Update 4/19/2010: The top rate has fallen to 3.00% APY.
- 3.00% APY on balances up to $25,000
- 1.00% on all amounts above $25,000
- 0.05% base rate if requirements are not met
- Unlimited nationwide ATM fee refunds
The monthly requirements include:
- 12 debit card purchases
- One direct deposit or ACH auto debit
- Receive e-statements
Additional rates and features of the account regardless of the monthly requirements include:
- $100 minimum initial deposit
- No minimum balance requirement
- No monthly service charge
- Free Online Bill Pay
Update 12/8/2010: The bank no longer accepts applications from outside their business area. There's an online application, and according to the CSR, they can accept applications from any state. However, they do require some things to be mailed (copy of driver's license and copy of social security card), and they also require a notarized signature card. Note, small banks often change their availability policy for these accounts. Make sure to check with the bank for the latest policy.
The bank is headquartered in Kingman, Kansas. It also has Branches in Anthony and Wichita.
The bank's ratings for safety and soundness are above average: 3½ stars (good) at BauerFinancial (based on 6/30/09 data) and 4 stars (sound) at Bankrate.com (based on 3/31/09 data). The bank has been a FDIC member since 1934 (FDIC Certificate # 13157).
Thanks to the reader who emailed me info on this reward checking account.
Other Reward Checking Accounts
As I mentioned above, banks which offer their reward checking accounts nationwide often change their policies and restict new applications to their local market area. We'll see how long this policy at KANZA Bank lasts. A 4% rate is not a hot rate for reward checking accounts. As you can see in my nationwide list, there are many with 4% rates as of 9/29/09. Also, the $25,000 balance cap is very common. There are only three nationwide 4% reward checking accounts with a $50,000 cap.
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.
04/19/10: 3.00% APY up to $25K
09/29/09: 4.00% APY up to $25K; 1.00% over; 0.05% base