee	Debit Card Transactions Abroad
Business Bank Account	First 12 months free for new business current account customers. £8.50 per month after.	100 free electronic payments in a month. 20p after that.	2.75% non-sterling transaction fee
Treasurer’s Account	Free as long as you remain in credit.	Free	Free
Foreign Currency Account	£24 per year for Euro accounts or £60 per year for other currencies.	Varies based on method, currency, and destination. International transfers from £12.	2.75% non-sterling transaction fee

Bank of Scotland divides its fees into day-to-day banking and additional services. The Treasurer’s Account benefits from free day-to-day banking as long as your account remains in credit, but it is still subject to additional service charges, including international payments. 

International charges vary depending on the payment method, currency, and recipient destination. The Bank of Scotland website has more information; you can download the Pricing PDF.

Ease of Use and The Application Process

Account Management

Bank of Scotland offers comprehensive online and mobile banking services, making account management easy and accessible. 

Users can manage multiple business accounts in one place, make payments, and transfer funds with high transaction limits. The mobile app enhances convenience with secure login, cheque deposits, and transaction management. 

Additionally, Commercial Banking Online provides advanced tools for larger businesses, including extensive reporting, payment capabilities, and integration with back-office systems.

You can also use telephone banking, Post Office counters, and Bank of Scotland services to bank using your preferred method.

Applications

Applying for a Bank of Scotland account is designed to be straightforward. Both the Business Bank Account and the Treasurer’s Account can conveniently be applied online or by phone. 

However, to open a Foreign Currency Account, you must speak with a dedicated Relationship Manager before applying.

Safety and Security

The Bank of Scotland uses various security measures to ensure the safety and integrity of its customers’ accounts. These measures include:

• FSCS Protection: Eligible deposits up to £85,000 are covered by the Financial Services Compensation Scheme. 
• Online and Mobile Banking Security: Advanced authentication methods, such as automatic logouts, fingerprints, Face ID, or three digits from a memorable piece of information, help to reduce unauthorised access to your account.
• Fraud Prevention and Detection: An account may be temporarily disabled if it experiences multiple login attempts. Your account is also covered by the Fraud Guarantee, ensuring your money will be refunded if you have acted with due care.  
• Payment Security: The Bank of Scotland Secure service, offered in partnership with Visa International Services Association and Mastercard International, assesses each transaction and verifies card details automatically. In some cases, additional information, like one-time passcodes, may also be required.

What Bank of Scotland Customers Say

When writing this review, the Bank of Scotland had a “bad” average Trustpilot rating of 1.6 out of 5 based on 712 reviews. However, its mobile app has received significantly better reviews, earning 3.4 out of 5 based on 682 reviews on the Google Play Store and 3.8 out of 5 based on 419 reviews on the Apple App Store.

Positive Reviews

• Excellent service and friendly staff, especially in branches.
• The bank’s technology is praised for its reliability.
• Opening a business account is often described as straightforward and efficient.
• The mobile app is praised for its user-friendly interface and features like checking past statements and making payments without a card reader.

Negative Reviews

• There is significant dissatisfaction regarding the bank handling fraud cases, particularly with authorised push payment scams.
• Business customers frequently report difficulties opening and managing accounts, citing lost documents, unfulfilled promises, and poor communication.
• Users express frustration over the inability to set up new payees via the app, missing transaction references, and delays registering new devices.
• Updates often introduce problems such as transactions not showing up immediately or login difficulties.
• Many users experience long waits for solutions and unresolved issues, leading some to revert to desktop banking or consider switching banks.

Additional Information About Bank of Scotland

The Bank of Scotland has offered business banking services in Britain for over 250 years and was established in 1695 to increase international trade with Scotland. 

Based in Edinburgh, it has been part of the Lloyds Banking Group since January 2009 and has helped over 1 million businesses to manage their finances seamlessly. 

How Bank of Scotland Stacks Up Against The Competition

Feature	Bank of Scotland	Barclays	HSBC	RBS
Business Current Account Options	5	3	7	3
Overdraft Facility	Up to £5,000	Up to £50,000	Up to £30,000 – £100,000 depending on account	Up to £50,000
New Customer Free Account Offer	First 12 months	First 12 months	First 12 months	First 2 years
Mobile App	✅	✅	✅	✅
Accounting Integrations	Business Finance Assistant	FreshBooks	❌	FreeAgent
FSCS Protection	✅	✅	✅	✅
Learn More	Visit Bank of Scotland	Visit Barclays	Visit HSBC	Visit RBS

Bank of Scotland FAQs