4.00% Reward Checking Account at Bank Iowa, Altoona


Update 9/07/09: The top rate has fallen to 4.00% APY. Refer to the bottom of the post for the rate history.

Bank Iowa, Altoona is offering a reward checking account that pays 4.00% APY on balances up to $25,000 (1.00% for above) and refunds ATM fees nationwide (up to $3 per transaction) if the following monthly requirements are met:
  • 10 signature-based debit card transactions
  • one direct deposit or ACH auto debit
  • receive electronic statements
If these are not met, the rate falls to 0.10%. Minimum initial deposit is $100. There are no minimum balance requirements and no monthly fees.

It appears the bank only serves residents in their market area, in and around Altoona, Johnston, Newton and West Des Moines, Iowa. Bank Iowa, Altoona is part of the bank holding company called Bank Iowa Corporation. According to the bank,
Bank Iowa is a group of independent banks with 25 locations across the state. Each Bank Iowa offers the services of a large financial institution, but operates as a community bank in which decisions are made locally.

You can see other Iowa cities served by Bank Iowa's other banks at this page. The only other bank that lists a reward checking account appears to be Bank Iowa, Oskaloosa which serves the cities of Oskaloosa and Fremont.

Bank Iowa, Altoona has been FDIC insured since 1994 (FDIC Certificate # 33927).

Thanks to the reader who mentioned this reward checking account in the finding-the-best-deals post.

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:
08/26/09: 4.00% APY for up to $25K; 1.00% APY over $25K
06/17/09: 4.25% APY for up to $25K
05/14/09: 4.75% APY for up to $25K
04/06/09: 5.01% APY for up to $25K; 1.50% APY over $25K;
01/30/09: 5.01% APY for up to $25K; 2.00% APY over $25K; 0.10% if requirements not met
01/09/09: 5.51% APY for up to $25K; 2.50% APY over $25K; 0.10% if requirements not met
Anonymous   |     |   Comment #1
Lee County Bank and Trust which is located in Iowa lowered their rewards account to 3.01 today. Any rewards account below 4% is not worth the bother to me so I pulled my 25K out today. I guess I will try Valley Community Bank located in the Chicago suburbs. Thats close enough for me to drive to and they are paying 5.01 on 100K. Don't know how long that will last.
Anonymous   |     |   Comment #2
Amounts over $25K earn 2.0% APY.
Anonymous   |     |   Comment #3
Also, in addition the top rate is 5.01% APY.
Anonymous   |     |   Comment #4
Second tier has fallen to 1.50%.