Banking- "Rewards" checking account

[McGurk]

A "Rewards" checking account works as follows; Interest rate typically around 4% up to $25,000 and anything beyond that has around 1%. You need to use online banking and statements, have direct deposit to that account, use a debit card from that account at least 10 times a month, and have at least 3 bills paid online from that account on a monthly basis. If you fail to meet all of those requirements, you drop to a severely reduced rate, but it is still free checking, and should jump back to that rate automatically if you fulfill the req's the next month.

I'm looking into switching into one of these, as the interest rate is better than a saving account or a CD or anything else short term right now. Unfortunately there aren't a lot of banks offering this, but the additional interest rates more than make up for any inconvenience you might have if you happen to carry a substantial amount in checking and/or savings through a bank or credit union.

Anyone have any experience good or bad with these? Thanks in advance. I am looking specifically at the Elk River bank.

[ozzie]

nope but the bank of er is a good bank to do business with

[Umma Gumma]

I have this through a credit union. Works great, haven't had a problem. The 4% is good and it isn't hard these days to meet the criteria. We use our debit card just enough to meet the criteria, and for all else we use our rewards-earning credit cards and just pay the balance each month. Works great.