As mandated by the Dodd-Frank Act, on July 21 Reg Q, which hasprohibited banks from paying interest on business checking accountssince the 1930s, will disappear. But thanks to low interest ratesand unlimited deposit insurance available on non-interest-bearingaccounts until 2012, banks expect don't expect a huge dash forinterest-bearing accounts.

Citi plans to offer interest-bearing accounts to businesscustomers, and expects no more than1% to 2% of corporate andinstitutional balances to shift to interest-bearing demand depositaccounts, says Michael Berkowitz, head of North American liquidity,investments and information services at Citi Global TransactionServices.

“There are already so many investment options out there thatenable a client to get a return on their balances,” Berkowitzsays.