Brian McKay
Brian McKay
Co-Founder & Lead Data Architect- Automated Online Rate Data Aggregation
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High-Yield Checking Rates Fall to 1.581% for a Second Straight Report
High-yield checking rates fell 0.101 points to 1.581%, a second straight decline. Rewards, free, business and credit union checking averages also eased.
High-yield checking accounts pay an average 1.581%, down 0.101 points from September 22 and 0.293 points from 1.874% on September 16. Rewards checking rates fell 0.060 points to 1.538%, and free checking account rates fell 0.043 points to 0.777%. Business checking eased to 0.434% and credit union checking to 0.233%.
A MonitorBankRates reader survey taken September 16 to 23 asked whether readers planned to move money into a higher-yield account; 319 of the 380 who answered (84%) said yes. The Federal Reserve raised its benchmark rate a quarter point to 3.75% to 4.00% on September 16.
Key takeaways
- High-yield checking rates fell 0.101 points to 1.581%, a second straight decline; rewards checking fell 0.060 points to 1.538%.
- Free checking rates fell 0.043 points to 0.777%, business checking eased to 0.434% and credit union checking to 0.233%; all five checking categories averaged lower than on September 22.
- 319 of the 380 readers who answered our September 16 to 23 survey question (84%) said they plan to move money into a higher-yield account.
- On a $10,000 balance, the 1.581% high-yield checking average pays about $158.10 a year, against about $77.70 at the 0.777% free checking average; high-yield accounts usually carry activity requirements.
High-yield checking rates fell for a second straight report
Checking rates by account category, national average APY since late March
Average APYs from MonitorBankRates.com's nightly collection, the same series this report's figures come from, updated daily.
High-yield checking rates averaged 1.874% on September 16, 1.682% on September 22 and 1.581% this week. Rewards checking rates fell 0.060 points to 1.538%. High-yield and rewards checking accounts often carry activity requirements such as a minimum number of debit transactions or a direct deposit.
Free checking rates fell 0.043 points to 0.777%. Credit union checking fell 0.018 points to 0.233%, and business checking fell 0.008 points to 0.434%.
Change since September 22, by checking category (percentage points)
This report's averages, September 22 to September 29. Green bars rose; red bars fell.
Checking rates this week: September 22 vs. September 29
| Account Category | September 22 APY | September 29 APY | Change Since September 22 |
|---|---|---|---|
| High-Yield Checking ▼Rate-focused accounts, often with activity requirements | 1.682% | 1.581% | ▼ -0.101 |
| Rewards Checking ▼Debit-use & direct-deposit accounts | 1.598% | 1.538% | ▼ -0.060 |
| Free Checking ▼Broad no-fee market | 0.820% | 0.777% | ▼ -0.043 |
| Business Checking ▼Business & commercial accounts | 0.442% | 0.434% | ▼ -0.008 |
| Credit Union Checking ▼Share draft accounts | 0.251% | 0.233% | ▼ -0.018 |
| More on checking accounts: credit union checking · what a checking account is · compare checking rates | |||
| All APYs are national averages of what real licensed institutions are actually offering to depositors, not promotional teaser rates or rate aggregator estimates. This comparison runs September 22 to September 29, 2026. Category averages reflect products matching MonitorBankRates.com's checking classification. Source: MonitorBankRates.com. | |||
Checking rates 13 days after the Fed's increase
The Federal Reserve raised its benchmark rate to 3.75% to 4.00% on Wednesday, September 16, its first increase since 2023, by a 12 to 0 vote. The figures in this report were collected September 29, 13 days after the announcement. Checking rates are variable, so banks can change them after a Fed move; whether and when is each bank's decision.
What a $10,000 balance earns in checking
On a $10,000 balance, the 1.581% high-yield checking average pays about $158.10 a year and the 0.777% free checking average pays about $77.70. High-yield accounts usually have requirements attached, like a minimum number of debit transactions or a direct deposit each month, and checking account fees can exceed what a balance earns. The budget calculator lays out monthly income and expenses, and the savings goal calculator calculates the monthly deposit needed to reach a savings goal; both use rate data computed daily from more than 8,000 banks and credit unions. Our guide on why you should have savings and checking accounts covers how the two account types are used, Florida checking rates lists offers in that state, and category history is on our checking rate trends page.
Checking account averages on September 29
High-yield checking rates average 1.581%, rewards checking 1.538%, and free checking 0.777%. The rate an individual account pays depends on the institution and on meeting any activity requirements, and monthly fees can offset interest on smaller balances.
Data Coverage & Methodology
All APYs in this report are calculated from rates collected directly from institution websites by MonitorBankRates.com's proprietary systems, tracking what real licensed institutions are actually offering to depositors, not promotional teaser rates or rate aggregator estimates.
As of September 29, 2026, the latest collection ran September 29, 2026. Category counts overlap because an institution can offer accounts in more than one category.
This report is for general information and is not financial advice. The APY any account holder receives depends on the institution, balance, and account requirements; confirm current offers with institutions before making decisions.
