You can open a business bank account without an EIN, but the bank will ask for a different identifier instead

Most banks will not let you open a business account using only a Social Security Number (SSN) as your tax identifier. However, you have options. You can use your SSN as a temporary identifier while you wait for an EIN, use an Individual Taxpayer Identification Number (ITIN) if you are not a U.S. citizen, or in some cases use a state business license number. The path depends on your business structure and the bank's requirements.

The reason banks ask for a tax identifier is that they must report business account activity to the IRS. An EIN is the standard identifier for most businesses, but it is not the only one the IRS recognizes. If you have not yet received your EIN or do not plan to get one, you can still open an account — you just need to know which banks accept alternatives and what paperwork they will need.

Key Takeaways

  • You can use your Social Security Number as a temporary tax identifier when opening a business account, even if you do not have an EIN yet.
  • Some banks will let you open an account with an SSN and then update to an EIN later once you receive it.
  • If you are a non-citizen, you can use an ITIN (Individual Taxpayer Identification Number) instead of an SSN or EIN.
  • Sole proprietors are more likely to be able to use an SSN than partnerships or LLCs, because sole proprietorships do not require a separate tax identifier.
  • You will need to bring a government-issued ID, proof of address, and your business formation documents (if you have them) regardless of which tax identifier you use.

When you can use your Social Security Number instead of an EIN

If you are a sole proprietor — meaning you own the business by yourself and have not formed an LLC or corporation — you can use your SSN as your tax identifier. The IRS treats sole proprietorships as extensions of the owner, so your SSN is already your business tax identifier. Many banks will accept this without requiring an EIN.

If you are a sole proprietor but have not yet decided whether to form an LLC or corporation, you can still open the account with your SSN. Once you form a business entity and receive an EIN, you can contact the bank and update your account information. Some banks will do this over the phone or through their online portal; others may ask you to come in and sign new paperwork.

The catch is that some banks — particularly larger national banks — have policies requiring an EIN for any account labeled as a business account, even for sole proprietors. If your first bank says no, call a few smaller regional banks or credit unions in your area. They are more likely to accept an SSN for a sole proprietor account.

Using an ITIN if you do not have an SSN

If you are not a U.S. citizen and do not have a Social Security Number, you can obtain an Individual Taxpayer Identification Number (ITIN) from the IRS. An ITIN is a nine-digit number that works like an SSN for tax purposes. Many banks will accept an ITIN as your tax identifier when opening a business account.

To get an ITIN, you file Form W-7 with the IRS. You can file by mail or, in some cases, through an IRS-authorized acceptance agent. The process usually takes four to six weeks by mail. You will need to provide proof of identity and proof of foreign status — a passport or national ID card works for both. Once you have the ITIN, bring it to the bank along with your other business documents.

Some banks may ask additional questions if you are opening an account with an ITIN rather than an SSN or EIN. This is normal compliance procedure. Be prepared to explain your business structure and provide extra documentation if asked.

What documents you will need to bring to the bank

Regardless of which tax identifier you use, banks require the same core documents. Bring a government-issued photo ID (passport, driver's license, or state ID), proof of your current address (a utility bill or lease dated within the last 60 days), and your business formation documents if you have them.

If you are a sole proprietor with no formal business structure, you may only need your personal ID and address proof. If you have formed an LLC or corporation, bring your Articles of Organization or Articles of Incorporation and your EIN letter from the IRS (or a copy of your Form SS-4 if you have applied but not yet received the EIN). If you have a business license from your state or local government, bring that too — some banks ask for it.

If you are opening the account with an SSN because you do not yet have an EIN, tell the bank representative that you plan to get an EIN soon. Ask them what process you will need to follow to update the account once the EIN arrives. Some banks will give you a form to sign now that authorizes the update later; others will wait until you bring in the EIN letter.

Banks that are more likely to accept alternatives to an EIN

Credit unions and smaller regional banks tend to be more flexible about tax identifiers than large national chains. If you call ahead and explain your situation — that you are a sole proprietor or that you are waiting for an EIN — they can tell you immediately whether they will accept your SSN or ITIN.

Online banks are less predictable. Some online-only banks have strict policies requiring an EIN for any business account. Others are more flexible. Before you start the application, call their customer service line and ask directly: "Can I open a business account with my Social Security Number if I am a sole proprietor?" Write down the name of the person you spoke with and the date, in case you need to reference the conversation later.

If you have an existing personal account at a bank, start there. Many banks will let existing customers open a business account more easily than new customers, and they may be willing to work with you on the tax identifier question since they already have your information on file.

Getting an EIN if you decide you need one

If the bank you want to use requires an EIN, or if you decide you want one for other business reasons, you can get one for free from the IRS. The fastest way is to apply online at irs.gov using Form SS-4. The online application takes about 15 minutes, and you receive your EIN immediately — you can use it right away to open the bank account.

You can also apply by phone (1-800-829-4933), by fax, or by mail. Phone and fax applications usually take about four business days. Mail applications take two to four weeks. If you apply online or by phone, you will have the EIN the same day or within a few days, which is much faster than waiting.

You do not need to have formed an LLC or corporation to get an EIN. You can get one as a sole proprietor if you want to keep your business finances separate from your personal finances, or if you plan to hire employees. The EIN is free and does not obligate you to change your business structure.

What happens if a bank refuses to open an account without an EIN

If a bank says they cannot open a business account without an EIN, you have two choices: get an EIN (which takes 15 minutes online), or find a different bank. Do not let a bank pressure you into getting an EIN if you do not want one. Many banks will work with you if you ask, and if one will not, another will.

Before you give up on a bank, ask to speak with a business accounts manager or supervisor. Sometimes the person answering the phone does not know the full range of options available. A manager may be able to override a standard policy or explain a workaround that the first person did not mention.

If you are opening an account for a partnership or multi-member LLC, you will need an EIN — there is no alternative. The IRS requires these business structures to have their own tax identifier. But if you are a sole proprietor or a single-member LLC, you have options, and it is worth calling a few banks to find one that will work with you.

Frequently Asked Questions

Can I use my SSN if I have already formed an LLC?

No. Once you form an LLC, the IRS requires you to have an EIN, even if you are the only member. A single-member LLC can be taxed as a sole proprietorship for IRS purposes, but you still need an EIN to open a business bank account. You can get one online in 15 minutes at irs.gov.

What if I applied for an EIN but have not received it yet?

If you applied online or by phone, you have the EIN immediately and can use it right away. If you applied by mail or fax, you can call the IRS at 1-800-829-4933 and ask them to look up your EIN while you are on the phone. Bring your application confirmation number if you have it. You can then take that number to the bank and open the account.

Do I need an EIN if I am a sole proprietor with no employees?

No. As a sole proprietor with no employees, you can use your SSN as your tax identifier. However, many banks prefer to see an EIN on business accounts, so you may find it easier to get one anyway. It is free and takes 15 minutes online, and it keeps your business finances clearly separate from your personal finances.

Can I open a business account with just a business license and no tax identifier?

No. Banks are required by federal law to collect a tax identifier (SSN, ITIN, or EIN) for all business accounts. A business license alone is not enough. However, a business license is a good supporting document to bring along with your SSN or ITIN if the bank asks for additional proof that you are running a legitimate business.

What if I am a non-citizen without an SSN or ITIN?

You will need to get an ITIN first. File Form W-7 with the IRS by mail or through an authorized acceptance agent. The process takes four to six weeks by mail. Once you have the ITIN, you can use it to open a business bank account. Bring your ITIN letter, your passport or national ID, and proof of your business address.