You’ve probably always thought that if you want to get interest on your money, move it to a savings account. Your checking account is only used to pay bills and the like, right? No longer.
With the advent of online banks that do not have stationary operations, competition for your check funds has intensified. One of the great advantages of this struggle is that many banks are now offering interest-bearing checking accounts. And while you might not get huge interest rates, that money can definitely make something out of it – and why not?
Here are our six top high yield checking accounts that can help keep your money growing.
Which bank you use is more important than you might think. Find out where to keep your money (and more!) In The Penny Hoarder Daily.
How we picked the 6 best checking accounts that pay interest
Our methodology for this list is pretty straightforward: According to the FDIC, the average interest rate on interest-bearing checking accounts is currently 0.05%. We’re looking for checking accounts that exceed this average.
Beyond the interest rate, we looked at what else the account brings to the table. We preferred accounts that have no maintenance fees or high minimum balances and that offer a refund of ATM fees.
The 6 best high-yield checking accounts
Without further ado, here are the top six high yield checking accounts that you can use your money and make some cash at the same time.
One of the highest interest rates we’ve found on an online checking account comes from SoFi Money. This checking account gives you 1.6% APY, or an annual percentage return, which is a percentage of the interest (including compound interest) that you will earn on your money in a year.
To be honest, this is practically unknown. That’s more than 32 times higher than the average interest-bearing checking account. It’s better than the rate on many savings accounts.
SoFi Money is taking a number of steps to make the transition to online banking easier:
ATMs: With automatic ATM fee refund, you can use almost any ATM anywhere for free.
Checks: If you need an occasional physical check – to pay your landlord or whatever – you can get checks from SoFi for free.
Website: SoFi’s website and mobile apps contain detailed FAQs that make it easy and hassle-free to find all the information you need.
Read our full Sofi Money review.
2. NDKC Personal Checking
The NBKC Personal Checking Account offers 1.01% interest on all balances and has no minimum balance requirements. That’s a pretty cute deal at 20 times the national average. It also includes $ 0 overdrafts and insufficient fund fees. So if you have a tendency to overwhelm your money, you won’t be brought to your knees.
Do you use ATMs? NBKC Personal Checking is also offering up to $ 12 a month to reimburse those pesky ATM fees.
This account has a minimum deposit of $ 5, but you’d probably be depositing at least that much anyway.
3. Memory bank
You may not have heard of Memory Bank. Or maybe you did and you just forgot. (Get it?) Anyway, Memory Bank’s EarnMore checking account is another great option for a high yield checking account with 0.90% APY.
Memory Bank is a great choice for those of us who like the benefits of online banking but also want to know that we can get personalized service when we need it. They offer live support via phone, email, or online chat. This can be a huge benefit when you just need to ask a quick question but don’t want to be stuck on an automated phone system for an hour.
4. Capital One 360
The real beauty of the Capital One 360 checking account lies in how easy it is to set up online banking. Both the website and the app are remarkably intuitive. Also, you have no minimum balance or minimum fees.
The base APY for the Capital One 360 is currently 0.2%, which is a respectable four times the national average. However, if you save a little, you will earn even more. Balances of $ 50,000 to $ 100,000 earn 0.5%. Balances over $ 100,000 earn 0.75%.
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5. Charles Schwab
OK, when you think of Charles Schwab, you probably don’t think of checking accounts. That could change. The High Yield Investor Checking is a free account that earns 0.15% APY on your balance.
It also offers unlimited discounts on ATM fees worldwide. That’s pretty cool if you travel a lot.
This account has no minimum balance, no minimum deposit, and no maintenance fees.
There’s a catch: you’ll need a Schwab One brokerage account linked to your verification to avoid maintenance fees. It may not be for everyone, but if you are already investing why not take advantage of it?
6. Ally Interest Checking Account
As the name suggests, you earn interest with the Ally Interest Checking Account. With balances under $ 15,000, you’ll earn 0.1%, which isn’t all that remarkable.
However, if you tend to have $ 15,000 or more on hand, you can earn 0.5%. While 0.5% doesn’t seem like a lot, it’s 10 times the national average for checking accounts that pay interest.
Allys Interest Checking is noticeable in the other benefits. The account has:
No maintenance fees.
No minimum balance requirement.
No minimum deposit.
Easy online access.
Another benefit is that Ally will reimburse you for up to $ 10 worth of ATM fees charged by other banks per statement cycle.
Check out our current list of bank promotions to receive a cash bonus when you sign up for a new bank account.
How to choose a high-yield checking account
When considering switching to a high yield checking account, there are a few things to consider.
Look for accounts that do not negate that interest income by charging fees. However, if you have a large account balance, it may be worth paying a small fee to get a better interest rate. Do the math.
Keep an eye on the minimum balance requirements. We have focused on accounts that do not require a minimum balance. However, knowing that your account is at least $ 1,000 high at all times, you may want to shop a little more. There can be a lot out there.
Look at the requirements. You may not use your debit card that often or you may not want to make a direct deposit. Choose an account that suits the way you plan to use your account.
Think about ATMs when using them. It’s 2019 and you shouldn’t have to pay these fees. There are too many banks ready to cover this for you.
The app. If you do a lot of banking on your phone, make sure the bank you choose has a solid banking app.
Once you’ve found the checking account, ticked all the right boxes for you and how you’d like to use your account, sign up and start making money with your money already.
Tyler Omoth is a freelance writer covering topics like personal finance, career advice, and even lawn care. His work has been featured on TopResume.com, Writersweekly.com, and others. He is also the author of over 70 textbooks for children and the proud parent of twin toddlers.