Evergreen Money High-Yield Checking Account 2024 Review
Evergreen Money, an SEC-registered investment advisor, offers a high-yield checking account with a twist. Deposits to your account are automatically invested in U.S. Treasury bills, offering the potential for higher returns. Treasury bills are a safe, secure way to save and the interest you earn is exempt from state and local tax.
The Evergreen Money Liquid Treasuries account is a high-yield checking account that offers an above-average APY compared to other interest-checking options. You get the same benefits as a standard checking account, including FDIC insurance coverage, but your money is held in Treasury bills allowing you to earn a better rate of return.
You might consider this checking account if you:
- Want to earn a competitive rate on your checking account
- Have at least $10,000 to get started
- Are comfortable paying an annual management fee
- Don't need branch banking access
This account works using a sweep structure. When money comes in, it's swept into T-bills to earn interest. When you use your debit card to make purchases or withdraw cash at ATMs, it's swept back out again.
Evergreen Money High-Yield Checking Account Pros & Cons
Compared to Other Checking Accounts
Fidelity Cash Management Checking Account
The Fidelity Cash Management account combines the features of a checking account and a savings account in one place. You can earn interest on balances through an FDIC-insured sweep program or park your unused cash in a Fidelity government money market fund. There are no account minimums or fees and you get unlimited ATM fee reimbursements worldwide.
Read our full editorial review of the Fidelity Cash Management account
Axos Bank Rewards Checking
Axos Bank Rewards Checking is a high-yield checking account that pays a market-leading APY. For a limited time, you can earn an introductory bonus when you open a new account and make qualifying deposits. There are no monthly fees or overdraft fees and no minimum balance requirements, plus Axos reimburses all domestic ATM fees.
Read our full editorial review of the Axos Bank Rewards Checking account
Ally Bank Interest Checking
Ally Bank pays interest on checking account balances, though it isn't as high as what you could get with the Evergreen Money account. There are no monthly fees or overdraft fees and you can access more than 43,000 Allpoint ATMs fee-free. Ally also gives you access to helpful financial tools, including direct deposit and spending buckets to divide up your money for different goals.
Read our full editorial review of the Ally Bank Interest Checking account
Alliant Credit Union High-Rate Checking
Alliant Credit Union's High-Rate Checking account pays interest on balances with no overdraft fees, monthly service fees or minimum balance requirements. You can access more than 80,000 fee-free ATMs for convenient cash withdrawals or bank online. You're eligible to join Alliant Credit Union if you work for or are retired from one of Alliant's business partners, or live in an eligible community in the Chicago area.
Read our full editorial review of the Alliant Credit Union High-Rate Checking account
Interest and Rewards
Evergreen Money Liquid Treasuries is a little different from other interest checking accounts. Instead of the bank paying you a flat rate your money works for you to earn interest using Treasury bills.
A Treasury bill is a type of short-term debt instrument that's issued by the federal government. When you invest in a T-bill you're essentially lending your money to the government for a set time. In exchange, the government pays you interest.
Since they're government-backed, T-bills are low risk. You can earn a solid rate on your checking account balances with Evergreen and your money isn't locked in the way it would be with a savings bond or a certificate of deposit.
Overall, the rate you could get with Evergreen Money is well above what you'll get from other high-yield checking accounts. The only stumbling block may be the $10,000 minimum deposit requirement you'll need to meet to open the account.
Note that this account doesn't offer rewards on debit card purchases. If that's something you're interested in you may want to look for a checking account that pays you cash back or points on debit card transactions.
Fees
Fees can drag you down if you're handing back a sizable chunk of money to your bank each month.
The Evergreen Money Liquid Treasuries account offers a unique spin on fees. Here's what you'll pay.
Other Service Fees - Evergreen Money High-Yield Checking
| Type | Fee |
|---|---|
| Monthly Maintenance Fee | $0.00 |
| Foreign ATM fee | $0.00 |
| Overdraft Fee | $0.00 |
| Paper Statement | $0.00 |
| Stop Payment | $0 |
| Foreign Transaction Fee | $0 |
| Incoming Wire Transfers (Domestic and International) | $0.00 |
| Outgoing Wire Transfers (Domestic and International | $0.00 |
| Official Checks | $0.00 |
The only fee you'll pay is a monthly advisory fee of 0.03%. This fee is calculated using your average daily balance.
So, if you have $100,000 in your account each day on average, then you'd pay a fee of $30 for the month.
Is that higher than a standard checking account fee? Yes, but you have to weigh the fee against what you could earn in interest over the same period. Based on the current APY Evergreen is offering you'd earn over $5,000 in interest for the year while paying $360 in fees.
Branch and ATM Access
The Liquid Treasuries account is an online checking account so there are no branches to visit. You will, however, be able to withdraw cash at ATMs.
Evergreen doesn't specify any ATM fees in its fee schedule but that doesn't mean other banks won't charge you to use their machines. If you regularly make ATM withdrawals it could make sense to look for an online bank that refunds foreign ATM fees.
That way, you can use any bank's ATM without it costing any extra money.
Account Access
Evergreen offers multiple ways to access and manage your account, including:
- Visa debit card
- ATM access for cash withdrawals
- ACH transfers
- Direct deposit
- Wire transfers with same-day receipt
- Mobile checking deposit
- Online banking
Evergreen doesn't specify any dollar limits or transaction limits on deposits and withdrawals in its account agreement. One thing it does mention, however, is the $10,000 minimum balance requirement.
If your balance falls below the $10,000 threshold Evergreen reserves the right to terminate your account.
FDIC Insurance
Deposits held in your account are FDIC-insured through Coastal Community Bank. FDIC insurance protects you on the off chance that a bank fails. The current coverage limit is $250,000 per depositor.
Since Evergreen is a registered investment advisor, not a bank, your deposits are also protected by SIPC insurance. This coverage protects you up to $500,000 against losses if your investment firm fails.
SIPC does not cover you against losses due to changes in your investment value. So if T-bill rates go down, you'll earn less interest on balances. But that's the same as any other savings account with a variable rate.
It's also worth noting that Evergreen is a fiduciary financial advisor. That means the firm is obligated to act in your best interests at all times.
What You Need to Open
If you'd like to open a Liquid Treasuries account you can do so online. Here's what you'll need.
- Valid email address
- Mobile phone number to download the app
- First and last name
- Date of birth
- Social Security number
- Bank account information to make your first deposit
- $10,000 to deposit
The signup process is quick and simple. If you have questions you can contact Evergreen support 24/7 via chat, phone or email. Wealth Associates are also available to discuss product offerings in more detail Monday through Friday.
Frequently Asked Questions
Is a high-yield checking account worth it?
High-yield checking accounts can be worth it if you're earning a competitive APY on balances while paying minimal fees. When comparing interest checking accounts it's helpful to look at the APY and how it's applied, as well as how the fees add up. You may also want to consider whether you can earn debit card rewards on top of interest for added value.
Are Treasury bills safe?
Treasury bills are backed by the full faith and credit of the United States government, which makes them exceptionally safe. The risk of losing money from T-bills is low while the potential to earn a solid interest rate is high. Treasury bill yields can fluctuate over time, however, which can affect the amount of interest you earn on your money.
How does an advisory fee work?
Advisory fees are calculated as a percentage of your account balance. Investment firms often reduce the advisory fee as your account balance climbs. Evergreen charges an advisory fee of 0.03%, which applies regardless of your account balance. The more money you keep in your account the more you'll pay for the fee.
