North Middlesex Savings Bank has recently started a reward checking account it calls Max Checking. It pays 2.28% APY on balances up to $50K (0.25% over) and refunds ATM fees (up to $5) if the following monthly requirements are met: 1) 12 debit card transactions, 2) direct deposit of a pension, payroll or government issued credit, 3) access online banking once, and 4) receive account statement electronically. If these requirements aren't met, the rate falls to 0.25%. There are no monthly fees regardless of meeting these requirements. Minimum balance of $10 is required to earn interest.
Update 8/08/09: The bank also offers the Simply Savings Account which pays 2.75% APY on balances from $10 to $10,000 if monthly in-office $50 deposits are made.
Update 3/6/08: Please note these new restrictions on opening a Max Checking Account:
North Middlesex Savings Bank has limited the availability of its Max Checking Account to these towns; Ayer, Groton, Harvard, Littleton, Lunenburg, Pepperell, and Shirley, as well as Acton, Ashby, Bolton, Boxborough, Dunstable, Fitchburg, Lancaster, Leominster, Stow, Townsend, Tyngsboro, Westford; in New Hampshire, Brookline, Hollis, and Nashua.
Branches are located in Ayer, Groton, Littleton, Pepperell, Devens, Lunenburg and Shirley, MA. The bank has been FDIC insured since 1985 (FDIC Certificate # 90147).
Other Reward Checking Accounts
For other reward checking accounts in Massachusetts and other parts of the country, please see my reward checking account page and my best checking account post.
6/18/09: 2.28% APY for $10 to $50K
3/19/09: 3.01% APY for up to $50K; all else remains the same
1/27/09: 3.30% APY for up to $50K; all else remains the same
6/25/08: 4.08% APY for up to $50K; all else remains the same
3/21/08: 4.60% APY for up to $50K; 0.25% for above $50K; 0.25% if req's are not met
8/10/07: 6.25% APY for up to $100K; 0.25% for above $100K; 0.25% if req's are not met
Edit 11/08/09: Direct deposit is now the only option
Edit 1/06/09: reformated and updated history.