Update 8/11/2011: The rates have fallen. Refer to the rate history at the bottom for the change history.
Pioneer Bank in Dripping Springs Texas is offering a high-yield reward checking account called Pioneer High Yield Checking. The account has the following rates and features as of 8/11/2011 if certain monthly requirements:
- 2.76% APY for balances up to $25,000
- 1.00% APY for portion of balance over $25,000
- 0.05% base rate if requirements are not met
- Refunds of ATM fees
Monthly requirements include:
- 10 check card purchases
- 1 direct deposit or automatic withdrawal
- Receive e-statements
Other features of this account include:
- $100 minimum initial deposit
- No monthly fees
- No minimum balance requirement
Update 4/23/13: A reader reported in the forum that he was told by a branch manager that you have to live in their market area to open an account.
It's a small bank with its main branch located in Dripping Springs, Texas which is just south of Austin.
The bank's ratings for safety and soundness are strong: 4 stars (excellent) at BauerFinancial and 4 stars (sound) at Bankrate.com. Both ratings are based on 9/30/09 financial data. The bank has been a FDIC member since 2007 (FDIC Certificate # 58577).
Other Reward Checking Accounts
There are still nationwide reward checking accounts paying 4% (see post) and a few local accounts paying over 5% (see post). However, rates under 4% are becoming more common, and anything at 3% or above is a decent deal for reward checking rates.
To find nationwide reward checking accounts and reward checking accounts in your local area, please refer to the reward checking section of DepositAccounts.com.
- 8/11/2011: 2.76% APY up to $25K
- 5/02/2011: 3.01% APY up to $25K; 1.00% over
- 8/25/2010: 3.26% APY up to $25K
- 2/28/2010: 3.51% APY up to $25K; 1.25% over; 0.05% base rate