Advantages of Incredible Bank High Yield Checking Account

Internet banks have the advantage over bricks and mortar banks as they have fewer overheads, enabling them to often offer better deals to their customers. The Incredible Bank is, a division of River Valley Bank, offers a fee free checking account that pays interest and has no ATM fees. Customers can also elect to open a money market account or a CD.

The Incredible Bank advertises no ATM fees ever. It costs nothing to withdraw cash and customers who use a non affiliated ATM will have the fees reimbursed to their account. This is a great offer for anyone who typically uses ATM’s frequently as Incredible will reimburse up to three fee withdrawals a day.

Customers need to make a minimum deposit of $1000 to open an account, but there is no stipulation that a certain amount must be retained in the account. Balances attract interest of 1.21% APY (annual percentage yield) up to $249,000. Balances above that amount have a lesser rate of 0.8%. However it is never prudent to deposit above $249,000 in any one bank as FDIC only guarantees up to $250,000.

Money can be deposited into the checking account by direct deposit, checks, electronic transfers and bank wires. Account holders are issued with debit cards and checks. The account is managed via the internet of by mobile banking and the only fees incurred are for paper statements, returned payments and stopped payments.

The banks money market account does not offer checks or debit cards. Withdrawals can be made through the banks free online Bill pay or by bank transfer. It requires a minimum deposit of $2,500 and if the balance drops below this amount a monthly fee of $10 will be charged. The account also allows no more than six withdrawals per month before a fee is levied.

The APY on money market balances between $2,500 and $99,999 is actually lower than that paid on the standard checking account, at 1.15%. However, balances between $100,000 and $249,000 attract the higher APY of 1.25%. These rates are current as of July 2011 and subject to change.

Customers who prefer to opt for CD’s have a tiered interest rate depending on the length of the term. Current rates are 1.10%, 1.30% and 1.50%. A minimum deposit of $10,000 is required.

Although higher yields can be found on checking accounts it is important to consider the savings that can be made through no fee ATM withdrawals and no fees applied to the account. The Incredible Bank checking account is definitely worth considering for anyone who is happy to conduct their banking online and does not require a bricks and mortar branch.