3.56% Reward Checking Account on All Balances at City Bank New Mexico


Update 1/07/09: The top two yields have fallen to 3.56% APY and 1.51% APY. Please refer to the bottom of the post for the rate history.

City Bank New Mexico is offering a reward checking account that pays 3.56% APY on all balances and refunds ATM fees if the following monthly requirements are met:
  • 20 debit card purchases
  • 4 ACH debits or credits
  • one online bill payment
  • access your online account
  • receive electronic statements
If this is too much work, the bank has a secondary level with a yield of 1.51% APY if only the following monthly requirements are met:
  • 8 debit card purchases
  • one ACH debit or credit
  • access your online account
If neither of the above requirements are met, the rate falls to 0.16%. The minimum initial deposit is $50. There are no minimum balance requirements.

For those who don't like to keep large balances in your checking account, the bank offers Reward Plus which acts as a reserve account to the reward checking. It'll earn the same interest rate as the reward checking.

City Bank New Mexico and this reward checking account appear very similar to City Bank in Texas (see post). For that bank, you could apply online, but you had to reside in Texas. So if City Bank New Mexico is the same, anyone in New Mexico may be able to apply online. Please contact the bank to confirm.

Branches are located in Ruidoso and Carrizozo, New Mexico. The has been FDIC insured since 2001 (FDIC Certificate # 57302).

Other High Yield Reward Checking Accounts

Even though the interest rate of City Bank's reward checking account is lower than the average and it requires many more debit card purchases, the lack of a balance cap may make it worthwhile for some. There are no reward checking accounts that I'm aware of that have yields of 5% or higher with no balance caps.

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:
12/19/08: 3.56% APY for 20 debit req; 1.51% APY for 8 debit req
09/01/08: 4.07% APY for 20 debit req; 2.02% APY for 8 debit req
Anonymous   |     |   Comment #1
Rate effective 12/19/08 is 3.56% APY for the 20 debit requirement. For the 8 debit requirement the rate is 1.51% APY. Other rates remain same.