To open a bank account for a club, you need three things in hand before you walk into a bank: an Employer Identification Number from the IRS, governing documents that show the club exists as an organized group, and a resolution naming the people authorized to handle the money. With that packet ready, most clubs can have an account open within a week or two.
Get an EIN From the IRS First
No bank will open an organizational account without an Employer Identification Number. An EIN is a nine-digit number the IRS assigns to organizations for tax filing and reporting, and you apply for one using Form SS-4.1Internal Revenue Service. About Form SS-4, Application for Employer Identification Number (EIN) The fastest route is the online application at IRS.gov/EIN, which issues the number immediately. On the entity-type question, a club checks “Other nonprofit organization” and specifies the type.2Internal Revenue Service. Instructions for Form SS-4 (12/2025)
The application asks for a “responsible party,” which for a tax-exempt organization is typically the principal officer, often the club president. That person supplies their own Social Security number or ITIN. The responsible party is whoever ultimately controls or directs the entity and its funds.2Internal Revenue Service. Instructions for Form SS-4 (12/2025) Being named responsible party does not make that individual personally liable for the club’s finances; it tells the IRS who to contact. Once the EIN is issued, any interest the account earns is reported under the club’s tax profile rather than a member’s.
Gather the Documents the Bank Will Ask For
Banks want proof that the club actually exists as an organized group and that specific people have been authorized to manage its money.
Bylaws or a Constitution
Your bylaws or constitution should state the club’s name, purpose, and operating rules. Banks look specifically for a financial clause covering how funds are collected, who has authorized access to the account, and how withdrawals and deposits get approved.3Florida A&M University. How to Set Up an Organization/Club Bank Account A club structured as an unincorporated association can use articles of association in place of bylaws. Have the current officers sign and date the document.
Meeting Minutes Authorizing the Account
The bank needs written evidence that the group collectively decided to open the account. Minutes should record a motion to open the account, the vote approving it, the name of the chosen bank, and which officers are authorized to handle the funds.3Florida A&M University. How to Set Up an Organization/Club Bank Account These minutes protect the bank from claims that someone opened the account without the group’s knowledge, and they protect the club from unauthorized spending.
IRS Determination Letter, If You Have One
If the club has received federal tax-exempt status, bring the IRS determination letter. Social clubs typically qualify under Section 501(c)(7); community-oriented groups may fall under 501(c)(4). The letter helps the bank classify the account correctly and may unlock fee waivers or a nonprofit-specific product. Tax-exempt status is not required to open a club account. Plenty of informal clubs operate with just an EIN. If the letter exists, present it.
Consistent Names and Addresses
The club’s legal name, mailing address, and officer names should match exactly across the EIN confirmation, bylaws, and meeting minutes. Mismatches cause delays. If the club operates under a name that differs from what’s on the EIN, you may need to file a “doing business as” certificate with your local government before the bank will proceed.
Pick the Right Type of Account
A wrong account choice costs the club money every month. If the club has 501(c) status, ask specifically about nonprofit checking before settling for a standard business product. Truist, for example, offers a community checking account for nonprofits with no monthly maintenance fee and 225 free transactions per month.4Truist. Non-Profit Checking Account: Community Business Checking
Clubs without tax-exempt status typically use basic business checking. At Wells Fargo, the entry-level business checking account charges $15 per month, waived if the account keeps a $2,000 minimum daily balance.5Wells Fargo. Business Checking Accounts A book club collecting $50 in annual dues has very different needs than a booster club processing thousands in fundraiser revenue, so match the account to the club’s actual transaction volume.
Name the Authorized Signers Through a Banking Resolution
The board or membership needs to formally designate who can access the account. That’s done through a banking resolution: a document adopted by the board or members that names specific individuals and states what they can do, such as sign checks, make deposits, or initiate transfers. Include the club name, the bank name, the names and titles of authorized signers, the scope of their authority, and the date the resolution was approved.6Harvard Business Services, Inc. What is a Banking Resolution?
Each signer must provide personal identification to satisfy federal anti-money-laundering rules. Expect the bank to ask for a full legal name, date of birth, current residential address, and a Social Security number or other government-issued identification number.7U.S. Bank. Why Know Your Customer (KYC) for Organizations Most banks accept a driver’s license or passport as the photo ID.
Read the Signer Liability Fine Print
Signing on to a club account can create personal financial exposure. When you sign the bank’s account agreement and provide your Social Security number, you may be accepting liability for overdrafts and fees. If the club overdraws the account and can’t cover it, the bank may come after individual signers. Read the account agreement before signing, and make sure the club’s bylaws address how overdrafts and debts get resolved.
Open the Account
Most banks still prefer an in-person appointment with a business banker for organizational accounts. Bring the full packet: EIN confirmation, bylaws, meeting minutes, banking resolution, and each signer’s ID. The banker reviews everything, walks the group through the account agreement, and has each signer complete a signature card. The ESIGN Act allows electronic signatures for bank account openings, so some banks accept online applications where you upload scanned documents through a secure portal.8ProSight Financial Association. E-signatures: Answers to the 5 most common questions If a signer can’t attend in person, some banks accept a notarized signature.
You’ll need an initial deposit to activate the account. Chase has no minimum opening deposit; Wells Fargo requires $25.5Wells Fargo. Business Checking Accounts You can typically fund the account with cash, a check, or a transfer from another account. Deposit by check and be aware that new accounts face longer hold periods. As of July 2025, banks can hold amounts over $6,725 for up to seven business days, and new accounts under 30 days old may face extended holds on any check deposit.9Consumer Financial Protection Bureau. How long can a bank or credit union hold funds I deposited? Cash or an electronic transfer avoids the issue.
Once activated, the bank issues the new account number and routing information. Checks and debit cards usually arrive within a few business days, sometimes up to a week or more depending on security verification.
Set Up Internal Controls Before Money Starts Moving
The day the account opens is the right time to build in safeguards. Most embezzlement in small organizations happens because one person has unchecked access to the funds.
- Require two authorized signatures on any check above a set dollar amount, such as $250 or $500. Most banks won’t actually verify the second signature, so this works as an internal policy the club enforces, not a bank control.
- Separate the roles. Whoever writes checks shouldn’t be the same person who reconciles the bank statement. In a very small club, have a non-signer review statements monthly.
- Bring statements to every board meeting. The treasurer should present the bank statement and a transaction summary each month.
- Skip the debit card unless you truly need one. Debit cards bypass check-signing policies. If the club issues one, set a daily spending limit and require receipts for every transaction.
Update Signers Whenever Officers Change
Leadership turns over, and updating the bank account is one of the most commonly forgotten handoff tasks. A former president who is still an authorized signer has full legal access to the club’s money.
To add or remove signers, the board passes a new banking resolution naming the updated authorized individuals. Bring the new resolution to the bank along with personal identification for any new signers. The outgoing signer’s access is removed at the same time.6Harvard Business Services, Inc. What is a Banking Resolution? Build this into the annual officer transition checklist, ideally within a week of new officers taking their positions.
If a signer dies, the bank will need a death certificate to remove them. If an outgoing officer refuses to cooperate with the transition, the account can still be updated by presenting the new board resolution showing the current authorized signers. The bank’s relationship is with the organization, not with any individual.
Keep the Annual IRS Filing Current
If the club has 501(c) status, an annual filing with the IRS is required to keep it. Organizations with gross receipts of $50,000 or less can file Form 990-N, a free electronic postcard that takes about five minutes.10Internal Revenue Service. Form 990 Series: Which Forms Do Exempt Organizations File Larger organizations file Form 990-EZ or the full Form 990 depending on revenue.
The deadline is the 15th day of the fifth month after the close of the club’s tax year. For a calendar-year club, that’s May 15.11Internal Revenue Service. Annual Electronic Notice (Form 990-N) for Small Organizations FAQs: When to File There is no monetary penalty for filing late, but skip the filing for three consecutive years and the IRS automatically revokes tax-exempt status. That happens by operation of law with no appeals process.12Internal Revenue Service. Automatic Revocation of Exempt Status for Non-filing Reinstatement requires filing a brand-new exemption application. Put a recurring reminder on the club calendar.
Beneficial Ownership Reporting Does Not Apply Right Now
The Corporate Transparency Act initially required many small organizations to file beneficial ownership information reports with the Financial Crimes Enforcement Network. As of March 2025, FinCEN has exempted all U.S.-created entities from this requirement. Only foreign companies registered to do business in the United States still need to file.13FinCEN. Beneficial Ownership Information Reporting Organizations with 501(c) status were already exempt under the original rules. A domestic club has nothing to file. This area has changed multiple times in a short period, so check FinCEN’s website when forming a new club entity.