FinTech News
Bask Bank Launches Interest Checking Account
After teasing a new account type a few weeks ago, Bask Bank has now opened an Interest Checking option to all customers.
About the new account:
With the new Bask Interest Checking, customers can earn 1% APY while enjoying the benefits of a mobile-first checking account. Not only can accountholders use their Bask debit card to make purchases wherever Visa is accepted but they will also have access to more than 55,000 fee-free ATMs that are part of the Allpoint network. Interest Checking does not charge any monthly account fees, international transaction fees, or other common fees (although some charges may apply for wire transfers, rushed replacement cards, legal processing, etc.). Plus, with Bask being a division of Texas Capital Bank, funds are FDIC insured up to $250,000 per depositor.
About Bask Bank:
In early 2020, Bask Bask launched its unique Mileage Savings account. Rather than earning cash interest, these savings accounts accrued American Airlines AAdvantage Miles on a monthly basis. Currently, Mileage Savings customers can earn 2.5 miles for every dollar saved annually. For example, a customer who keeps $10,000 in their account for a year would earn a total of 25,000 AAdvantage miles over the course of that year (so roughly 2,083 miles each month). Originally, this rate was set at 1 mile per dollar saved annually, but adjustments in APY have seen Bask upping the rate to remain more competitive,
At the same time, while Bask Bank may have its grand debut with Mileage Savings, it’s since expanded into more “traditional” digital banking accounts. This includes offering an Interest Savings account, which currently features 5.1% APY. The introduction of Interest Checking further expands the brand’s product line-up.
My thoughts:
It’s interesting to me that Bask continues to roll out, for lack of a better term, “regular” online banking accounts when their first product was so unique. While I suppose that the regular balance changes inherent to checking accounts may make calculating mileage accrual more difficult, I am surprised that an AAdvantage version of Interest Checking didn’t arrive first and hasn’t been teased. Moreover, I’ve wondered for a while whether Bask might be ready to end its Mileage Savings account — although I haven’t actually seen any firm indication that such a move might be in the works.
Going back to Interest Checking itself, earning 1% APY is pretty good for a checking account. But, I do think Bask could be a little more aggressive if it really wants to stand out. For example, it would be cool if the bank offered 1% APY as well as 1% back on debit transactions. In any case, here’s hoping that Bask’s Mileage Savings only sticks around and that, perhaps, a Milage Checking arrives in the future.
