Devon Bank Kasasa Cash Continues To Be Near Rate Leader
I first wrote about Chicago-based Devon Bank's Kasasa Cash account six months ago. As rates (and balance caps) have been reduced on several nationally available reward checking accounts, the 3.50% APY on qualifying balances up to $10k has become more competitive. Qualifying balances over $10k earn 0.50% APY, with non-qualifying balances earning 0.05% APY.
When I first wrote about Devon Bank’s Reward Checking account in 2009, the rate was 4.15% APY on qualifying balances up to $20k and was only available in the Chicago area. A year later, the rate dropped to 3.01% APY. At some point in 2019, Devon Bank began offering Kasasa brand products nationwide, including a Kasasa Cash account earning an APY 49 bps higher than the now defunct Reward Checking account, but with a lower qualifying balance cap of $10k.
The Kasasa Cash monthly qualification requirements consist of:
- At least 12 debit card purchases (minimum $3 each)
- At least one ACH credit or direct deposit
- Be enrolled in online banking and agree to receive e-Statements
The Kasasa Cash account has no minimum balance requirement or monthly service fee, but does require a $25 minimum opening deposit. Nationwide ATM fees will be reimbursed up to $25 per month (maximum $4.99 per single transaction), if qualifications are met. There is a limit of one account per household. If the Kasasa Cash account is closed, any rewards that have not been credited to your account will be forfeited. A Kasasa Cash account is required to have a Kasasa Saver account.
Please note the following warning in Devon Bank’s Truth-in-Savings Disclosure:
Devon Bank reserves the right to determine if the account is being maintained for a purpose other than day-to-day, primary use. Accountholders who persist in making debit card transactions in a calculated and limited fashion in order to meet their monthly qualifications may have their accounts converted to a different checking account or closed altogether. We also reserve the right to convert the account to a different checking account if the account does not have consistent active use over 3 consecutive Statement Cycles.
Kasasa Saver Account
Devon Bank also has a Kasasa Saver account, a companion account to a Kasasa Cash or Kasasa Cash Back account. Each month, earned cash checking rewards are automatically transferred to the Kasasa Saver account. The Kasasa Saver account earns 1.25% APY on qualifying balances up to $50k; qualifying balances over $50k earn 0.50% APY, with non-qualifying balances earning 0.05% APY.
Annual Earnings On Combined Kasasa Cash/Saver Accounts
For the first tier rates, the maximum potential combined annual earnings of the Kasasa Cash (3.50% APY/$10k) and the Kasasa Saver (1.25% APY/$50k) is approximately $975 (1.625% APY/$60k).
The second tier rates (0.50%) are currently very competitive. The result is a competitive blended APY for larger balances. For example, assume a $10k balance in the Kasasa Cash and a $90k balance in the Kasasa Saver. The maximum potential combined annual earnings of the Kasasa Cash (3.50% APY/$10k) and the Kasasa Saver (1.25% APY/$50k + 0.50% APY/$40k) is approximately $1,175 (1.175% APY/$100k).
Kasasa Cash Back
Devon Bank’s Kasasa Cash Back account earns 2.00% cash back on debit card purchases, limited to the first $400 of monthly purchases. If you are planning on maintaining a balance under $2,800, the Kasasa Cash Back account would probably be a better deal than the Kasasa Cash account; the maximum annual earnings for the Kasasa Cash Back account is $96 ($8 per month).
The Kasasa Brand
For those not familiar with the Kasasa brand, Kasasa Cash is a type of Reward Checking Account (RCA) developed by the Texas company, Kasasa, Ltd. According to the Kasasa website,
Kasasa: the free checking account that rewards each month for doing things you already do.
By performing certain actions valuable to your bank or credit union, like using your debit card or online banking, your institution makes more money, which they share with you in the form of rewards.
In case you were wondering, “Kasasa” is just a made-up word.
In a world where real-life people are too often taken for granted as account numbers,
we didn’t want to be the next [INSERT GENERIC NAME] checking account.
Availability
Headquartered in Chicago, Devon Bank’s local market area is primarily Cook County, but its Kasasa brand product line (according to the online application) is offered to all is available to all U.S. citizens/resident aliens who have a valid Social Security number and live in Illinois.
Opening a Kasasa Cash/Kasasa Saver account can be done online. The lobbies at Devon Bank's three Illinois branch locations (Chicago, Glenview, and Wheeling) are temporarily closed to walk-in traffic, but appointments are available.
To make an appointment contact us at (847) 465-2500 or [email protected].
Bank Overview
Devon Bank has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 10.62% (excellent) based on September 30, 2020 data. In the past year, Devon Bank has increased its total non-brokered deposits by $11.89 million, an excellent annual growth rate of 4.56%. Please refer to our financial overview of Devon Bank (FDIC Certificate # 1945) for more details.
Devon Bank opened its doors for business in 1945 and was originally known as the Devon North Town State Bank. The founding members were local merchants from Chicago’s North Side (aka North Town) who saw the need for a community bank. Devon Bank has been owned and operated by the Loundy family since 1953, with a mission to “be the bank that the neighborhood demands—to tailor its service offerings to the particular needs of the community.” The Bank’s name was shortened to just Devon Bank in 1965, as its market area continued to expand. Devon Bank is currently the 119th largest bank headquartered in Illinois, with assets in excess of $372 million.
How the Kasasa Cash Compares
When compared to the High Yield Rewards Checking Accounts tracked by DepositAccounts.com that are available nationwide and have maximum qualifying balances of at least $10k, Devon Bank’s Kansas Cash APY currently ranks second.
The above rates are accurate as of 12/23/2020.
To search for the best Reward Checking Account rates, both nationwide and state specific, please refer to our High Yield Reward Checking Account Rates Table page.
