Karat Financial, the fintech startup behind creator-focused credit cards, is taking the next leap with a new business banking product tailored specifically for content creators. The new offering, built in partnership with digital bank Grasshopper, is designed to serve the growing financial needs of independent creators who often find traditional banks confusing or exclusionary.
Fixing the Financial Gaps Creators Face
“Creators are real businesses, and banks don’t understand them,” said Karat co-founder and co-CEO Eric Wei. Despite earning millions and commanding huge influence online, creators still struggle to get even basic financial services. Many are denied credit or face rejections for routine purchases—even as their businesses flourish.
Wei recalled one such example: YouTube creator William Osman, with over 3 million subscribers, couldn’t get credit to fund his Open Sauce convention. Karat stepped in with the capital—and Osman quickly repaid it. That kind of support, Wei argues, wouldn’t have come from a traditional bank.
To date, Karat has extended over $1.5 billion in credit to creators, with average credit limits of around $25,000. But Wei said the demand has clearly grown beyond credit cards. “We’re working with creators who are also savvy entrepreneurs,” he said. “They’re asking: Why is it so hard to get proper treatment from a bank?”
High-Yield Accounts and Smart Features for Creative Entrepreneurs
The new banking product includes two tiers. The free tier offers FDIC-insured business checking accounts with automated tax planning—especially useful for creators who are typically classified as independent contractors.
For those looking for more, Karat’s premium banking service costs $20 per month or is free with a $35,000 minimum balance. It offers 2% to 3% APY on checking accounts, free wire transfers, priority customer service, and upcoming features like AI-powered bookkeeping.
“We know creators keep large amounts in checking accounts because of the industry’s unpredictability,” said Wei. “So we reward that with a meaningful APY, which most banks don’t offer. And we work closely with our banking partners to help them see creators as valuable, long-term customers.”
Karat’s vision doesn’t stop at banking. The company hopes to expand into offering insurance products, including health coverage for creator-led teams. “We’re building a new financial safety net for people who make money on their own,” Wei said.
As the creator economy matures, Karat’s tools aim to make managing money less of a mystery—and more like a business.
