Takeaways
- Grasshopper Bank offers a digital and tech-forward approach to banking.
- The Innovators Savings Account can earn up to 3.55% APY on your savings.
- Grasshopper Bank is FDIC-insured and allows online deposits and transfers.
- There are no monthly service charges or overdraft fees on approved accounts.
- Grasshopper Bank’s suite of savings and deposit accounts helps startups and small businesses with their banking needs.
If you are one of the 55% of Americans who use your phone to do the majority of your banking and you have a business, Grasshopper Bank's Innovator Money Market Savings Account could be the right product for you.[1] This modern, digital-only banking option is designed specifically for small business owners, startups, and entrepreneurs.
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Overall Savings Account Review
Best for: Startups, small businesses, or early-stage companies who want a digital-first approach to their banking experience.
What we liked: First, we love Grasshopper Bank's digital-first approach to its suite of business banking products. In today's startup ecosystem, this unique approach molds nicely with the reality of today's startup founders and small businesses. The Innovator Savings Account offers a super generous APY of up to 3.55%. To our team's delight, this comes with no minimum balance requirement or monthly fees. Plus, you can open an account with just $100. To get up and running, you only need a few days, and you can seamlessly integrate your savings accounts with small business accounting solutions.
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On Grasshopper’s Website
Innovator Business Savings
Smart Money Rating:Â 4.9/5
Best For: Small Businesses and Startups
Minimum Opening Deposit: $100
APY: 1.80% – 3.55% (Terms Apply)
What Is Grasshopper Bank?
Grasshopper Bank was established in 2019 and is headquartered in New York. As a pioneer in the digital-only banking ecosystem, it sets itself apart by serving early-stage startups, small businesses, and the growing class of entrepreneurs and business owners with a digital-first approach to banking.
Unlike traditional brick-and-mortar banks, Grasshopper operates entirely online and does not have physical bank locations. All of its services are offered through its easy-to-use mobile app and online platform. Grasshopper offers customers first-rate checking accounts, savings accounts, debit cards, and access to partnerships for business credit cards.
At a Glance: Grasshopper Bank Savings
Grasshopper's savings product is called the Innovator Money Market Account. It blends the flexibility of a savings account with features commonly found in checking accounts, such as easy transfers and online banking access.
Here is a quick look at the account's key features:
- Annual Percentage Yield (APY): Earn up to 3.55% APY on balances of $25,000 and up.
- Minimum Balance Requirement: A $100 minimum is required to open an account, but after account opening, there are no minimum balance requirements.
- Monthly Fees: None
- Access: Online-only access with mobile banking tools and customer support.
- FDIC Insured: Yes, up to $125M (terms apply)
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APY Based on Savings Deposits
Here is a snapshot of the tiered APYs based on the funds in your Grasshopper Innovator Business Savings Account:
| APY | Account Deposits |
|---|---|
| 1.80% | $0.01—$24,999.99 |
| 3.55% | $25,000 and more |
Source: Grasshopper Bank Website
How to Open a Grasshopper Bank Savings Account?
Opening a savings account with Grasshopper Bank is a straightforward and entirely online process. Here is how to get started:
1. Start Your Application: Visit the Grasshopper Bank website and navigate to the "Small Business Savings" page.
2. Open an Account: Click "Open an Account" to begin the application process.
3. Provide Necessary Information: You will need to provide your name, email, and phone number to start the process. Applicants must be U.S.-based business owners with a valid tax ID.
4. Fund Your Account: Once your application is approved, you can connect an existing business checking account to fund your new savings account. This process is secure and straightforward, ensuring that your funds are transferred safely and quickly. You will need to deposit $100.
5. Start Business Banking: Once your account is funded, you can manage your account via Grasshopper's mobile app or desktop dashboard.
The good news is that no credit check is required to get your Grasshopper Innovator Savings Account up and running.
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Where Grasshopper's Savings Account Shines
- Competitive Interest Rates – Perhaps the most appealing feature is the up to 3.55% APY, which is considerably higher than the national average for business savings accounts. This rate applies to balances of $25,000 and up, making it an excellent option for businesses with significant cash reserves. Even if you do not hit that balance threshold right away, the lower-tier APYs still beat most traditional banks. (Read more about How to Choose the Best Bank).
- No Monthly Fees – Grasshopper Bank's Innovator MMA has no maintenance fees, no minimum balance fees, and no banking service charges.
- Digital Experience – Grasshopper's mobile app and online portal are not only modern and easy to navigate, but also are designed to put you, the busy entrepreneur, in control. You can track balances, transfer funds, and access customer support—all without the need to visit a branch.
- Fast Setup and Access – With Grasshopper Bank, most accounts are approved quickly, often within the same day. Once approved, you can link your business checking account and begin transferring funds immediately.
- Enhanced FDIC Insurance – With Grasshopper Bank, your deposits are insured up to $125 million through a series of FDIC-insured banks. This offers peace of mind and confidence that your business savings are protected.
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Where Grasshopper's Savings Account Can Improve
- APY Tiers May Require Higher Balances – While the headline 3.55% APY is impressive, it only applies to balances above $25,000.[2] If you keep a lower balance in the account, your rate may be lower. For tiny businesses or startups that are still building cash flow, this might reduce the account's appeal.
- No ATM or Branch Access – Because Grasshopper is a digital-only bank, there is no access to ATMs or physical branches. That may be a drawback for business owners who prefer face-to-face support or the convenience of making cash deposits.
- Limited Product Offerings – Grasshopper Bank focuses primarily on business checking and savings accounts. If you are looking for merchant services or payroll tools bundled together, you will need to use another provider for those specific needs.
- Business Use Only – The Innovator MMA is intended for business banking purposes only, not for individuals. (Read our recommendations for the Best Online Checking Accounts).
- Industry Limitations – Grasshopper Bank does not work with proprietors in the following industries: virtual currency, gambling, illegal substances, adult entertainment, or weapons and firearms. If your business falls into one of these categories, this account is not available to you.
Smart Summary
Grasshopper Bank's Innovator Money Market Account is a standout option for business owners who want to grow their cash reserves while keeping costs low. With an APY of up to 3.55%, no monthly fees, and a fully digital setup, it's ideal for tech-savvy business owners who manage most of their finances online. Grasshopper Bank offers an efficient, high-yield solution that checks all the right boxes.
Smart Money requires our expert writers to rely on trusted primary sources—academic research, government reports, expert interviews, original reporting, and peer-reviewed data—to deliver precise and up-to-date content. All of our content is thoroughly fact-checked. We also incorporate relevant research from reputable publishers when it aligns with our editorial focus. For a closer look at our rigorous journalistic standards, explore our editorial guidelines.
(1) American Bankers Association. National Survey: Record Number of Bank Customers Use Mobile Apps More Than Any Other Channel to Manage Their Accounts. Last Accessed July 12, 2025.
(2) Grasshopper Bank. Innovator Savers. Last Accessed July 12, 2025.
