Interest Bearing Checking Accounts
There are many financial institutions that provide interest bearing checking accounts. Higher interest is, of course, relative. The sum of cash you maintain inside your checking account is most likely modest when compared with your total portfolio when, at present, interest rates are fairly modest.
An interest bearing checking account is a checking account that earns interest returns on the available balance in the account. The minimum balance requirement for a checking account that bears interest is usually higher, and fees are often charged when the account balance dips below the required minimum balance.
The interest rate is typically lower than certificates of deposit or even regular savings account. Checking accounts that bear interest give the account holder check writing privileges and encourage account holders to maintain a high balance in the account in order to generate more interest income.
An interest bearing checking account can be a good idea if you have thousands of dollars that you need to keep accessible but do not necessarily need to use immediately. The interest generated in an interest bearing checking account is nominal at best, with the present financial circumstance.
While minimum balance may differ from bank to bank, there are minimum account opening and balance requirements that can amount to thousands of dollars.
Most online banking institutions offer better interest rates than brick and mortar bank rates, and can come with a good amount of benefits.
EverBank has a 2.25% 3 Month Bonus Rate offered to first-time Yield Pledge Checking account users, for balances up to $100,000. After 3 months, the first year APY will be from 0.95% (for balances %9,999 or less) to 1.51% (for $100,000). Their regular ongoing APY is from 0.51% to 1.26%, depending on your balance tier. These rates are posted October 15, 2010 and are still current and effective October 20, 2010, but may change without notice.
With the present rates, you are probably not going to make huge gains on interest bearing checking accounts, but half a loaf is better than none, so every little bit counts.
For additional resources involving financial help, please view Lone Star Bank on this website.
We strive to bring you the latest and most accurate data possible from the home sites of the financial institutions we name. Always remember, the bigger the risk, the larger the reward or loss. Invest with caution.
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First Premier Bank Online | Online Banks on
Thu, 21st Oct 2010 10:02 am
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