Wells Fargo (NYSE:WFC) has introduced a unique FDIC-insured service for small business owners that automatically sweeps a portion of their checking account balance into an interest-bearing savings account over the weekend. The Business Weekend Sweep service is best suited for companies with an average balance of $40,000.
The new service sweeps funds exceeding $5,000 each Friday from the company's business checking account to the associated savings account to earn interest, then returns the funds Monday morning. Currently available to small business owners in California, Nevada, Texas and Washington, the service does not affect access to account balances.
"While the majority of sweep products are ideal for larger businesses and are not eligible for FDIC coverage, Wells Fargo is now helping more small-business owners maximize their funds with additional peace of mind," Kirk Clausen, Wells Fargo regional president in Nevada, said in a statement.