The list of nationally available reward checking accounts has shrunk again. Liberty Bank's reward checking is still offering 3.01% APY on balances up to $25K (as of 1/6/11). It was one the very few nationally available reward checking accounts still offering 3% for balances up to $25K. It's now limited to residents of Illinois and Missouri. The other bank to make a change is The Bank of Fayetteville. This was one of the few reward checking accounts with a $50K balance cap which helped offset the lower rate (2.25% APY as of 1/6/11). It's now limited to Arkansas residents. Update: Reader has received a letter from The Bank of Fayetteville that the $50K cap is falling to $25K effective 2/9/11.
The list of nationally available reward checking accounts with a 3% APY for balances up to $25K is now down to two banks. It used to be four banks. In addition to Liberty Bank, Southern Community Bank & Trust was on this list. It's still nationally available, but the rate has recently fallen to 2.25% APY for balances up to $25K. So here are the remaining two banks:
- Coulee Bank in Wisconsin. $264 million in assets. My first review was in 8/1/2007.
- Danversbank in Massachusetts. $2.62 billion in assets. My first review was in 4/8/2007.
The list becomes longer if you include reward checking accounts with balance caps under $25K. Two new additions have rates over 3%, but the rates only apply to balances of $10K or $15K.
Searching for the Best Rate in Your State
If you're lucky, there will be a local bank or credit union offering a reward checking account with yields higher than 3.00%. You can search for your state in our reward checking table. If it doesn't default to show your state, use the "Filter Accounts" button on top of the table to select your state. If you're curious to see the top yields regardless of the state, select "any". I just gave that a look, and there are still four 5-percent-plus reward checking accounts. The highest is 5.13% APY for balances up to $25K at United Mississippi Bank. This has held since June 2009.