Novo is entirely free with a single checking account plan, AI-assisted onboarding and categorization, and an option for business loans. Relay is freemium: its…
Best for Novo: Solo founders and small businesses who want one free checking account, AI-assisted expense categorization, and access to business loan options without any monthly fees.
Best for Relay Financial: Businesses that want to split funds across multiple checking sub-accounts (e.g., taxes, payroll, operating) with auto-transfer rules and are willing to pay for Grow or Scale to unlock higher savings APY and bookkeeping automation.
At a Glance
Novo
Relay Financial
Primary category
Finance
Finance
Rating
Not documented
Not documented
Pricing model
Free
Freemium subscription: free Starter tier plus paid Grow and Scale plans
Starting price
Free (no monthly fees on the core checking account)
Free (Starter plan); paid plans from $30/month (Grow)
Free plan
Yes
Yes
Free trial
Not documented
Yes
Platforms
Web, iOS, Android
Web, iOS, Android
Team collaboration
Not documented
Not documented
AI features
Yes
Not documented
Public API
Not documented
Not documented
Key Differences
Number of checking accounts
Novo: No sub-account structure is documented — Novo is presented as a single business checking account.
Relay Financial: Up to 20 checking accounts on the free Starter plan (50 on Scale) with auto-transfer rules between them.
Businesses that need to separate funds for taxes, payroll, or specific projects benefit from Relay's built-in multi-account structure.
High-yield savings
Novo: Not documented — no APY or savings yield is mentioned for Novo.
Relay Financial: APY ranges from 1.11% on the free Starter plan up to 3.00% on the Scale plan.
Businesses holding cash reserves may prefer a bank that pays yield on savings balances.
AI-assisted banking
Novo: AI-assisted onboarding and expense categorization, powered by Claude, OpenAI, and Gemini.
Relay Financial: No AI capability is mentioned in the facts.
Businesses wanting automated bookkeeping help out of the box may lean toward Novo's AI features.
Business loans
Novo: Offers business loan options, though rates and terms aren't published publicly.
Relay Financial: Not documented — no lending product is mentioned.
A business seeking financing alongside banking has one fewer vendor relationship to manage with Novo.
Businesses with significant card spend can factor cashback into total cost of banking.
Feature-by-Feature
Banking & Accounts
Feature
Novo
Relay Financial
Multiple checking accounts
Not documented
Available
High-yield savings
Not documented
Available
Free core banking
Available
Available
Cards & Payments
Feature
Novo
Relay Financial
Debit / credit cards
Available
Available
Cashback rewards
Not documented
Available
Invoicing
Available
Available
Automation & Integrations
Feature
Novo
Relay Financial
AI-assisted categorization
Available
Not documented
Accounting integrations
Available
Available
Business loans
Available
Not documented
Pricing
Feature
Novo
Relay Financial
Free trial on paid tiers
Not documented
Available
Paid tier for advanced features
Unavailable
Available
Pricing Compared
Starting price reflects the lowest paid tier, not the full cost for every team size or usage level.
Novo
Novo Business Checking — Free No monthly fee
Relay Financial
Starter — Free n/a
Grow — $30/month monthly
Scale — $90/month monthly
Pros & Cons
Novo
Pros
Genuinely free checking account with no monthly maintenance fees
Novo Reserves make it easy to set aside funds for taxes or savings without a separate account
Strong integrations with Stripe, Shopify, QuickBooks, and Xero for small business workflows
No fees for ACH transfers, insufficient funds, or debit card replacement
Modern, app-first user experience compared to traditional business banks
Cons
Not a bank itself, deposits are held through a partner bank rather than Novo directly
No interest-bearing checking or built-in high-yield savings option
Limited to a single core account type, less product breadth than some competitors like Mercury
Outgoing domestic wire transfers carry a fee
Customer support and dispute resolution can be slower than at larger traditional banks
Relay Financial
Pros
Free Starter plan with no monthly fees or minimum balance
Up to 50 sub-accounts for granular cash-flow organization
Direct QuickBooks Online and Xero sync for bookkeeping
Multiple free virtual and physical debit cards for team spend control
Competitive savings APY on higher-tier plans
No overdraft fees across all plans
Cons
Higher-value features like free wires, bill pay, and same-day ACH require paid Grow or Scale plans
Not a chartered bank itself; relies on partner bank infrastructure
No lending, credit card, or investment products offered
Detailed company headcount is not well publicized
Advanced automation features are reserved for the top Scale tier
Primarily focused on businesses with North American banking needs
Use Cases
Choose Novo: Solo founders and small businesses who want one free checking account, AI-assisted expense categorization, and access to business loan options without any monthly fees.
Choose Relay Financial: Businesses that want to split funds across multiple checking sub-accounts (e.g., taxes, payroll, operating) with auto-transfer rules and are willing to pay for Grow or Scale to unlock higher savings APY and bookkeeping automation.
Need both: A business could use Novo as a simple free operating account for day-to-day transactions while running Relay's multi-account structure for allocating and reserving funds — though most businesses evaluating these will pick one primary banking relationship.
Novo
Freelancer and solo entrepreneur banking — Independent contractors and freelancers separate personal and business finances with a free, no-minimum checking account.
E-commerce payout management — Online sellers use Novo Boost to get faster access to Stripe and Shopify payouts and track cash flow in real time.
Small business budgeting with sub-accounts — Small business owners use Novo Reserves to automatically set aside funds for taxes, payroll, or growth goals without opening separate bank accounts.
Relay Financial
Small business multi-account cash-flow management — Separate funds for taxes, payroll, and reserves across multiple dedicated checking accounts.
Team expense control with virtual and physical cards — Issue individual debit cards to employees with spend controls tied to specific accounts.
Bookkeeping automation via accounting sync — Automatically sync transactions into QuickBooks Online or Xero to streamline reconciliation.
Frequently Asked Questions
Is Novo really free?
Yes, Novo advertises free business checking with no monthly fees for the core account.
Is Relay free?
Yes, Relay's Starter plan is free and includes up to 20 checking accounts and 1.11% APY on savings.
Does Novo use AI?
Novo states it uses AI powered by Claude, OpenAI, and Gemini for onboarding and expense categorization.
How many checking accounts does Relay support?
Up to 20 on the free Starter plan and up to 50 on the Scale plan.
What APY does Relay offer?
1.11% APY on the free Starter plan, rising to 1.75% on Grow and 3.00% on Scale.
Who holds Novo deposits?
Novo banking services are provided by Middlesex Federal Savings, F.A., a Member FDIC bank.