Update 4/3/2011: The balance cap has fallen from $25K to $15K.
Southern Bank is offering a reward checking account called Kasasa Cash. It pays 5.01% APY on balances up to $15,000 (1.01% for above) and refunds ATM fees nationwide if the following monthly requirements are met:
- 12 check card purchases
- one direct deposit or automatic payment
- receive electronic statements
If these are not met, the rate falls to 0.10%. The minimum initial deposit is $100. There are no minimum balance requirements or monthly service charges.
Update 4/06/09: The bank has changed their policy an account availability. It's now only available to residents of Missouri and Arkansas. This account is listed at CheckingFinder with an online application, but only for zip codes in MO and AR. Refer to the bottom of this post for the history of the policy changes.
Also, a reader has reported being told by a bank rep that they have closed many accounts recently because "those customers only spent small amounts of money to get the interest", and that new customers have to promise to use it as their "primary checking account".
Branches are located in Missouri cities of Poplar Bluff, Dexter, Sikeston, Kennett, Doniphan, Van Buren, Qulin and Matthews. The bank has been FDIC insured since 1951 (FDIC Certificate # 28332).
Thanks to the reader who sent me email on this bank.
Other Reward Checking Accounts
Six percent reward checking accounts are getting harder to find, but there are still several out there. 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.
- 04/03/11: 5.01% APY up to $15K
- 06/01/09: The bank's name has changed from Southern Missouri Bank to Southern Bank
- 05/04/09: 5.01% APY up to $25K. Name changed from Premium Rewards to Kasasa Cash.
- 04/06/09: Available for residents in MO and AR.
- 01/09/09: Available for residents in MO, TN, KY, IL and AR
- 10/17/08: Available nationwide: 6.01% APY up to $25K; 1.01% over; 0.10% base rate