High-Yield Reward Checking Account at Raritan Bay Federal Credit Union in New Jersey

Update 5/6/2011: The top rate is now 3.01% APY for balances up to $10,000. Refer to the bottom of the post for the rate history.

Raritan Bay FCU is offering a rewards checking account that pays 3.01% APY on balances up to $10,000 (0.50% for above) and refunds ATM fees nationwide if the following monthly requirements are met:

• 10 debit card signature-based purchases
• one direct deposit or ACH auto debit
• access online banking
• receive statements electronically while being enrolled in home banking and online bill pay

If these are not met, the rate falls to 0.10%. There is no minimum balance requirement and no monthly service fee. Multiple accounts can be opened, but requirements must be met for each account. Update 9/19/09: Even though the bank's FAQ says multiple accounts are allowed, a reader has reported that a CSR at the main bank's office has said that only one rewards checking account per SSN is allowed.

Membership is open to those who live, work, worship or attend school in Middlesex County, New Jersey. More eligibility details are provided in the online application (pdf). Membership requires a minimum deposit of $5 in the savings account.

The credit union is located in Sayreville, NJ. It's federally insured by the NCUA (Charter # 4726).

Thanks to the reader who emailed me news of this 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.

Rate History:

• 05/02/11: 3.01% APY up to $10K; 0.50% over; 10 debit card purchases per month
• 01/03/11: 2.75% APY
• 09/01/10: 3.25% APY
• 03/01/10: 3.50% APY
• 12/01/09: 4.01% APY up to $20K
• 03/01/09: 5.01% APY up to $25K; 1.01% over; 0.10% base; 8 debit card purchases per month