High-Yield Reward Checking Account at a Washington State CU (People's Community)

Update 4/8/2011: The top rate is now 2.75% APY for up to $50K.

People's Community Federal Credit Union is offering a reward checking account called Loyalty Checking. The yield is 2.75% APY on balances up to $50,000 (0.25% for over) and all ATM fees are refunded (up to $100 per month) if the following monthly requirements are met: 1) 10 debit card transactions, 2) 3 CU@Home and/or Bill Pay transactions, 3) Deposits of $350 or more, and 4) electronic statements. If these requirements are not met, the rate falls to 0.25%. The minimum initial deposit is $100.

Unlike the typical reward checking account, this one has the extra requirement of 3 bill payments per month. On the plus side, you're rewarded with higher interest rate and a higher cap than the typical 6.01% reward checking with a $25K maximum balance.

They also have a savings account with a yield of 7.50% APY, but the high yield is only for the first $750 balance. The yield is only 0.25% for balances over $750 (as of 4/8/2011).

Membership is open to anyone who lives, works or worships in Clark, Cowlitz or Skamania county. Please refer to their membership page for more details. Membership requires a one-time fee of $5 and a minimum deposit of $5 into the savings account. An online application is available that allows funding via ACH.

Branches are located in Vancouver and Battle Ground, Washington. The credit union is federally insured by the NCUA (Charter # 24713). It has $117.4 million in assets and 14,304 members.

Other Reward Checking Accounts

For other reward checking accounts in other parts of the country, please see my reward checking account page and my best checking account post. For a discussion of reward checking accounts and if the high yields can last, please refer to High Yield Reward Checking News and Reviews post.

Rate History:

• 11/05/10: 2.75% APY up to $50K; 0.25% over; 0.25% base
• 12/23/09: 3.25% APY up to $50K; 0.25% over; 0.25% base
• 12/11/07: 6.25% APY up to $50K; 0.25% over; 0.25% base