Thanks to a reader's email, I learned of LegacyTexas Bank and its high-yield reward checking account called LoneStar Checking. It doesn't have the best rates for a reward checking account, but it's competitive and it's currently available online to anyone in Texas. Below are the rates and features as listed in the bank's LoneStar Checking page as of 12/04/2012:
- 2.00% APY up to $25,000
- 0.01% APY over $25,000
- 0.01% APY on entire balance if requirements are not met
- Refund ATM fees within the Continental U.S.
The monthly requirements to qualify for the above rates and features include:
- 12 MasterCard Debit Card purchases (signature-based or PIN)
- Receive at least one ACH deposit
- Receive electronic statements
The minimum opening deposit is $100. There is no minimum balance, and there is no monthly service fee regardless of meeting the above requirements.
Availability - Texas Only
There's an online application link at the bank's LoneStar Checking page. This takes you to the loanspq.com website which is a common online application service used by many banks. You'll be required to enter your zip code, and if your zip code is within their market area, you'll be provided the LoneStar Checking as an account option. It appears that all Texas zip codes are currently in their market area.
LegacyTexas Bank branches are located in the Dallas/Fort Worth metro area.
The bank has an overall health score at DepositAccounts.com of 4 stars (out of 5) with a Texas ratio of 15.85% (average) based on June 2012 data. Please refer to our financial overview of LegacyTexas Bank for more details. The bank has been a FDIC member since 1963 (FDIC Certificate # 18843).
How This Reward Checking Compares
Texas has a lot of good reward checking deals. However, many are only available in certain areas of the state. One example is Coppermark Bank which currently has the best reward checking deal in the nation with a 4.00% APY for balances up to $25K. A branch visit is required to open this account. Branches are located in located in Oklahoma City, OK and in Dallas, TX.
Independent Bank of Texas currently has the best Texas-wide reward checking deal. However, the top rate is scheduled to fall from 3.00% to 2.55% on December 22nd. Also, the balance cap is scheduled to fall from $25K to $15K. Thanks to DA reader elarh who reported this in the DA forum.
These rates are accurate as of 12/04/2012.
Searching for the Highest Reward Checking Rates
You can find reward checking accounts available in your state by using our reward checking table. You can also use the table to find reward checking accounts available nationwide. Refer to this post to learn how to use the table.
To learn more about reward checking accounts, please refer to my post 10 Common Traits of High-Yield Reward Checking Accounts.