Checking Account Rates Drop

Checking accounts generally don't pay much - if anything - but things are even worse now than they used to be.

Bank accounts such as ING Direct's Electric Orange Checking account used to pay a nice return while allowing you to write checks and use a debit card to access your cash. Now that rates are falling across the board, even high yield checking accounts don't pay much.

Consumerism Commentary noted that Electric Orange only pays half a percent to most account holders, but of course you can earn more if you have a large account balance. Other banks have brought rates down in sympathy.

If you insist on earning as much as possible, you may have to look at rewards checking accounts. These accounts require you to jump through some hoops, but they're still paying a decent yield.

Further reading:

• How Reward Checking Accounts Work
• Online Interest Checking Providers