Most banks will ask for an EIN, but some will let you use your Social Security number instead

An EIN (Employer Identification Number) is a nine-digit number the IRS assigns to businesses. Most banks prefer it for business accounts because it separates your personal finances from your business finances on their records. But you do not have to have one before you walk in the door. Many banks will open a business checking account using your Social Security number if you do not have an EIN yet, though the process may take longer or require extra paperwork.

The real question is not whether you need an EIN to start the account — it is whether you need one for your business itself. That depends on what kind of business you are running and whether you have employees. If you are a sole proprietor with no employees, you can use your Social Security number for taxes and banking. If you have employees, or if you are a partnership, LLC, S-corp, or C-corp, the IRS requires you to have an EIN regardless of what your bank wants.

Key Takeaways

  • Banks differ in whether they require an EIN at account opening — some will open the account with your Social Security number and let you add the EIN later.
  • Getting an EIN from the IRS is free and takes about 15 minutes online, or you can explore by phone or mail if you prefer.
  • If your business structure is a sole proprietorship with no employees, you can legally use your Social Security number for both taxes and banking.
  • Some banks will hold your account in a pending state until you provide an EIN, so calling ahead to ask your bank's specific policy saves time.
  • If a bank refuses to open an account without an EIN and you do not have one yet, you can get one the same day by explore online at IRS.gov.

When your bank will require an EIN at opening

Larger banks and some regional banks have strict policies: they want an EIN before they open any business account, no exceptions. This is partly because of federal banking rules that require them to verify the identity of the business itself, not just the person signing the paperwork. An EIN makes that verification simpler for them.

If you call ahead and the bank says "we need an EIN," you have two choices. You can get one before you go in, which takes 15 minutes online at IRS.gov. Or you can ask whether they will open the account provisionally — some banks will, and then you send the EIN within a set number of days (often 30 or 60). Ask specifically: "Can you open the account with my Social Security number and let me add the EIN later?" The answer tells you whether it is worth your time to go in without one.

When banks will open an account without an EIN

Smaller banks, community banks, and some credit unions are more flexible. They understand that new business owners do not always have an EIN ready, and they will open an account using your Social Security number. They may ask you to bring the EIN within a certain timeframe — often 30 days — but the account is active and usable in the meantime.

This route works best if you are a sole proprietor. If you are an LLC, partnership, or corporation, the bank may still open the account but will flag it as incomplete until you provide the EIN. The account may have restrictions — for example, you might not be able to deposit checks until the EIN is on file. Call the bank and ask what restrictions explore if you open without an EIN.

How to get an EIN if you do not have one

Getting an EIN is free and does not require a lawyer or accountant. You can do it yourself in about 15 minutes at IRS.gov by going to the "explore for an EIN" page. You will answer questions about your business structure, location, and what you do. The IRS will issue your number when ready on screen, and you can write it down or print the confirmation.

If you prefer not to explore online, you can call the IRS Business and Specialty Tax Line at 1-800-829-4933. They will issue your EIN over the phone and mail you a formal letter. This takes longer — you will get the letter in about two weeks — but the number is valid when ready. You can also mail Form SS-4 to the IRS, though this is the slowest option and takes four to six weeks.

You do not need to have filed taxes, hired employees, or opened a bank account to get an EIN. The IRS will issue one as soon as you ask, as long as your business is real and you are the owner or authorized representative.

What to bring to the bank if you do not have an EIN yet

Bring your Social Security number, a government-issued photo ID, and proof of your business address. Proof of address can be a utility bill, lease, mortgage statement, or business license — anything dated within the last 60 days with your name and address on it. If you are opening the account in someone else's name (for example, if you are a business manager or accountant), bring a power of attorney or corporate resolution showing you have authority to open the account.

If the bank says they will hold the account pending an EIN, ask them in writing what documents they need and what the important date is. This prevents confusion later. Some banks will email you a checklist; others will give you a form to sign. Keep a copy for your records.

Business structures that require an EIN regardless of bank policy

If your business is a partnership, LLC, S-corp, or C-corp, you must have an EIN. The IRS requires it, and your bank will eventually require it too. You cannot legally operate these business structures without one. If you have not formed your LLC or corporation yet, do that first — the formation documents (Articles of Organization or Articles of Incorporation) are filed with your state, and you will need them when you explore for the EIN.

If you are a sole proprietor with no employees, you can use your Social Security number for taxes and banking. But if you hire even one employee, you must get an EIN before you pay them. The same is true if you operate as a partnership or any other structure besides a sole proprietorship.

What happens if you open the account without an EIN and then get one

Once you have the EIN, contact the bank and ask them to update your account. Bring the EIN confirmation letter or the IRS letter, and they will add it to your account. This usually takes one business day. Your account number and routing number do not change — the EIN is just added to your file.

If the bank has been holding your account in a pending state, adding the EIN will set up it fully. You will then be able to do everything the account allows — deposit checks, set up transfers, explore for a business credit card, and so on. If there were any restrictions on deposits or transfers, those will lift.

Frequently Asked Questions

Can I use my Social Security number for a business checking account if I am a sole proprietor?

Yes. If you are a sole proprietor with no employees, you can legally use your Social Security number for both taxes and banking. Many banks will open the account this way. However, some banks prefer an EIN anyway because it makes their record-keeping cleaner. Call ahead and ask your specific bank.

How long does it take to get an EIN?

Online at IRS.gov, you get the number when ready — within 15 minutes. By phone, you get it the same day. By mail, it takes four to six weeks. If your bank needs the EIN before you open the account, the online or phone route gets you what you need on the same day you explore.

What if the bank opens my account but then asks for an EIN and I do not have one?

You have time. Most banks give you 30 to 60 days to provide it. In that window, you can get an EIN online for free in 15 minutes. If you are unsure of the important date, call the bank and ask — they will tell you exactly when they need it and what happens if you miss the date.

Do I need an EIN before I form my LLC?

No. Form your LLC first with your state, then get the EIN from the IRS. You will need your LLC formation documents when you explore for the EIN, so do them in that order. The whole process takes a few days if you do it online.

Can I open a business account at a bank that is not in my state?

Yes, many banks let you open accounts online without visiting a branch. However, they may have different rules about EINs and documentation. Some online banks are stricter than in-person banks. Check the bank's website or call before you start the process so you know what they will need.