Checking Account Promotions

There are many different types of new checking account promotions that are offered. Most banking institutions will specifically choose the type of reward, in order to target the specific demographics of the customer who they wish to attract.

In order to attract a first time account holder, the incentive to open a checking account or transactional account may be a bonus on the value of the first deposit. An example of this may be that the bank will offer $100 for a $250 initial deposit. In today’s competitive environment, the institution may even offer a “no terms or conditions” bonus – just to secure the account. Be certain to double check that the coupon is valid in your area.

In order to appeal to an up-and-coming business people, the bank may offer checking account promotions, where the account is linked to air-miles. Each time a customer transacts on the account, they are rewarded with air-miles which accumulate and can be used for business or personal travel.  Free Air-Miles, can assist the young business person to make that all important business trip and seal that first big deal.

If you are in the market to purchase the latest electronic gadget or accessory, such as an apple i-pad or a GPS system for your car – and you are unhappy with your bank, then it is advisable to look around for a check account promotion which rewards new account holders with a voucher for your choice of the latest electronic device.

For those who deposit and spend large sums of money through their checking accounts, a cash back bonus may offer the greatest reward. How a cash back bonus works is that the bank will pay your a percentage of your total transactional spend, back in cash at the end of the month. These average at around 2% so if you spend $10 000 you will receive $200 back in cash.

Another excellent type of new checking account promotions are offers which offer a Annual Percentage Yield (APY) . Some deals are structured so that if you make a certain amount of electronic transactions on your account, you will receive a preferential rate of interest. This is more suitable for account holders who perform higher value transactions or for customers who are servicing large loans. In the long run, it is the compound interest that is the biggest expense, so the lower the rate of interest the more money you save.

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