Best High-Interest Checking Account Rates of December 2023

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If you keep a large balance in your checking account, a high-interest checking account may be right for you. Many checking accounts don’t pay any interest, but the accounts below pay impressive annual percentage yields (APYs) while keeping your money liquid.

Accounts that made the list not only have some of the best rates but also provide essential checking account features like the ability to write checks, pay bills online, spend with a debit card, deposit checks remotely, and more. All have federally backed deposit insurance to keep your money safe. (Funds are insured up to maximum limits.)

Learn more about the best high-interest checking accounts, along with highlights of each account, below the chart.

We partnered with the following banks to bring you the checking account offers in the table below. Under that, you'll find additional details on our editors' picks for the best high-interest checking accounts and up-to-date rates. All of the banks and credit unions listed are insured by the Federal Deposit Insurance Corporation (FDIC) or National Credit Union Administration (NCUA).

Most of the accounts only pay the highest rate on balances up to a certain limit, and only if you meet certain other requirements. For balances over the limit, the rate may drop steeply.

Devon Bank

Open Account

Devon Bank’s Free Kasasa Cash Checking account pays a generous 1.50% APY on up to $10,000 in your checking account. Any amount above that still earns a competitive 0.25% APY, which is better than many savings accounts pay. The account has no monthly maintenance charge, and you can open an account with $25 or more.

To earn the rewards rate, you must make at least 12 qualifying debit card purchases per month (purchases must be at least $3), have at least one monthly ACH credit or direct deposit of at least $500, and sign up for online banking and online statements.

APY	1.50 % on the first $10,000; 0.25% on $10,001+
Monthly Fee	None
ATM Fee Rebates	Up to $25 per month
Minimum to Open	$25
Banking Access	Branches in California and Illinois. Kasasa Cash Account is only available to Illinois residents.

Kasasa is a service provider that partners with community banks and credit unions to offer competitive accounts in multiple regions.

Industrial Bank

Open Account

Industrial Bank also uses Free Kasasa Cash Checking. The rates are lower than Devon Bank’s, but you earn the highest rate, 1.47% APY, on up to $15,000 in your account. There’s no monthly fee, and the minimum to open the account is $100 (with no ongoing minimum requirement).

To qualify for the highest rate, you must make at least 12 qualifying debit card purchases each month, log in to your online banking account monthly, and opt into e-statements.

APY	1.47% on the first $15,000; 0.199% on $15,001+
Monthly Fee	None
ATM Fee Rebates	Up to $25 per month
Minimum to Open	$100
Banking Access	Branches in Maryland, New Jersey, New York, and Washington, D.C. Over 55,000 ATMs nationwide. Customers nationwide can apply for an account.

La Capitol Federal Credit Union

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La Capitol FCU (or “La Cap”) offers a Choice checking account that pays high dividends. This account might be right for those who keep a relatively small balance, as the highest rate is only available on your first $10,000, and the rate blends down after that.

To earn the highest rate, account holders must have at least 15 qualifying debit card purchases per month. Those same 15 transactions will also allow you to avoid the monthly fee. The fee can also be avoided by having a balance of at least $1,000. The credit union is based in Louisiana, but you can become a member regardless of where you live.

After joining the Louisiana Association for Personal Financial Achievement (ACHIEVE) with an initial $20 membership fee for the first year, you’re eligible to join La Cap. You’ll also need to deposit at least $5 in a savings account.

APY	6.25% on the first $10,000; 0.72% on $10,000.01+
Monthly Fee	$8, waived with a $1,000 daily balance or 15 qualifying debit card purchases per month
ATM Fee Rebates	Up to $25 per month
Minimum to Open	$50
Banking Access	An offering of free ATMs and over 5,000 branches through the CO-OP shared branching network

Consumers Credit Union

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Consumers Credit Union (CCU) offers several rate levels in the Rewards Checking account. The more hurdles you clear, the higher your rate. However, CCU caps the high-interest balance limit at $10,000.

To earn the highest rate, account holders are required to make 12 or more debit card purchases each month, plus CCU Visa credit card purchases totaling $1,000 or more each month, sign up for electronic statements and communications, and deposit at least $500 per month.

While CCU is a relatively small institution, it gives you fee-free access to ATMs and branches around the U.S. through the CO-OP Network. Anyone nationwide can join CCU by joining the Consumers Cooperative Association with a one-time $5 membership fee. You’ll also need to keep at least $5 in a savings account.

APY	3.00% to 5.00% on the first $10,000; 0.20% on $10,001 to $25,000.00; 0.10% on $25,0000.01+
Monthly Fee	None
ATM Fee Rebates	Unlimited
Minimum to Open	$5
Banking Access	Access over 30,000 ATMs and over 5,000 branches, member of CO-OP Network

Liberty Federal Credit Union

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Liberty Federal Credit Union (LFCU) pays a high rate on a relatively high balance. As a result, you can potentially earn more in this account than other accounts showing higher rates.

LFCU offers its highest rate on balances up to $20,000 in your Vertical Checking account. To earn that rate, you’ll need to make at least 15 qualifying debit card purchases monthly, make at least one direct deposit per month, log in to mobile or online banking each month, and sign up for electronic statements.

To join LFCU, you do not need to be a teacher. You can simply join the Mater Dei Friends & Alumni Association for $5 annually during the application process. There are also other organizations you can belong to or employers you can work for to qualify. You’ll also need to keep at least $5 in a savings account.

APY	3.45% on the first $20,000
Monthly Fee	None
ATM Fee Rebates	Up to $15 per month
Minimum to Open	$25
Banking Access	Nearly 5,000 fee-free ATMs nationwide

Western Vista Federal Credit Union

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Western Vista FCU’s Panorama Checking account is a fairly straightforward high-yield checking account. You can earn the highest rate by making just 10 transactions of $5 or more per month, along with at least one direct deposit per month, and signing up for electronic statements. The credit union also refunds up to $25 per month in other banks’ ATM fees within the U.S.

Anyone nationwide can become eligible for membership by making a small donation to the Western Vista Community Foundation. You’ll also need to keep at least $25 in a savings account. There’s no online application, though, so you will have to fill out a form at a local branch.

APY	5.00% on the first $15,000; 0.12% on $15,000.01+
Monthly Fee	None
ATM Fee Rebates	Up to $25 per month within the U.S.
Minimum to Open	None
Banking Access	Over 30,000 free ATMs and over 5,000 branches through the CO-OP shared branching network

Paramount Bank

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With their monthly requirements, other high-interest checking accounts may demand more than you’re willing to deal with. If that’s the case, Paramount Bank’s Interest Checking account may offer the simplicity you crave.

The account does not require you to use your debit card numerous times, and you earn a great rate on balances up to $100,000. It’s not as high as some APYs on this list, but it does beat some of them, is a great option in today’s market, and has no requirements to receive the rate. Balances over $100,000 still earn a very small APY. Anyone can open an account at this bank by signing up online.

APY	3.25% on all balances up to $100,000, 0.10% on balances above $100,000
Monthly Fee	None
ATM Fee Rebates	None
Minimum to Open	$100
Banking Access	Branches are in Missouri. About 40,000 surcharge-free ATMs through the MoneyPass network

Compare Providers

Bank or Credit Union	APY	Minimum Balance Required to Open	High-Interest Balance Limit	Monthly Fee
Devon Bank	Up to 1.50%	$25	$10,000	None
Industrial Bank	Up to 1.47%	$100	$15,000	None
La Capitol Federal Credit Union	Up to 6.25%	$50	$10,000	$8 (waivers available)
Consumers Credit Union	Up to 5.00%	$5	$10,000	None
Liberty Federal Credit Union	Up to 3.45%	$25	$20,000	None
Western Vista Federal Credit Union	Up to 5.00%	None	$15,000	None
Paramount Bank	Up to 3.25%	$100	$100,000	None

What Is a High-Interest Checking Account?

A high-interest checking account is a checking account with an above-average APY, which is an important attribute for individuals who keep large amounts of money in their checking account. Many checking accounts offer no or negligible interest on your money, which is a disadvantage as interest represents free financial growth for you just for keeping your money at a particular financial institution.

Many banks with a higher APY on their checking accounts are lesser-known but still considered strong financial institutions, and your money is protected by the FDIC.

How Does a High-Interest Checking Account Work?

A high-interest checking account works like a normal checking account in the sense that you can deposit and maintain money in the account, use checks to make payments, or use a debit card to make purchases. The key difference is that a high-interest checking account has an above-average APY, giving you more money over time. The APY on the best high-interest checking regularly tops 1% and even exceeds 3%.

Another difference is that these accounts often require you to meet certain requirements every month to earn that high APY, such as making a certain number of debit card transactions (usually 10 to 15), making a certain number or dollar amount of direct deposits, enrolling in online banking, or signing up for electronic bank statements.

With a high-interest checking account, you can still withdraw funds at any time. There are no restrictions on the number of transactions you can complete, unlike many high-yield savings accounts. Some banks with these accounts impose restrictions limiting you to making withdrawals from only certain ATMs; otherwise, you may incur a fee.

What Is an Annual Percentage Yield (APY)?

APY is the real rate of return that you can earn on certain financial accounts, such as savings or checking accounts. It's based on both the interest rate and how often that interest compounds.

APY is the rate based on the interest you earn on the original deposit (principal) plus interest on earnings. Essentially, APY is the money you can earn from just parking your cash at a stable financial institution.

How Much Do High-Interest Checking Accounts Cost?

Many high-interest checking accounts have no monthly fee or minimum balance requirements. As you only earn on the cash you keep in the bank, there are fewer costs that the institution has to cover and pass on to you. However, some high-interest checking accounts require you to maintain certain requirements to earn the stated APY and may only offer that rate on deposits up to a certain amount.

They may also charge you a monthly fee and other fees such as fees for out-of-network ATM withdrawals. The average monthly checking account fee in 2023 was $13.95, but can often be waived if you meet certain requirements, such as keeping your account balance above a certain amount.

Is It Better to Keep Money in Checking or Savings?

The choice to keep money in either a checking or savings account will depend on your personal needs and which financial institution you’re using. If you choose the right financial institution, high-interest checking accounts can pay out essentially the same thing or more than many savings accounts. You just need to determine whether you need to make a lot of purchases or write a lot of checks.

If the answer is yes, you’re better off with a checking account. But if you can keep money in a single place and want to build a cash reserve for a specific purpose, a savings account is likely a better option. Of course, there’s nothing wrong with having both accounts, which is how you can really take advantage of what each has to offer.

Methodology

We looked at more than two dozen of the best high-interest checking accounts and narrowed them down to the best seven accounts with the highest APY, giving you the best rates to grow your money. We not only evaluated each account based on its APY but also looked for an array of basic checking account features, the banking experience, and the strength of each option’s customer reviews.

Two people sitting at a desk with a computer having a conversation while one holds up a document, representing the headline and bulleted copy points: What to Look For in a High-Interest Checking Account - ATM access, deposit insurance, little to no monthly fees, easy-to-reach requirements — The Balance / Hilary Allison

Article Sources

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Consumers Credit Union. "Rewards Checking."
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Liberty Federal Credit Union. "America's Best High-Yield Checking."
Mater Dei High School. "MDFAA."
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Liberty Federal Credit Union. "How To Join," Click "How Do I Open an Account?"
Western Vista Credit Union. "Panorama Checking."
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