Elite or Premium: Which High-Yield Checking Account is for you?

Do you want to grow your checking account balance? Of course you do. Who doesn’t? And now, at Arkansas Federal, we have two great high-yield checking accounts to make it happen—Elite ( as high as 6.00% APY APY is the Annual Percentage Yield. Elite Checking is a tiered rate variable product. The rate is effective as of 09/01/2023. To qualify for the 6.00% APY, member must have a monthly direct deposit of at least $1,000 going to their Elite Checking, be enrolled in eStatements, be in good standing, and complete 15 monthly transactions of at least $10 each by using their debit card tied to the account. The 15 required transactions must post to the account within the calendar month to receive earnings. 6.00% APY applies to balances up to $10,000.00. Balances $10,000.01 or more earn 0.05% APY. Fees could reduce earnings. A $15 monthly fee applies if the daily balance drops below $2,500.00. Only one Elite Checking or Premium Checking account per member is allowed. Offer and rate are subject to change. Exclusions may apply. Refer to rate sheet for full details. Membership with Arkansas Federal Credit Union is required.) and Premium ( as high as 4.00% APY APY is Annual Percentage Yield. Premium Checking is a tiered rate variable product. Rate is effective as of 5/31/2023. To qualify for the 4.00% APY, member must be in good standing and complete 10 monthly transactions of at least $1 each, defined as ACH, direct deposit, bill pay, debit card (used as debit or credit), and checks. Zelle® transactions currently do not count as a qualified transaction. Current inactive accounts qualify for offer by meeting same criteria. 4.00% APY applies to balances $0–$10,000. Balances $10,000.01 or more earn 0.05% APY. Fees could reduce earnings. $15 monthly fee applies if daily balance drops below $2,500. Offer and rates subject to change. Exclusions may apply. Refer to rate sheet for full details. Membership with Arkansas Federal Credit Union is required.). But what’s the difference, and which one is best for you? Let’s dive in. 

How do they work?  

Both Elite and Premium work like a standard checking account. You can deposit and withdraw money, pay bills, enjoy the ease of a debit card, write checks, and more, but you can do so while earning on your balance.  

Elite vs. Premium? What’s the same, and what’s different?

First, let’s talk about the similarities. With both accounts, you:  

• Need to keep a minimum balance of $2,500 to avoid a monthly fee 
• Earn a great rate on your balance up to $10,000 (anything over $10,000 earns 0.05%) 
• Enjoy earnings automatically deposited into your account each month 
• Need to have a certain number and type of transactions to get the high yield amount 

Now, let’s tackle the differences. Besides the earnings rate on these two accounts, there are a few key differences. The main one involves the types of transactions that are required to earn on your balance.  

With Elite Checking ( as high as 6.00% APY APY is the Annual Percentage Yield. Elite Checking is a tiered rate variable product. The rate is effective as of 09/01/2023. To qualify for the 6.00% APY, member must have a monthly direct deposit of at least $1,000 going to their Elite Checking, be enrolled in eStatements, be in good standing, and complete 15 monthly transactions of at least $10 each by using their debit card tied to the account. The 15 required transactions must post to the account within the calendar month to receive earnings. 6.00% APY applies to balances up to $10,000.00. Balances $10,000.01 or more earn 0.05% APY. Fees could reduce earnings. A $15 monthly fee applies if the daily balance drops below $2,500.00. Only one Elite Checking or Premium Checking account per member is allowed. Offer and rate are subject to change. Exclusions may apply. Refer to rate sheet for full details. Membership with Arkansas Federal Credit Union is required.), you must complete at least 15 monthly debit card transactions, and each transaction must be for $10 or more (ATM transactions do not qualify). Otherwise, you won’t earn the rate of 6.00% APY¹ that month, even if all other requirements are met. The other unique requirement of Elite Checking is that you must have a cumulative monthly direct deposit of $1,000 or more going to your account.  

With Premium Checking ( as high as 4.00% APY APY is Annual Percentage Yield. Premium Checking is a tiered rate variable product. Rate is effective as of 5/31/2023. To qualify for the 4.00% APY, member must be in good standing and complete 10 monthly transactions of at least $1 each, defined as ACH, direct deposit, bill pay, debit card (used as debit or credit), and checks. Zelle® transactions currently do not count as a qualified transaction. Current inactive accounts qualify for offer by meeting same criteria. 4.00% APY applies to balances $0–$10,000. Balances $10,000.01 or more earn 0.05% APY. Fees could reduce earnings. $15 monthly fee applies if daily balance drops below $2,500. Offer and rates subject to change. Exclusions may apply. Refer to rate sheet for full details. Membership with Arkansas Federal Credit Union is required.), though, you are only required to make 10 monthly transactions of $1 or more, but unlike Elite Checking, these transactions don’t have to be tied to your debit card—instead, transactions can include ACH, direct deposit, bill pay, debit card purchases, and checks. Basically, you just need 10 transactions of some sort each month in the amount of $1 or more. But be careful; ATM and Zelle^© transactions currently don’t qualify as a transaction. And, unlike Elite, Premium does not require a monthly deposit amount of $1,000 or more.  

With both Premium and Elite checking, you must also enroll in eStatements (instead of paper-mailed statements).  

And finally, you’ll need to pick one or the other, as only one Elite or Premium account is allowed per member. 

Whew! That’s a lot to cull through, so let’s break it down into a few simple questions that might help you decide which of these high yield checking accounts are for you.  

Questions to Ask Yourself

Are you okay with enrolling in eStatements (instead of getting a paper-mailed statement)?

• Yes—go to the next question. 
• No—Then, an Everyday Checking account might be a better option. It’s not a high-yield account, but it’s a simple checking account designed to meet your everyday needs.  

Will you maintain a daily balance of $2,500?

• Yes—go to the next question. 
• No—Then, consider a non-interest-bearing account such as an Everyday Checking account.  

Can you set up a monthly direct deposit of at least $1,000?

• Yes—go to the next question. 
• No—Then, Premium Checking might be better suited for you if you’ve answered yes to all the previous questions. You’ll still earn a great rate as high as 4.00% APY,² without the need to set up a monthly direct deposit of $1,000 or more, when all other requirements are met.  

Are you an avid debit card user?

• Yes—Then Elite Checking is a great option for you—especially if you know that you can conduct at least 15 debit card transactions a month, with each one totaling $10 or more. 
• No—If you answered no to this last question, then Premium Checking might be a better fit. Just make sure you can commit to a combination of 10 monthly transactions of $1 or more and enroll in e-statements.  

Ready to get started? Open your account online in minutes or visit your nearest branch today. The sooner you get your account set up, the sooner you can start earning.