PLANO, Texas–InTouch Credit Union has introduced a high-yield checking (HYC) account it said has some of the highest dividend rates in the country as compared to similar account types.
HYC accountholders will enjoy a 4.07% APY on the highest debit card spending tier for spending greater than $2,500 each month, InTouch CU said in announcing the new offering.
According to InTouch CU, the account is “unique as it features two ways to make its members’ money work harder”: using their debit cards for purchases in exchange for a higher dividend rate and by having the opportunity to buy higher yielding term Deposit Certificates, referred to as HYC CDs.
"Our High-Yield Checking account is a great option for our members looking for higher returns on their deposits,” said Kent Lugrand, CEO of InTouch Credit Union. “We’re paying one of the highest dividend rates ever on the account and that goes back to 2018, when it was first introduced.
Not a Dime Extra
“We’re not asking our members to spend a dime more than they usually do in a given month, he continued. “We’re simply rewarding them for using their ITCU debit card to do it. We are excited to see how members react to the higher rate and what they have to say about the change.”
The credit union said its HYC appeals to members who use their debit cards for purchase and who are primarily focused on a checking account that pays interest. The minimum-frills HYC account pays dividends based on monthly net debit card spending, InTouch added.
“The higher that spending amount, the higher their dividend rate will be for the month,” the CU said.
Product Details
Offering greater detail on the new product offering, InTouch said:
- Debit Card Purchases. “The more purchased on the debit card, the higher the dividend rate. Members can use the debit card for regular purchases, subscription payments and even bills to reach the highest possible spending tier. The highest spending tier reached during the month will determine the dividend rate for the month, on the checking balance up to a maximum cap.
- High-Yield Checking Deposit Certificates. “HYC CDs offer ITCU members owning a HYC account the higher CD dividend rates than equivalent term, regular CDs.”
More information is available at itcu.org/hyc.