Level Checking-Savings Hybrid Account With .50% APY + $35 Signup Bonus

Update 10/2/20: Looks like they increased the debit card cash back rate from 1% to 1.5% for signature/online transactions. Also, they are now showing on Swagbucks with 3,500 ($35) if you signup for Premium or Plus level (you’d have to do that anyway to get the debit and other benefits). Hat tip to reader Kyle

Update 3/19/20: rate being reduced to .50% APY on 3/20/20.

Original Post:

Level Bank offers 2.10% APY checking account, along with the potential to earn 1% cash back on the linked debit card, and also offers ATM reimbursements. The Account has no monthly fees or foreign transaction fees. Level is an arm of Zero Financial which you may remember from their debit-style credit card which offers 3% cash back when you spend $100,000 annually.

Direct Link to Level Bank

Level 2.10% APY Account

Direct Link to Level Bank

The most interesting thing is the substantial 2.10% APY rate offered on the checking account. The rate is highly competitive even among high-yield savings accounts, and certainly for a checking account. We only have to wait and see if they maintain a rate which is at the top of the pack or if this is a sort of teaser/startup rate.

As is the case with some other fin-techs, they are essentially trying to roll the checking and savings account into one, something quite convenient. SoFi and Wealthfront have similar products.

1% Cashback on Debit

Level offers 1% cashback on signature and online debit card purchases, not on PIN purchase. One important caveat: you need to have a monthly $1,000 $2,500 direct deposit in order to be eligible for the debit card cash back.

As soon as your Level Debit Card transactions post, your cash back will become available for redemption. Can be redeemed as often as you’d like.

Other Account Details

• No monthly fees.
• No foreign transaction fees.
• No overdraft fees, no maintenance fees, no minimum balance fees.
• ATM Reimbursement: Level does not add-on any ATM fee. Moreover, if you use your Level Debit Card and the ATM owner charges you a fee, they’ll reimburse you for those fees, up to three (3) times a month and up to $4 per reimbursement.
• Level itself is not a legal bank; they offer banking services through partnership with Evolve Bank & Trust, Member FDIC. Evolve Bank & Trust holds all deposits in the Level Bank Account and is the issuer for the Level Debit Card, pursuant to a license from Visa U.S.A. Inc.
• Funds FDIC insured up to $250,000.
• U.S. government-issued photo identification is required to apply for Level. Accepted forms of identification include drivers license, passport, work permits issued by the U.S. Citizenship and Immigration Services (USCIS), or ID cards. You must have a physical address in one of the 50 U.S. states to apply for Level.
• Cash or check deposits are not currently accepted.

Our Verdict

I’m really impressed by their 2.10% APY rate, and there’s no minimum needed to get the rate. Other than the high-yield savings rate, there are a few other parts of this account which some might find interesting. Some people might have creative uses for the 1% debit cashback and the lack of ATM and foreign transaction fees is noteworthy.

Without check deposit and bill pay capabilities I don’t see how this can realistically be used as a checking account; I wouldn’t be surprised if they add that at some point. Regardless, this might be another good high-yield savings vehicle. We’ll add it to our List of Best Savings Account Rates.

Hat tip to reader Aaron