South State Bank $300 Checking Bonus: No Direct Deposit Needed, But Here's the Catch

If you're looking for a straightforward bank bonus that doesn't hinge on setting up direct deposit, South State Bank's latest offer might be right up your alley. They're currently offering $300 to new checking account customers, and the requirements are a bit different from what you usually see. Let's break it down so you know exactly what you're getting into.

What You Need to Do to Snag the $300

The process is pretty simple, but there are a few steps you can't skip. First, you'll need to open a new personal checking account with South State Bank and use the promo code 300BONUS when you apply. You'll also need to make an initial deposit of at least $25—that's your money, not part of the bonus.

Within 60 days of opening the account, you have to hit two main requirements. One, make at least 15 debit card purchases or payments. That's roughly two per week, so it's not a heavy lift. Two, you need to have either a total of $250 in qualifying direct deposits each month, or set up at least one automatic draft of $25 or more to a non-South State account. The direct deposit route is what most people think of—like your paycheck or Social Security—but the automatic draft option is a nice alternative if you can't or don't want to switch your direct deposit. Just be aware that transfers from other accounts, mobile deposits, or ATM deposits won't count.

Once you've met those conditions, the $300 bonus should show up in your account within two business days after the 60-day period ends. And remember, the IRS considers this bonus as income, so you'll likely get a 1099-INT form and need to report it on your taxes.

Who's Eligible? A Few Fine Print Points

Before you get too excited, make sure you're not a current or recent South State checking customer. If you've owned or been a joint owner of a personal checking account there within the past 12 months, you won't qualify. Also, you need to live near a branch—South State has locations in Alabama, Colorado, Florida, Georgia, North Carolina, South Carolina, Texas, and Virginia, but you'll want to check if you're within a reasonable distance.

One nice thing is that South State reportedly does a soft pull on your credit when you apply, so you don't have to worry about a hard inquiry affecting your credit score. They do use ChexSystems, though, so if you've had past banking issues, that could be a hurdle.

Avoiding Fees: The Key to Making This Bonus Worth It

Like many banks, South State charges a monthly maintenance fee on its Choice Checking account—$8 per month. But you can easily dodge that fee. The simplest way is to enroll in eStatements, which waives the fee entirely. If you prefer paper statements, you can still avoid the fee by meeting any one of these: make at least 5 debit card purchases per statement cycle, have $250 in combined direct deposits, or keep a $1,000 average daily balance.

Another fee to watch out for is the early account termination fee. If you close your account within 90 days of opening it, you'll be hit with a $25 charge. So even if you're just in it for the bonus, you'll want to keep the account open for at least three months to avoid that penalty. After that, you're free to close it if you want, but you might find it worth keeping if you can maintain the fee waiver.

Is This Bonus Worth Your Time?

Compared to some of the bigger bank bonuses out there, $300 might not seem like a game-changer. But the fact that you don't need to set up direct deposit is a big plus—it's often the biggest hurdle for people who can't or don't want to change their payroll. The alternative of an automatic draft is pretty easy to set up, and 15 debit card purchases is totally doable.

If you've already taken advantage of the more lucrative offers and are looking for another one to add to your list, this is a solid option. Just make sure you can meet the requirements and avoid the fees, and you'll come out ahead. Plus, if you're in one of the eligible states, it's a convenient way to earn a little extra cash with minimal effort.

Bottom Line

• No direct deposit required—use an automatic draft instead.
• Make 15 debit card purchases within 60 days.
• Avoid the $8 monthly fee by enrolling in eStatements.
• Keep the account open for at least 90 days to avoid the $25 early closure fee.

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