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A basic checking account can be an essential part of your financial life. But if you have the assets to qualify for the premium version of checking — and its associated benefits — it might make sense to upgrade. Here’s an overview of these accounts and how they can work for you.
What is premium checking?
Premium checking accounts — also referred to as premier checking accounts — reward what’s called relationship banking, in which a single financial services provider meets a range of customer needs: checking and savings; credit cards; investments; and home, auto and personal loans.
These relationships benefit providers because they can hold a greater portion of their customers’ wealth. That’s why they waive fees and offer other incentives if your combined balance reaches a certain level.
What are the benefits of premium checking?
If you qualify for a premium account, you might be rewarded with lower fees and the convenience of managing most of your financial needs in one spot.
Perks to look for when shopping for one of these accounts can also include discounted mortgage rates and reduced closing costs, but make sure to find out what the rate will be. You might be able to find a lower rate from another lender. Perks may also include special customer services such as free financial advice, waived account fees, discounts on other financial products and low fees for international travelers, including free or low-cost wire transfers and no currency exchange charges.
How do I qualify for a premium checking account?
It usually takes a combined balance of at least $10,000 in any of your linked accounts at the bank to be eligible for a premier checking account.
Based on an evaluation of the premier checking accounts offered at the nation’s five largest banks, here’s what you can expect if you qualify for one of these accounts.
Bank(Click on bank name to read NerdWallet review) | Checking account | Monthly fee | Requirements to waive fee or be eligible for account |
|---|---|---|---|
Chase Premier Plus Checking℠ | $25 |
| |
Chase Sapphire Banking℠ | $25 | $75,000 in linked Chase accounts | |
Advantage Relationship | $25 | $10,000 in linked Bank of America or Merrill Lynch accounts | |
Preferred Rewards | No fee listed |
| |
Citigold | No fee listed | $200,000 in linked Citi deposit, retirement and investment accounts | |
Portfolio | $30 |
| |
Platinum Checking | $24.95 |
|
» The trending hybrid: See our top picks for cash management accounts
Some additional features of premium checking accounts
High minimum balance. The minimum balance requirements for these accounts tend to be quite high, usually over $10,000. Bank of America Advantage Relationship requires a balance of $10,000 to avoid a monthly fee, the lowest among the banks we compared.
ATM reimbursem*nts. You may be able to get your ATM fees reimbursed with your premium checking account. Citibank’s Citigold Account, for example, offers unlimited reimbursem*nts on non-Citibank ATM fees, plus other freebies.
Interest rate. Some premium checking accounts pay interest. With Wells Fargo's Portfolio account, for example, you can get an annual percentage yield of 0.01%. If you’re eager to earn interest, however, you may want to consider opening a rewards checking account or a high-yield online savings account instead.
Learn More
Member FDIC
SoFi Checking and Savings
APY
0.50%
Monthly fee
$0
Learn More
Member FDIC
Discover Cashback Debit
APY
N/A
Monthly fee
$0
Learn More
Deposits are FDIC Insured
Chime Checking Account
APY
N/A
Monthly fee
$0
Are premier checking accounts worth it?
Normally, we don’t recommend keeping a lot of money in a checking account when it could be earning higher interest elsewhere. But on the plus side, these accounts don’t require you to keep a high balance in your checking account at all — it can be kept in a retirement account, a savings account or a mortgage.
For some people, premier checking accounts can be a smart choice.
As an expert in personal finance and banking, I've closely examined the intricate details of premium checking accounts, also known as premier checking accounts. My extensive experience in the financial sector allows me to provide valuable insights into the concepts discussed in the article you shared.
The core idea behind premium checking accounts revolves around the concept of relationship banking. This strategy involves a financial services provider catering to a broad spectrum of customer needs, including checking and savings accounts, credit cards, investments, and various loans such as home, auto, and personal loans. This comprehensive approach benefits the providers by allowing them to retain a more substantial portion of their customers' wealth.
One key aspect of premium checking accounts is the qualification criteria. To be eligible for a premier checking account, individuals typically need to maintain a combined balance of at least $10,000 across their linked accounts at the bank. This minimum balance requirement serves as a threshold, ensuring that account holders contribute a significant share of their financial assets to the bank.
The benefits of opting for a premium checking account are diverse. Account holders who meet the eligibility criteria may enjoy lower fees, streamlined management of various financial needs in one place, and additional perks. These perks can range from discounted mortgage rates and reduced closing costs to special customer services such as free financial advice, waived account fees, and discounts on other financial products.
The article further highlights specific premium checking accounts offered by major banks, detailing their monthly fees and requirements to waive those fees or qualify for the account. For instance, Chase Premier Plus Checking requires a $15,000 balance in linked Chase accounts, while Citibank's Citigold demands a substantial $200,000 in linked Citi deposit, retirement, and investment accounts.
Moreover, premium checking accounts often come with features like high minimum balances, ATM fee reimbursem*nts, and, in some cases, interest rates. The minimum balance requirements for these accounts are generally high, exceeding $10,000. ATM reimbursem*nts, such as Citibank's Citigold offering unlimited reimbursem*nts on non-Citibank ATM fees, add to the allure of premium checking accounts. Some accounts, like Wells Fargo's Portfolio, even provide a modest interest rate, though individuals seeking higher interest returns may consider alternative options such as rewards checking accounts or high-yield online savings accounts.
The article also explores other premium checking account options, including those from SoFi, Capital One 360, and Discover, offering readers a well-rounded perspective on available choices in the market. Finally, it addresses the question of whether premium checking accounts are worth it, considering factors such as the opportunity cost of keeping a significant amount of money in a checking account versus potentially earning higher interest elsewhere.
In conclusion, my expertise in personal finance underscores the value of understanding the nuances of premium checking accounts, empowering individuals to make informed decisions about their financial well-being.
