In today’s climate, to have a checking account with a interest rate above 1.00% is beyond rare. If you take a look at our current Interest Checking Rate Table, you will see that Hudson City Savings Bank is leading with 1.25% APY on a minimum deposit of $10,000. With average rates so low, we are skeptical when we see a bank post rates that are far above this, as it is usually a teaser rate.

Below, however, are three banks that offer interest checking accounts with APYs above 4.00% as of 3/17/2010, as long as you meet the monthly requirements.

Bank of Sierra – Reward Checking Account: 4.09% APY

We have covered this great account in the past and were happy to see that they have stayed true to this rate for over a year, only dropping once from 4.51% back in July. The account must be opened online and is available to any state. The rate is only available for all balances up to $25,000, at which point it switches to 1.01%.


  • Minimum 12 Sierra Check Card purchases per statement cycle³ (Purchases must be posted, not pending — excludes ATM transactions)
  • Minimum one direct deposit or automatic payment from your account per statement cycle³ (must be posted, not pending)
  • Make at least one payment using Sierra BillPay per statement cycle³ (must be posted, not pending)
  • Enroll & receive Sierra eStatements

Danversbank – Free Rewards Checking: 4.01% APY

As with Bank of Sierra, the 4.01% Annual Percentage Yield is only available on balances up to $25,000. A 0.25% APY will be paid on all amounts above $25,000. The great thing about this rate is that it has been available since August of 2008 and the minimum deposit is only $100.


  • Perform at least 12 debit card transactions (excluding ATMs)
  • Receive monthly statement electronically
  • Access online banking
  • Sign up for direct deposit or receive a recurring ACH

Royal Banks of Missouri – Majestic Checking: 4.30% APY

The last on our list is also the strongest, with an APY that beats most CD rates. The 4.30% APY only applies to the first $24,999 deposited, but the remaining balance above $25k actually earns a still very competitive APY of 1.40%. As with the last two checking products, there is a number of monthly requirements that need to be met or the APY will drop to 0.15%. This APY has been available since May 2009.


  • 15 Point of Sale Debit Card Transactions
  • 1 Direct Deposit and/or ACH Debit/Credit
  • E-Statement (must provide valid e-mail address)

Are These Products Right for You?

That is the question you need to ask yourself before committing to one of these high interest accounts, instead of a standard interest checking account that you can find in our comparison rate table.  If you feel confident that you will meet the monthly requirements, than additional earning is only a sign-up away. Again, we can’t promise these rates will last forever, but we can stress that since they have been around for a few months, they are likely to be around for at least few more.

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