Update 7/24/2015: The Kasasa Cash balance cap has been raised from $10K to $25K.
Iowa State Bank has a nationally available Kasasa Cash checking account that earns 3.25% APY on qualifying balances up to $25K, with qualifying balances over $25K earning 0.30% APY. Non-qualifying balances earn 0.05% APY.
According to Iowa State Bank’s Kasasa Cash page, the qualifying requirements are as follows:
- Have at least 10 debit card purchases post and settle.
- Have at least 1 automatic payment (ACH) or direct deposit post and settle.
- Be enrolled and review eStatement.
The minimum opening deposit is $1, with a limit of one account per Social Security Number. There are no monthly fees on the Kasasa Cash checking account and no minimum balance required to earn rewards. Domestic ATM fees will be reimbursed up to $20 per qualification cycle; ATM receipts must be presented for reimbursement on fees of $5 or above.
"Monthly Qualification Cycle" is defined as a period beginning one day prior to the first day of the current statement cycle through one day prior to the close of the current statement cycle. Iowa State Bank provides a helpful calendar that clearly shows the parameters of the Monthly Qualification Cycle.
Thanks to the observant DA member who alerted me to this deal!
Update 1/28/2015: This account is no longer nationally available. The bank's online application now states "To open an account online with Iowa State Bank you must be a resident of the state of Iowa, Nebraska, Minnesota or South Dakota."
Update 1/28/2015: The reader emailed me about his experience opening an account. The bank mailed forms to him that required a notarized signature. He also had to mail them a color photocopy of his driver’s license and a photocopy of his Social Security card. Once the bank receives the documents, they will initiate the ACH funding and mail him a letter to allow him to set up online access.
With eight branches located in the northwest corner of Iowa, Iowa State Bank’s Kasasa Cash checking account is available to
all U.S. citizens, 18 years and older. This account can be opened online, or at any of the branches located in Orange City, Hull, Ireton, Le Mars, Paullina, Sanborn, Sheldon, and Remsen. (As with so many other online applications, Iowa State Bank’s application process is time sensitive, so I have not included a direct link.)
Minors, resident aliens and non-resident aliens interested in opening a Kasasa Cash checking account need to contact Iowa State Bank directly to apply.
N.B. There is no guarantee that a community oriented bank like Iowa State Bank will continue to offer this Kasasa Cash checking account on a nationwide basis, particularly considering the very attractive 3.25% APY.
Iowa State Bank has an overall health rating of "A+" at DepositAccounts.com, with a Texas Ratio of 3.04% (excellent), as of September 30, 2014. In the past year, Iowa State Bank has increased its total deposits by $99.69 Million, an excellent annual growth rate of 30.53%. Please refer to our financial overview of Iowa State Bank for more details.
Iowa State Bank (FDIC Certificate # 13953) celebrated its 135th anniversary last year. It would be almost impossible to summarize Iowa State Bank’s varied history of bank purchases, mergers and growth in a couple sentences. Suffice it to say, the original bank formed by the Baumann Brothers (and named after themselves) with $35K in capital stock has grown into today’s Iowa State Bank with assets in excess of $509 Million.
How the Kasasa Cash Account Compares
When compared to other reward checking accounts tracked by DepositAccounts.com, with maximum balance caps of $10K and nationally available, Iowa State Bank’s Kasasa Cash is highly competitive:
The above rates are accurate as of 1/12/2015.
To find the best rates on liquid accounts in your state or that are nationally available, please refer to our high yield checking account rate table and personal checking account rate table. When using the table, make sure the Deposit Amount selected in the "Customize Your Search" section matches the balance cap in which you’re interested.