May 10, 2021

Best High Yield Checking Accounts

This article contains references to products from our partners. We may receive compensation if you apply or shop through links in our content. You help support CreditDonkey by reading our website and using our links. (read more)

High-yield checking accounts offer rates high enough to rival savings and money market accounts. Discover the top 5 high-yield checking accounts here.

When it comes to high-interest banking, most people don't think of checking accounts.

However, some high-yield checking accounts outshine even the best high-yield savings accounts on the market.

Below, review the best rates available, terms and conditions, and qualification requirements so that you can make an informed decision before opening your next account.

What is the National Average APY?

APY, or "Annual Percentage Yield", are interest payments that the bank adds to your account balance. What you earn in APY is determined by three factors:

  • Your account balance
  • The specific APY offered by the bank
  • The compounding frequency (daily, monthly, quarterly, annually)

For example, if you have $10,000 in your account and earn 0.10% APY compounded daily, you will earn $0.83 in interest each month.

What is an average APY?
In the U.S., the average APY for savings accounts is 0.07%, at the time of writing.

Given these low rates, it's not surprising that many people seek ways to help their money grow faster using high-yield accounts.

The Top 5 High-Yield Checking Accounts

The below recommendations offer some of the most impressive APYs we've seen in a checking account. Be sure to review all requirements before applying.

Evansville Teachers FCU Vertical Checking

To sign up for the Evansville Teachers FCU Vertical Checking, you do NOT have to be a teacher.

In fact, there are hundreds of employers currently in their field of membership, so it's worth checking out.

The required opening deposit is just $25. To get the top APY (currently 3.30%), the requirements are surprisingly easy, which are detailed below.

Rates & Features

  • Rate: 3.30% on balances up to $20,000
  • Maximum monthly interest payment: $55.07
  • Requirements:
    • 15 debit purchases per month
    • 1 monthly direct deposit
    • Log on to online or mobile banking once during the month
    • Enroll in e-statements

Axos Bank Rewards Checking

Axos Bank Rewards Checking offers lower rates than the rest of this list. However, it does have other impressive perks that should be attractive to savers.

These include no overdraft or insufficient fund fees, unlimited ATM reimbursements, and the highest maximum balance of any bank on the list.

Axos Bank
Member FDIC

Rewards Checking - Up to 1.00% APY

  • Up to 1.00% APY
  • No minimum balance requirements
  • No fees to open or maintain account
  • Overdraft Protection

Are high-yield checking accounts safe?
Yes. High-yield checking accounts carry no additional risk compared to traditional checking accounts. Each account on this list insures your deposits by the FDIC (for banks) or NCUA (for credit unions) up to $250,000.

Devon Bank Kasasa Cash Checking

Chicago-based Devon Bank offers their Kasasa Cash Checking with a APY of 2.50% on balances up to $10,000.

However, members can open a linked Kasasa savings account that earns an additional 0.85% APY on balances up to $50,000 in addition to their checking account interest payments.

Devon Bank also requires zero minimum deposits and has no monthly maintenance fees.

Rates & Features

  • Rate: 2.50% on balances up to $10,000 (0.25% on balances over $10,000)
  • Maximum monthly interest payment: $20.85
  • Requirements:
    • 10 debit purchases of $3.00 or more
    • 1 direct deposit or ACH payment

La Capitol FCU Choice Checking

Based in Baton Rouge, Louisiana, La Capitol offers the highest maximum APY on the market with their Choice Checking account.

But there's a catch: a tiered APY system, the lowest of which is only slightly above the national average. To check if you're eligible to join La Capitol FCU, review their field of membership.

Rates & Features

  • Rate: 4.25% on balances up to $3,000; 2.00% on balances $3,000 to $10,000; 0.10% on balances over $10,000
  • Maximum monthly interest payment: $16.68 (2.00% APY on $10,000)
  • Requirements:
    • Enroll in e-statements
    • 15 debit purchases per month or maintain $1,000 average daily balance

Consumers Credit Union Serious Interest Checking

CCU potentially offers the best mix between APY and maximum balance with their Serious Interest Checking.

However, once the maximum balance is exceeded, members receive a very low rate of 0.01%. Consumers Credit Union's field of membership is substantial - anyone can join.

Rates & Features

  • Rate: 4.00% on balances up to $15,000; 0.01% on balances over $15,000
  • Maximum monthly interest payment: $50.08
  • Requirements:
    • 12 debit purchases per month
    • Maintain a $1,000 average daily balance
    • $1,000 in direct deposits per month
    • Enroll in e-statements

How to Decide if a High-Yield Checking Account is Right for You

When deciding on the best account for your unique financial situation, you'll want to take into account a number of factors. These include:

  • How much do you have saved? While earning a high yield is great, most offer much lower rates once you have a big balance. Granted, most people don't need a lot of money in their checking account — and additional savings can be placed in a high-yield savings account or a long-term investment vehicle like bonds.

  • Can you link a high-yield savings account? Once your maximum balance is exceeded, can you transfer funds into a linked high-yield savings account that will still earn considerable interest, such as with Devon Bank?

  • Do you need physical branch locations? Most of these options only have regional locations. Each offers mobile banking, mobile check deposits, and ATM reimbursement, so most banking basics can be achieved. However, if you aren't local and make frequent cash deposits, these accounts may not be for you.

  • Are you a disciplined spender? One risk with checking accounts versus savings accounts, CDs, or bonds is the temptation to overspend without the need to transfer funds or have a waiting period before using money with your debit card.

  • Do you meet the monthly requirements? Check your current debit card purchases and direct deposit history to make sure you meet the minimum qualifications to receive the maximum APY. Also, make sure you sign up for e-statements.

The Bottom Line

High-yield checking accounts are a little-known investment option in the financial world where everyday people can potentially grow their savings faster than inflation in a low-risk environment.

Make note that APY rates are variable and can change quickly, so be sure to double-check the current rate before opening an account and read the fine print.

Write to Justin Barnard at Follow us on Twitter and Facebook for our latest posts.

Note: This website is made possible through financial relationships with some of the products and services mentioned on this site. We may receive compensation if you shop through links in our content. You do not have to use our links, but you help support CreditDonkey if you do.

Read Next:

Best Free Checking Accounts

Best Free Checking Accounts

Best High Yield Savings Accounts

High Yield Savings

What is a High Yield Savings Account?

What is a High Yield Savings Account

Top 10 Best Online Savings Account

Best Online Savings Account

Best Free Checking Accounts

Best Free Checking Accounts

Best Free Checking Accounts for Small Businesses

Free Business Checking

Axos Bank
Member FDIC

Rewards Checking - Up to 1.00% APY

  • Up to 1.00% APY
  • No minimum balance requirements
  • No fees to open or maintain account
  • Overdraft Protection
Leave a comment about Best High Yield Checking Accounts?

About CreditDonkey
CreditDonkey is a bank comparison website. We publish data-driven analysis to help you save money & make savvy decisions.

Editorial Note: Any opinions, analyses, reviews or recommendations expressed on this page are those of the author's alone, and have not been reviewed, approved or otherwise endorsed by any card issuer.

†Advertiser Disclosure: Many of the offers that appear on this site are from companies from which CreditDonkey receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). CreditDonkey does not include all companies or all offers that may be available in the marketplace.

*See the card issuer's online application for details about terms and conditions. Reasonable efforts are made to maintain accurate information. However, all information is presented without warranty. When you click on the "Apply Now" button you can review the terms and conditions on the card issuer's website.

CreditDonkey does not know your individual circumstances and provides information for general educational purposes only. CreditDonkey is not a substitute for, and should not be used as, professional legal, credit or financial advice. You should consult your own professional advisors for such advice.

About Us | Reviews | Deals | Tips | Privacy | Do Not Sell My Info | Terms | Contact Us
(888) 483-4925 | 680 East Colorado Blvd, 2nd Floor | Pasadena, CA 91101
© 2021 CreditDonkey Inc. All Rights Reserved.