Eligibility Requirements
In order to qualify for earning interest on the Average Daily Balance of a North One Account (“Account”), Standard and Plus Plan customers must meet the following requirements:
- Accounts on Standard & Plus Plans must remain in good standing with a balance greater than $0.
- Customers must spend a cumulative of $500 or more on their North One Mastercard Small Business Debit Card (“Card”) in a given calendar month.
- Customers must certify under penalties of perjury that the tax information they provided North One is correct and that they are not subject to backup withholding.
NOTE: Transactions that are initiated during a given calendar month but settle after that month’s Eligibility Period concludes will count toward the Eligibility Requirements for the following month. Not meeting the Eligibility Requirements in a given month will not impact the ability to potentially meet them in a subsequent month. It will just result in no interest paid for that month. ATM Withdrawals and ACH/Wire Transfers will not count toward the cumulative $500 monthly Card spend.
Interest Calculation and Payment
Interest is compounded daily and credited monthly, using the average daily balance of the Account (“Average Daily Balance”). Average Daily Balance is calculated by storing the Account's available balance on a given calendar day, and on the first day following the end of the calendar month (if all Eligibility Requirements are met) then North One will sum the daily balances for that month and divide it by the number of days in that month to produce the Average Daily Balance. Interest is computed on a calendar year basis. We will pay monthly interest to eligible Accounts by the end of the first calendar day following the end of each calendar month, and only in whole cents. Therefore, at the end of each monthly interest payment period, any fractional amount of interest less than half of one cent will be rounded down and any fractional amount of interest equal to half of one cent or more will be rounded up to the next whole cent. We reserve the right not to pay interest on any deposited item that is returned to us unpaid. Any interest accrued and payable will be paid to the Account. No interest will be earned on balances over $250,000.
Rate Information
This is a variable rate Account. The interest rate and annual percentage yield (“APY”) that will be applied to your Account is determined by your program plan (“Plan”). There are two Plans (1) Standard and (2) Plus. Please refer to the Deposit Account Agreement that governs your Deposit Account for more information on the Plans, tiers, and eligibility requirements.
The current interest rate and APY for the Account appears in the Interest Rate Schedule shown below, based on your applicable Plan. This interest rate will be paid only for that portion of your average daily balance that is equal to or less than $250,000. If your average daily balance is greater than $250,000, you will not earn any interest on the portion of the balance in excess of $250,000.
| Program Plan |
Interest Rate for Portions of Average Daily Balance $250,000 or Less |
Annual Percentage Yield (APY) for Portions of Average Daily Balance $250,000 or Less |
Interest Rate for Portions of Average Daily Balance above $250,000 |
Range of Annual Percentage Yield (APY) for Portions of Average Daily Balance above $250,000 |
| Standard Plan |
2.47% |
2.50% |
0.00% |
2.50% to 1.78% |
| Plus Plan |
2.96% |
3.00% |
0.00% |
3.00% to 2.14% |
Subscription Update/Cancellation
If an Account is closed before interest has been credited to Account on the regular interest payment date for Account, no interest for the final interest payment period will be paid for that period. If an Account is suspended, interest will be accrued during the time the Account is suspended and will be paid out during the next payment cycle following the conclusion of the investigation, if Account is determined to be in good standing. If a customer upgrades their Account from Standard to Plus during an Eligibility Period, and has met the Eligibility Requirements, then the customer will earn 3.0% APY for that Eligibility Period. If a customer downgrades their Account from Plus to Standard during an Eligibility Period, and has met the Eligibility Requirements, then the customer will still earn 3.0% APY for that Eligibility Period. Customers that upgrade to the North One Plus Plan using a Free Plus Trial or Promotional Plus Offer are eligible to earn the increased APY of 3.0% for the duration of their trial if all Eligibility Requirements are met. For Accounts with balances over $250,000 the APY will range from 3.00% to 2.14% for Plus Plans and 2.50% to 1.78% for Standard Plans.
Tax Information
The value of the interest paid out on Accounts may constitute taxable income and may be reported to the Internal Revenue Service as interest income to the first signer on the Account, in the year received, as required by applicable law. Program is limited to customers who are citizens of the United States that furnish a valid TIN/EIN, and the Account must not be subject to backup withholding. Customers may be issued an Internal Revenue Service Form 1099 (or other appropriate form) that reflects the value of such interest paid on the Account. Please consult a tax adviser, as North One does not provide tax advice.
Standard & Plus Plan Terms & Conditions
These terms are a binding supplement to the
North One Business Account Agreement. Any capitalized terms not otherwise defined herein will have the same meaning as those defined in the Account Agreement.
Upon enrollment in the North One Standard or Plus Plan, customers agree to be bound by these North One APY Terms & Conditions (“APY Terms”) and those terms that govern the Account as further set forth in the Account Agreement.
Terms & Conditions Changes
The interest payable on interest-bearing Accounts and the methods used to calculate interest are subject to change from time to time. We may at our discretion change these APY Terms, or any aspect of the program that is not material, without notice or liability to customers. Customers will be given notice of material changes in accordance with applicable law.
Terms of Interest Accrual: Effective 12/18/2024
Banking services provided by The Bancorp Bank, N.A., Member FDIC. The NorthOne Mastercard® Small Business Debit Card is issued by The Bancorp Bank, N.A., Member FDIC, pursuant to license by Mastercard International Incorporated. Mastercard and the circles design are registered trademarks of Mastercard International Incorporated. Card may be used everywhere Mastercard is accepted.
