Bancorp South is offering a reward checking account called New Performance Checking that pays 3.00% APY on balances up to $30,000 (0.25% for above) and refunds ATM fees (up to five $3.50 transactions per month) if the following monthly requirements are met:
- 12 debit card purchases
- one ACH debit or credit
- be enrolled in internet banking and receive electronic statements
If these are not met, the rate falls to 0.25%. There's a minimum initial deposit of $500.
Bancorp South is listing this Performance Checking on their home page, but it doesn't seem to be listing the rate. I found the 4% mentioned in a Bancorp South ad in a Memphis newspaper. The small print of the ad does state that rates may vary by location.
Update 5/13/08: A reader has confirmed that top rate is not available at all locations. In middle Alabama, it's 50 basis points lower.
Bancorp South is the largest bank that I'm aware of that is offering a reward checking account. It has over $13 billion in assets and 287 offices located in 8 states (Alabama, Florida, Mississippi, Tennessee, Arkansas, Louisiana, Missouri and Texas). The bank has been FDIC insured since 1934 (FDIC Certificate # 11813).
Other High Yield Reward Checking Accounts
To find reward checking accounts in other areas of the nation or to learn more about these accounts, please refer to my High Yield Checking website.
Edit 1/02/09: Updated ATM fee refunds
10/22/09: 3.00% APY up to $30K (as reported by reader)
05/11/08: 4.00% APY up to $30K; 0.25% over; 0.25% base