A High-Yield Checking Account Can Generate 2% Interest for You

As reviewed in the study, there are 57 such high-yield checking accounts at credit unions and banks in the United States of America, offering an average percentage yield of 2.05% per annum. Despite of the fact that it is a drop as compared to the average percentage yield of 2.56% in the last year, it has beaten the 0.6% rate for most average interest-bearing checking accounts in the United States.

However, besides offering an average interest rate of more than 2%, these banks and credit unions include certain caveats for high-yield checking accounts. There are several requirements and conditions for opening and using a high yield checking account in the United States. The most common among these is that the banks and credit unions set the minimum number of debit transactions for each month to at least 10. The core requirements for automated bill payments and direct deposits are also common for getting higher interest rates. If customers fail to meet the requirements in a particular month, the rate of interest will significantly fall to almost less than 1%.

In addition to this, the highest average percentage yield is typically applicable for a certain amount of balance limit. Any amount falling above that cap will not earn a premium yield. However, this balance cap amount changes every year, as specified by bank and credit union regulations. In the current year, the balance cap amount is continuing to be at $25,000. However, the top ten highest-yielding checking accounts in the United States have a balance cap amount of $15,000 or even less. Since higher average percentage yields are applicable only up to a specific balance cap, it is not simple to find the accounts with the highest yields.

Consumers, who are looking for a higher rate of interests, should adjust the money that they are planning to keep in the account to get the most benefits. And if they know they can meet the essential requirements on a regular basis, the high-yield checking accounts make more sense for them.