Difference between personal account and business account

Modified on Tue, 2 Jul, 2019 at 1:47 PM

In banking, personal account refers to the account owned by an individual or a couple if it's a joint-account. That type of account is intended to reflect the person's banking needs and obligations and is not transferrable.


Conversely, business account are opened by a business which is a separate legal entity from the person or persons owning the business. It is set in a manner so as to reflect the needs and obligations of the business rather than the owners themselves. And according to the type of legal entity (i.e. LLC, LLP, CORPORATION, LTD, PARTNERSHIPS, etc...) it represent, such account is organised in a manner to extract the best types of benefits attached to the business. Hope this answer helps.


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