Author Topic: 1% Cashback checking account?  (Read 2772 times)

Fuperw84

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1% Cashback checking account?
« on: January 08, 2018, 04:29:36 AM »
Hello, everyone I was on the wait list for Discover 1% Cashback checking account. They finally email me yesterday to let me know the service is now available in my area. Basically, you get all the benefits of an online bank account with the unique feature of earning 1% cashback on all debit card purchases. I think Discover is the only company offering this service. Has anyone used this?

boarder42

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Re: 1% Cashback checking account?
« Reply #1 on: January 08, 2018, 04:32:14 AM »
1% on purchases is pretty worthless as many credit cards get you more than that. I think Ally offers something on account balances that's better

frugalnacho

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Re: 1% Cashback checking account?
« Reply #2 on: January 08, 2018, 03:53:39 PM »
Agreed, I get minimum baseline of 1.5-6% back on all my cc, plus all the various sign up bonuses. 

soccerluvof4

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Re: 1% Cashback checking account?
« Reply #3 on: January 08, 2018, 04:02:09 PM »
+2....I dont claim to be a credit card Guru but I get double that on just my basic card

kpd905

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Re: 1% Cashback checking account?
« Reply #4 on: January 08, 2018, 06:36:14 PM »
The only benefit I see is if you can use it to make payments where a credit card cannot be used, or where a credit card is charged a high fee.  I would be able to do this with daycare expenses, but I am just going to pay the 2% credit card fee and churn through sign up bonuses instead.

Slee_stack

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Re: 1% Cashback checking account?
« Reply #5 on: January 09, 2018, 10:51:54 AM »
CIT bank is 1.55%.

Still low, but money xfer is fast...typically 1 business day...sometimes takes 2.

Not sure how long Vanguard takes (I've never withdrawn), but I presume more than 1 business day.

I keep a small pool of money in CIT.  I realize it is costing me probably $100 in alternative gains per year to do so.  What is flexibility/speed worth to you?  Choose accordingly.

hadabeardonce

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Re: 1% Cashback checking account?
« Reply #6 on: January 09, 2018, 10:58:48 AM »
I thought you were talking about an interest bearing checking account. I just moved to a credit union that provides one: https://www.starone.org/

As long as you make 10 purchases using their credit/debit card, they give you the same APY as their savings account, currently 1.25%.

They also offer a pretty good cashback credit card that provides 1.5% back.

jamaicaspanish

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Re: 1% Cashback checking account?
« Reply #7 on: January 09, 2018, 11:00:32 AM »
Agree with other posters -- you're settling if you're not getting 2.0% or more on cc purchases.
Many cc also offer extended warranties and will help you get a refund if necessary.  idk if any debit card purchases qualify for those services.

We are using the Lake Michigan Credit Union (lmcu) Max Checking to earn 3% on balances.
Minimum requirements to qualify for the 3%.  It's a great place for us to park our EF.