Patriot Federal Credit Union’s (Patriot FCU) Dividend Checking account earns 2.00% APY up to $20k, but it’s not structured like the vast majority of Rewards Checking accounts. While stated APYs are usually dependent of meeting a variety of qualifying transactional requirements, the Dividend Checking account only requires a $2.5k minimum balance to earn the 2.00% APY.
Here’s how the qualifying requirements come into play:
To avoid a monthly service fee ($14.95) maintain an average daily balance of $2,500,
PLUS direct deposits of $1,500 15 completed debit card non-PIN purchases.
If you carry a large balance and don’t want to worry about Direct Deposits or debit card transactions, this might be the account for you. A $20k balance will earn approximately $33 in interest per month. The monthly fee service reduces your earnings to about $18, which is roughly the equivalent of a 1.08% interest rate.
The Dividend Checking account requires a $2.5k opening deposit and minimum balance. According to the Consumer Fee and Benefit Schedule page, ATM fee reimbursements are unlimited, but only at a rate of $1 per charge. There is also a $2 monthly Paper Statement Fee that can be “waived if ACH Direct Deposits of at least $500.00 are received during a calendar month.”
Headquartered in Chambersburg, Pennsylvania, Patriot Federal Credit Union’s field of membership (FOM) is residency based, with individuals who live, work, worship, attend school, or regularly conduct business in the Pennsylvania counties of Franklin or Fulton, the Borough of Shippensburg, or Washington County in Maryland eligible to join.
Joining Patriot FCU and/or opening a Dividend Checking account requires a visit of any of seven Pennsylvania branches, located in Chambersburg (6) and Waynesboro, or the two Maryland branches, both of which are in Hagerstown.
Patriot FCU’s online banking platform, e-Branch, is currently dedicated to account management and bill payment services (e-SMART). A new version of e-Branch, integrated with the Patriot mobile platform, will be operational in June.
Credit Union Overview
Patriot Federal Credit Union has an overall health rating of "A" at DepositAccounts.com, with a Texas Ratio of 4.30% (excellent) based on December 31, 2016 data. In the past year, Patriot FCU has increased its total non-brokered deposits by $1.48 million, an above average annual growth rate of 0.84%. Please refer to our financial overview of Patriot Federal Credit Union (NCUA Charter # 68395) for more details.
Patriot Federal Credit Union was originally established in 1965 as the Letterkenny Federal Credit Union, serving the employees of the Letterkenny Army Depot. At the end of the first three months of operation, there were 32 members and total assets of $3,317. Mergers with eight Pennsylvania and Maryland credit unions occurred between 1973 and 2014; the Patriot FCU rebrand happened in 1995, in an effort to better describe the growing diverse membership. In July 2000, Patriot FCU was granted a community credit union charter, allowing for an expanded FOM. Patriot Federal Credit Union is currently the 14th largest credit union headquartered in Pennsylvania, with more than 55,000 members and assets in excess of $558 million.
How the Dividend Checking Compares
When compared to the 29 High Yield Reward Checking Accounts tracked by DepositAccounts.com that are available within the FOM and have maximum qualifying balances of at least $20k, Patriot Federal Credit Union’s Dividend Checking APY currently ranks in the top seven. While the APY may seem a bit low, the lack of any qualifying requirements adds to its competitiveness.
The above rates are accurate as of 5/29/2017.