Update 7/11/2012: The top rate has fallen to 2.50% APY.
Capital Educators FCU is offering a rewards checking account called High Yield Checking. It pays 2.50% APY on balances up to $10,000 (0.20% for above) and refunds nationwide ATM fees up to $25 per cycle if the following monthly requirements are met:
- 12 signature-based debit card purchases
- one direct deposit or ACH automatic payment
- receive electronic statements
According to the account FAQ, there's a limit of one High Yield eChecking account per main member social security number. So you can't open multiple accounts to earn the high yield on more than a $25K balance. Many credit unions and banks offering reward checking accounts don't have this restriction.
Membership is open to employees and students of schools and universities in several counties of Idaho. Membership is also open to those who join the Idaho CapEd Foundation as a Sustaining Member Volunteer. Please refer to the credit union's Who Can Join Page for the full details. Membership requires a minimum balance of $5 in the regular share savings account.
Branches are located in the Idaho cities of Kuna, Meridian, Nampa and Boise. The credit union is federally insured by the NCUA (Charter # 1040).
Thanks to the reader who emailed me news of this reward checking account.
Other 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.
07/03/12: 2.50% APY for up to $10K, 0.20% over, 0.05% base
05/07/09: 4.08% APY
03/09/09: 5.01% APY
02/12/09: 5.25% APY for up to $25K; 1.00% over; 0.10% base rate