Grasshopper Bank vs. BlueVine Bank: Which One is Right for Your Business?
You’re searching for the right bank for your business. How in the world do you find the time to sift through the dozens of choices, especially when they all have similar features, benefits, and perks?
That’s exactly why we decided to spend the time and do the work for you to compare dozens of banks — to help you make the best decision for your own business. We dive deep into each one, so all you have to do is read this blog!
We’re taking a moment to discuss how Grasshopper Bank compares to BlueVine Bank. They are both built with business banking in mind. They both offer lending as one of their main services. Grasshopper Bank and BlueVine Bank are both fully digital banks and have similar account and lending features and perks. However, one rises slightly above the other in certain aspects. We will break down those differing factors for you.
Quick Overview of Grasshopper Bank vs. BlueVine Bank
|Availability||Available in the U.S. and Canada||Available only in the U.S.|
|Standout Features||Business corporate credit card. Specific loans available. Automated bookkeeping. Integrates with QuickBooks. Online bill pay. Digital invoices.||Lines of credit available. High APY. Integrates with QuickBooks. Online bill pay. Up to 5 sub-accounts.|
|APY||1.51% on accounts with balances up to $25,000 and balances greater than $250,000; up to 2.25% APY on balances of $25,000 to $250,000||2.0% on accounts if you meet the monthly debit transaction or deposit requirements|
|Security||FDIC Insured||FDIC Insured|
|Card||Has a business credit card with 1.5% cash back available on a referral basis. Offers a debit card with 1% cash back.||Doesn’t offer a credit card. Offers a business debit card with cash back rewards.|
|Mobile App||Yes, available for Android and Apple. Also available on desktop.||Yes, available for Android and Apple. Also available on desktop.|
Grasshopper Bank Features
Grasshopper is digital banking that is built for businesses and provides specific large loans.
Grasshopper has account offers for three core areas: small businesses, startups, and venture capital & private equity.
For small businesses, they have a host of features built around your precise business processes, like online bill pay from your account, the ability to send digital invoices straight to customers, and instant check deposits. (Quite a few online banks don’t actually offer that last service, so this is unique.)
Grasshopper for small businesses also has built-in automated bookkeeping features, or if you already use QuickBooks for your accounting, it integrates seamlessly with that, too.
Finally, their small business offer comes with a free Visa debit card that earns 1% cash back on online and signature based purchases. Your checking account also is accompanied by a 1.51% APY, so that your money is making you money. They also offer fee-free withdrawals at 37,000+ MoneyPass and 8,500+ SUM ATMs nationwide.
For startups, Grasshopper also has all of the above features, but also makes an effort to help you scale your startup by identifying lending solutions that fit your business’s needs, offering pitch practice to potential investors, and hold office hours for you to speak to industry experts.
Grasshopper also caters to venture capital & private equity entities. They offer flexible financing solutions for all stages of your Fund, interest-bearing deposit accounts, 24/7 online treasury management, access to industry experts, and portfolio support.
As far as credit cards go, Grasshopper offers a corporate credit card on a referral basis only. They offer high-limit cards and 1.5% cash back on purchases.
Grasshopper also offers specific loans: small business administration (SBA), venture capital & private equity, commercial real estate, and yacht loans.
As a preferred lender by the Small Business Association, they offer SBA 7(a) and SBA 504 loans. For venture capital & private equity, they offer general partner (GP) term loans (up to 70% of GP’s commitment to the fund), capital lines of credit, management company working capital line of credit, and end of life facility loans.
Grasshopper’s commercial real estate loans start at $1,000,000 and provide liquidity lines of credit, and their yacht loans range from $1,000,000 to $10,000,000 with terms up to 20 years.
BlueVine Bank Features
BlueVine is also a digital bank that offers business checking and lines of credit.
Read 2023 Review
- Earn 2.0% APY on your balance up to $250,000 (50x the national average)
- Up to 5 free sub-accounts for flexibility and control over business budgeting See More Highlights
- Free & easy 100% online sign up (no minimum deposit)
- Zero monthly fees (no minimum balance required) and unlimited transactions
- Live customer support from dedicated professionals (A+ rated by BBB)
- FDIC-insured up to $250,000 through Coastal Community Bank (Member FDIC)
Their business checking was built with small businesses in mind. They have no monthly or overdraft fees and no minimum balance required. They feature a rather high-yield APY of 2.0% that is well above the national average. (They offer this APY rate if you meet certain monthly debit transaction or deposit requirements.)
Their online small business banking also comes with online bill pay, the ability to create up to 5 sub-accounts with designated account numbers, the choice to create separate logins for different members of your teams, no fees of any sort, and integrates with QuickBooks Online.
BlueVine also offers a business debit Mastercard. You can withdraw money fee-free at over 37,000 MoneyPass ATMS. In our research on their website, there was no mention of any cash back rewards in regards to their debit card.
Business Lines of Credit
Apart from business banking, BlueVine also offers lines of credit for businesses. They offer up to $250,000 with rates as low as 6.2%. You are able to draw the funds on demand, access to revolving credit as your credit line replenishes as you make payments, and your credit limit grows with your business. In order to qualify for BlueVine’s business loans, your business needs to have a 625+ FICO score, have been in business for over 2 years, and have a minimum $40,000 revenue per month.
General Comparison of Grasshopper Bank vs. BlueVine Bank
Both Grasshopper and BlueVine are digital banks that offer business checking and forms of credit. They both have no fees of any type, including no monthly fees, and their checking accounts also come with a free debit card. They also both integrate with QuickBooks.
They differ slightly in their checking account perks. Grasshopper has a 1.51% APY, while BlueVine boasts a 2% APY, which is very high compared to the norm. Grasshopper also offers a referral credit card, and BlueVine doesn’t offer a credit card.
They both offer lines of credit. However, Grasshopper offers 4 specific types of loans while BlueVine offers a large line of credit to qualifying businesses.
In regards to fees, both BlueVine and Grasshopper have no monthly, ACH, overdraft, or ATM fees at thousands of participating ATMS.
Availability by Region
We looked everywhere on Google and Grasshopper’s website to see if it is available for use outside of the United States. Being as there was no clear answer anywhere after our thorough research, we conclude that no, it’s not available for use outside of the U.S.
BlueVine is available in the U.S. and Canada, but they cannot accept or initiate international wires.
When it comes to banking, one of the top concerns is security. You want to know that your money is going to be safe, even if your information is stolen. You want to know that the bank takes your security seriously, and does everything they can on the I.T. side to protect your information.
As far as both banks being insured, they are both covered by FDIC. Grasshopper checking accounts are insured up to $250,000 through the FDIC, and BlueVine accounts are FDIC-insured up to $250,000 through a partner bank, Coastal Community Bank.
Both Grasshopper and BlueVine are fully digital banking apps and are available for both Android and Apple products. They both are also compatible with desktop.
Grasshopper has a 4.2 star rating for Androids, and a 4.5 rating for Apple. BlueVine has an Android rating of 4.5 and Apple rating of 4.7 stars.
Both Grasshopper’s and BlueVine’s checking accounts come with a free debit card, both of which give you cash back rewards.
You can withdraw money fee-free from your Grasshopper account withdrawals at 37,000+ MoneyPass ATMs and 8,500+ SUM ATMs. BlueVine offers fee-free withdrawals at over 37,000 MoneyPass ATMs, with an out-of-network fee of $2.50 per transaction.
Both Grasshopper Bank and BlueVine Bank offer credit cards as part of their services.
Grasshopper offers a corporate business credit card through their partnership with Ramp. Small and mid-size business clients can apply for a corporate card on a referral basis in as little as 15 minutes. As a bonus, clients will receive a $500 Amazon eGift Card after spending $1,000 within 30 days of account opening. This credit card offers 1.5% cash back.
Grasshopper also offers lending services. They provide loans for small business administration, venture capital & private equity, commercial real estate, and yachts.
BlueVine doesn’t currently offer a direct credit card. However, they do offer a line of credit for different large personal or business purchases up to $250,000 with interest rates as low as 6.2%. They also have an option for you to pay bills with a credit card through their app; you would just need to add your own credit card. If you pay a bill with a credit card through their app, there is a 2.9% fee per transaction.
How well a bank serves their clients and customers in the realm of customer service can make or break whether someone continues to choose to use them as their bank. Bad customer service can cause a bank to lose customers more than not-so-good perks can.
With that being said, Grasshopper offers call, email, live chat, or text in order to get in touch with them. Oddly, the hours and days of operation for each way to reach them isn’t mentioned on their website and wasn’t found with a simple Google search. When you click to chat with them, it takes you to a different partner website away from Grasshopper’s website. They do have a form you can fill out to get in direct contact with a Grasshopper team member.
BlueVine has phone and email listed as ways to reach them. Their phone lines are open M-F 8 AM - 8 PM EST. For email, they say they will “get back to you shortly,” so it is typical to expect a few hours wait during regular business hours. No live chat is available.
Both Grasshopper and BlueVine have an extensive help center that includes in-depth guides and FAQs.
Why Choose Grasshopper?
As with any big decision, the biggest deciding factor is how well the choice fits your needs.
Grasshopper fits the needs of a small business very well. One aspect that sets them apart from BlueVine is their self-accounting features: ability to send digital invoices to customers and clients, built-in automated bookkeeping software, and your account integrates with Quickbooks. They also offer SBA loans to small businesses and are a preferred lender.
They seem to also want to grow with your business and give you a boost to do so, as their accounts offer a 1.51% APY. Their debit card has a 1% cash back reward, while their corporate credit card has 1% cash back.
Why Choose BlueVine?
BlueVine was designed with business needs in mind. Within your checking account, you can create up to five sub-accounts, each with their own account number, for better categorizing according to your business’s needs.
They also offer a higher APY at 2.0% (an industry-leading percentage) for your checking account. However, you only receive this rate if you meet certain balance and transaction amount requirements. You must spend $500 a month using your BlueVine-issued debit card on qualifying purchases or receive $2,500 per month in customer payments into your BlueVine checking account or sub-accounts to qualify for the 2.0% APY. It states that if you do not meet these requirements, your account doesn’t yield any interest for that month. If you make a lot of purchases on certain things, and use your BlueVine checking account as your place where you deposit enough income, earning the 2.0% shouldn’t be an issue.
BlueVine also offers a revolving line of credit to qualifying businesses up to $250,000.
The bottom line is you need to consider which bank’s features best match the needs of your business. Both offer similar services, features, and perks, but it seems that Grasshopper may be better built for small businesses, if you fall into that category, as they have a decent APY and directly offer SBA loans.
If you would like to explore comparisons of other similar banks, check out our entire blog series here to help you decide which digital bank best fits your own business’s needs. Go here to start reading.
Business Banking Company Reviews
Recently Updated Articles