There is no person today that does not have a bank account. There are multiple benefits to having a bank account. Besides keeping your hard-earned money safe, there are other plus sides to having a bank account. let us know about Lloyds commercial account
Majorly bank accounts are categorized into two sections. Personal Bank Account and Commercial bank account. All primary banks in the country offer these two bank accounts, including Lloyds. There are four different types of commercial accounts with Lloyds.
In the article, we will oversee what Lloyds is and some of the commercial accounts with Lloyds bank. However, it is essential to understand what commercial accounts are.
What are commercial bank accounts?
A commercial or a business bank account is an account that organizations and firms go for. This type of account can be a checking account or even a demand deposit. This way, the deposited money can be withdrawn anytime.
Lloyds Bank plc (Public Limited Company) is a bank that provides personal and business accounts. Lloyds was founded in the year 1765. John Taylor and Sampson Lloyd are the founders of Lloyds Bank. Earlier, the bank was known as Lloyds TSB Bank plc.
It was founded in Birmingham. However, the headquarters are 25 Gresham Streets, London, United Kingdom. The Lloyds bank offers personal accounts, commercial accounts, and different insurances.
A business can register with four different types of commercial accounts. The four types are as follows:
- Small Businesses and start-ups
- Larger Businesses
- Schools and community groups
- Professional practices
All four types of commercial accounts are explained below:
Small businesses and start-ups
Small businesses can also open Lloyds Bank accounts for their day-to-day business activities, including financial transactions.
The bank account needs to be opened by a sole trader or a small business proprietor. The annual turnover of the business should be less than £3 million. Another requisite is that the applicant needs to be of legal age.
The features of the small businesses account with Lloyds Bank include Free day-to-day business banking for a year, free electronic payments, and straightforward pricing; they also provide help and support for any query that you have.
All the necessary documents must be submitted with the application form for proper processing. The consultant at the bank will let you know about all the documents required.
Larger businesses can also have their commercial account with Lloyd bank. They are a few requisites like the requirement for only business. It is also essential that the business’s annual turnover be at least between £3 million to £25 million.
Other requisites include that the business might need lending. The lending needs have to be over £250,000. The large business will also access an extensive range of business products.
Large businesses can get many other benefits by opening a commercial account with Lloyds. The benefits include expert support and access to additional savings and deposit accounts.
Schools and community groups
Commercial bank accounts are no longer only for big organizations; arrangements like schools and unions can also access commercial accounts and their services.
Three different accounts can open under Schools and community groups.
- School Account – A state-funded school can use the school account. Another Independent and private school can contact the bank consultants for further assistance.
- Credit Union Account – Credit unions play an essential role in supporting local communities, and hence Lloyds bank provides support and services specially designed for Credit unions.
- Treasurer’s Account – Non-profit organizations also need banking services to take care of everyday business. The non-profits include churches, charities, or social clubs.
Certain practices might not have premises like an established registered organization, but they still work and might need an account for commercial purposes. Professionals like Insurance agents, advocates, etc., can use the professional practice account from Lloyds bank.
There are many features and benefits that professionals can get from Lloyds. Professionals can easily hold funds from different clients in a segregated account. The interest gets accrued daily and is paid every month. The deposit limit is from £1 to even £5 million.
However, as different professionals’ practice is different, the terms and conditions will also vary from one professional to another.
Lloyds bank is known for the banking and financial services that they provide. The best way to find out what will suit your business better, you can visit any bank and get expert advice.
Having a commercial account is excellent as it will have features that a business needs and will not get from a personal account.
I have just started my business. Can I get a commercial account with Lloyds?
Ans: Yes, you need to submit all the documents concerning your business turnover and identity.
Can I open an account with Lloyds online?
Ans: Yes, you can open a commercial bank account with Lloyds. You will have to create an account on the website and log in before proceeding.