Starling Bank business banking review
Starling Bank is a UK-based digital bank known for its mobile-first approach, fee-free banking, and innovative business solutions. It provides personal, business, and joint accounts, making it a strong alternative to traditional banks.
Key features of Starling Bank
1. Personal and business current accounts
- No monthly fees: Free business and personal current accounts.
- FSCS protection up to £85,000: Ensures deposit security.
- Instant notifications: Real-time spending alerts and categorised transactions.
- Overdraft and credit facilities: Flexible lending options for eligible customers.
- Multi-user access for business accounts: Allows account delegation to team members.
2. International banking and payments
- Free UK bank transfers: Supports Faster Payments, BACS, and CHAPS.
- Low-cost international payments: Competitive FX rates with no hidden fees.
- Multi-currency accounts: Hold and send payments in GBP, EUR, and USD.
- Euro business account: Ideal for companies trading in the EU.
3. Savings and money management
- Savings spaces: Separate funds for savings without moving money out of the account.
- Round-up savings: Automatically rounds up transactions and saves the difference.
- Marketplace integrations: Connects with accounting software like Xero, QuickBooks, and FreeAgent.
- In-app budgeting tools: Tracks spending and manages cash flow.
4. Business banking and lending
- Business loans and overdrafts: Available for SMEs with flexible terms.
- Invoice financing: Unlocks cash from unpaid invoices.
- Expense cards: Issue additional debit cards to employees with set spending limits.
- Integration with accounting software: Automates bookkeeping processes.
Starling Bank fees and pricing
1. Current account fees
| Account Type | Monthly Fee | UK Transfers | ATM Withdrawals | International Transfers |
|---|---|---|---|---|
| Personal Current Account | £0 | Free | Free in UK, £0.50 abroad | Competitive FX rates |
| Business Current Account | £0 | Free | Free in UK, £0.50 abroad | Low-cost international payments |
| Euro Business Account | £2 | Free | Free | Competitive FX rates |
2. Additional service fees
- Cash deposits: £3 per deposit at the Post Office.
- International ATM withdrawals: £0.50 per withdrawal.
- Foreign currency transactions: Uses the Mastercard exchange rate with no additional fees.
Pros and cons of Starling Bank
Pros
- Fee-free personal and business banking.
- Strong mobile app with real-time notifications.
- No hidden foreign transaction fees.
- FSCS protection up to £85,000.
- Seamless integration with accounting software.
- Multi-user business accounts with expense tracking.
Cons
- No physical branches (fully digital bank).
- Cash deposits incur a fee at the Post Office.
- Limited lending options compared to high-street banks.
- Business euro accounts have a monthly charge.
How Starling Bank compares to competitors
| Feature | Starling Bank | Monzo Business | Revolut Business | Tide |
|---|---|---|---|---|
| Free UK bank transfers | Yes | Limited | Limited | Yes |
| Multi-currency accounts | Yes | No | Yes | No |
| FSCS protection | Yes (£85,000) | Yes (£85,000) | No | No |
| Business loans | Yes | No | No | No |
| Marketplace integrations | Yes | Yes | Limited | Yes |
| Ideal for | Freelancers, SMEs, travellers | Startups, freelancers | International businesses | Small businesses |
Who should use Starling Bank?
- Freelancers and self-employed professionals: Provides fee-free banking and integrations with accounting tools.
- Small and medium-sized businesses: Offers free business banking with multi-user access and expense tracking.
- Frequent travellers: No hidden fees on foreign transactions.
- Tech-savvy individuals: Enjoys mobile-first banking with strong security and budgeting features.
Our verdict
Starling Bank is a leading digital bank that provides fee-free, mobile-first banking solutions for personal and business users. Its real-time transaction alerts, competitive FX rates, and business-friendly features make it an excellent choice for SMEs, freelancers, and modern banking customers.
However, its lack of physical branches, fees for cash deposits, and limited lending products may not suit those who require in-person banking services. For those looking for a fully digital, cost-effective banking solution, Starling Bank remains one of the best options available in the UK.