Why US-Registered Companies Fail to Open Bank Accounts? In-Depth Analysis of Underlying Reasons and Impacts

Why Don't Companies Registered in the U.S. Open Bank Accounts? A Deep Dive into the Reasons and Impacts

In recent years, as globalization accelerates and international business activities become more frequent, an increasing number of companies have chosen to register in the United States. However, an intriguing phenomenon has gradually emerged many companies registered in the U.S. have yet to open bank accounts. This situation has attracted significant attention, especially within the financial sector. This article will analyze its underlying causes from multiple perspectives and explore its potential far-reaching impacts on the economy and society.

I. The Main Obstacle Difficult Account Opening

Opening a bank account in the U.S. is no easy task. For newly registered companies, banks typically require comprehensive documentation to verify the company's legitimacy and financial stability. These documents include, but are not limited to, articles of incorporation, shareholder lists, tax records, and detailed business plans. In particular, small startups or companies with foreign backgrounds often struggle to meet these requirements due to insufficient historical data.

The strict enforcement of anti-money laundering laws AML and know-your-customer KYC policies also complicates the account-opening process. For instance, U.S. federal law mandates that all financial institutions must verify client identities and monitor suspicious transactions. While these stringent regulations help combat illegal fund flows, they deter some enterprises from proceeding. An unnamed lawyer mentioned in an interview that many companies would even pay higher fees to bypass these cumbersome procedures but still failed in the end.

It’s worth noting that recent media reports indicate that due to increased economic uncertainty caused by the pandemic, some banks have further tightened their credit policies. This makes it even harder for companies reliant on external financing to access necessary financial services. According to a Wall Street Journal report, a prominent investment analyst noted that banks have generally raised risk assessment standards; even well-established companies may face rejection risks.

II. The Contradiction Between High Costs and Low Returns

In addition to complex review processes, high costs are another major reason why many companies abandon opening bank accounts. In the U.S., most commercial banks charge various fees related to accounts, such as monthly fees, transfer fees, and minimum balance requirements. For smaller or newly established enterprises, these additional expenses can significantly increase operational burdens.

At the same time, considering the current low market interest rates, the returns provided by savings accounts are virtually negligible. Some businesses believe that instead of bearing unnecessary costs, they might as well use third-party payment platforms for daily settlements. For example, online payment services like PayPal have gained widespread popularity due to their convenience and flexibility. According to Statista statistics, by the end of the second quarter of 2025, more than 45% of small and medium-sized enterprises in the U.S. used digital wallets for transactions, an increase of nearly 8 percentage points compared to last year.

III. Rise of New Solutions Driven by Technology

Faced with challenges posed by traditional banking models, emerging tech companies have recently begun to introduce innovative products and services to fill market gaps. For instance, the rise of virtual currency exchanges has offered an alternative possibility for companies unable to obtain conventional banking services. Although regulatory bodies remain cautious about such activities, there is no denying that they have helped certain marginalized groups achieve cross-border payments and asset management functions.

Meanwhile, advancements in blockchain and distributed ledger technologies have created conditions for building decentralized financial service systems. Through tools like smart contracts, enterprises can automate clearing and settlement processes, significantly reducing intermediary costs. As CoinDesk columnist wrote Perhaps more enterprise ecosystems that can operate without relying on physical banking networks will emerge in the future.

IV. Potential Socioeconomic Consequences

If a large number of companies remain outside the formal financial system for extended periods, it could lead to a series of negative effects. First, this will weaken macroeconomic control capabilities. For example, lack of accurate corporate account information makes it difficult for fiscal departments to formulate precise tax incentive policies; secondly, unopened enterprises are more likely to fall into gray areas, thereby increasing social security risks; finally, this also reflects deep-seated problems in the entire industry ecosystem-how to balance innovation with development?

In summary, the phenomenon of U.S.-registered companies not opening bank accounts reflects multiple contradictions in the current financial market. To address this issue, not only do regulatory authorities need to introduce more inclusive policy measures, but also financial institutions should continuously optimize user experiences and provide more customized solutions. Only then can we truly promote healthy and stable global economic development.