

If you keep any significant amount of your savings in cash, you probably hate the paltry savings rates that are being paid right now. Even some of the so called "high yield" accounts have rates that most would say are far from "high yield".



I have kept the majority of my savings account in my ING Direct account for quite a few years. In fact, I have been a customer of ING Direct since 2002. I love ING for a number of reasons and I hate to move my money but I've decided to make some changes. I know I can easily find an account that will pay more than the 1.5% APY ING is currently paying on savings accounts or the .25% APY on the Electric Orange Account.



I've decided that I want to deal with one account for checking and savings so I will be opening a "high yield" checking account. I will still keep my ING account open with a small balance but the majority of my money will be kept in the high yield checking account.



While searching the Internet, I found the website, High Yield Checking Deals, which made my search much easier. It has a list of banks offering high yield checking deals separated by state. I found several accounts that would work for me and two accounts particularly caught my eye. Now, I need help deciding which one I should choose.



I'll call them Bank 1 and Bank 2.

Bank 1

3.5% APY up to $25,000 and .50 APY for any amount over $25,000

Across the street from my house with several locations in my area

No fees and unlimited ATM refunds

Has been in business since 1951



Bank 2

4.5% APY up to $50,000, 1.0% APY for any amount of $50,000

2 Branch locations with the closest one 30 miles from my house

No fees and up to $15 in ATM refunds

Has been in business since 2007

I know which one I am leaning towards but I want to get a second opinion. Which one would you choose?

If you aren't familiar with the high yield checking accounts, they are usually offered by smaller, regional banks and have a certain number of requirements to earn the high rate. They usually require you to have a direct deposit into the account, consent to receive electronic statements and use your checkcard 10-15 times in a month. If you don't meet the requirements one month, the accounts are usually still free but you will earn the standard interest rate for that month. The next month starts the process all over again.

Which account should I choose? Do you have a high yield checking account?