American Express (AXP+3.1%) introduced an all-digital consumer checking account that offers reward points for eligible debit card purchases and an annual percentage yield rate that's 10x higher than the national rate.
It also offers purchase protection for eligible purchase and has no monthly maintenance fees or minimums, the company said. The new checking account is available to eligible U.S. consumer card holders.
The checking account joins the company's existing consumer deposits products, such as the American Express Savings account and Certificates of Deposits.
Amex Rewards Checking offers APY of 0.50% and comes with a debit card, which earns members one membership rewards point for every $2 spent on eligible purchases.
While credit card loan balances are rising (after declining during much of the pandemic), payment rates remain elevated, companies and analysts have reported.