Joining is easy: you must be age 50 or better and maintain $5,000 in any combination of checking, savings, or money market accounts OR maintain $10,000 in certificates of deposit.Sign up for a Hills Bank debit card and have FREE access to over 60 ATMs in the Cedar Rapids and Iowa City Corridor. Apply online for your debit card today!Meet our Hills Bank Mortgage Team. Serving Iowa communities in Iowa City, Cedar Rapids, Coralville, Kalona, Marion, Mount Vernon and North Liberty.

Personal Checking Accounts

Hills Bank and Trust Company offers a variety of checking accounts for every lifestyle. Review the accounts below and when you find one that meets your needs, you can apply for the account online. If you would rather open your account in person, feel free to visit any of our convenient Hills Bank locations to speak to a Customer Service Representative.

Account Type   Minimum Balance Monthly Service
Charge		 # Checks per
Month		 Interest
Bearing
Free Checking More Info None None unlimited no
GO! Checking More Info None None unlimited no
Welcome Checking More Info $100 $0 if balance is maintained unlimited no
Homeowners' Checking More Info No minimum balance if home loan payment is automatically deducted;
No minimum balance with a Hills Bank secondary market home loan 		$0 if requirements are maintained unlimited no
Health Savings Account More Info None $3 (plus Iowa state sales tax) unlimited yes
Gold Checking More Info $1,000 minimum daily balance or combined relationship daily deposit balance of $5,000. $0 if balance is maintained unlimited yes
Employee Advantage More Info None None unlimited yes
Educators' Package More Info None None unlimited yes

Apply Rates Calculators

Ready to make the switch? Apply online or get started with our switch kit.

Simplify your banking. With a checking account package, you get the best combination of products and services to meet your financial needs. Take the first step to an easier and more rewarding financial life. Choose between an ez Package, Homeowners’ Package, or a Golden Package today!

ez Package


Features

Free Checking Account
  • No minimum to open
  • No minimum balance
  • Free check safekeeping of canceled checks of canceled checks or eStatement
  • $3* monthly fee with returned check images
  • $1* per non-Hills Bank ATM withdrawal^^

or

Welcome Checking Account

  • $100 minimum to open
  • $100 minimum daily balance (If daily balance falls below minimum, a $12** monthly basic fee will be assessed)
  • Free check safekeeping of canceled checks, eStatement or returned check images
  • 6 free non-Hills Bank ATM withdrawals per statement cycle^^
    ($1* each after 6)

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Homeowners' Package


Features Homeowners' Checking Account
  • No minimum daily balance if home loan payment or home equity loan payment is automatically deducted from this account (if automatic deduction is discontinued, account converts to Free Checking)
  • No minimum balance with a Hills Bank secondary market home loan
  • Free check safekeeping of canceled checks, eStatement, or returned check images

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Golden Package


Features

Gold Checking Account

  • $1,000 minimum daily balance or combined relationship daily deposit balance of $5,000 on the statement date (combined relationship balances are based on banking relationships of the first person listed on this account, who may be listed on other accounts as an owner, joint owner, or sole proprietor)
  • check safekeeping of canceled checks, eStatement, or returned check images
  • No monthly fee for Friends ClubSM members
  • If daily balance falls below minimum, a $9** monthly basic fee will be assessed

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* Subject to Iowa state sales tax
** Subject to Iowa state sales tax
*** Safe Deposit Box contents are not FDIC insured
^ Subject to credit approval
^^ A fee may be imposed by a non-Hills Bank ATM owner





Health Savings Account

Designed for customers who have a qualifying High Deductible Health Plan with an annual deductible of at least $1,150 for individual coverage or $2,300 for family coverage.

  • No minimum to open
  • No minimum balance
  • Unlimited check writing
  • Interest paid on entire account balance - refer to rates
  • No annual fee debit card^
  • Free Hills Bank Online SM
  • Unlimited free Hills Bank ATM transactions^^
  • $1* per non-Hills Bank ATM withdrawal (a fee may be imposed by a non-Hills Bank ATM owner)
  • $3* monthly fee (waived for Employee Advantage Account)

*Subject to Iowa state sales tax
**Subject to Iowa state sales tax
^Subject to credit approval
^^A fee may be imposed by a non-Hills Bank ATM owner

Frequently Asked Questions about Health Savings Accounts

These are meant to be general guidelines. For complete information about a Health Savings Account, visit www.irs.gov or speak to your tax consultant.

What is a Health Savings Account (HSA)?
These are accounts that permit individuals to save for, and pay, health care expenses on a tax-free basis. They are a tax-exempt trust or custodial account that you set up with a qualified HSA trustee to pay or reimburse certain medical expenses you incur. You must be an eligible individual to qualify for an HSA.

Who is eligible to have an HSA?
You must have a qualifying High Deductible Health Plan (HDHP) with an annual deductible of at least $1,150 for individual coverage or $2,300 for family coverage. These amounts are subject to cost-of-living adjustments. Please verify with your health insurance provider to be sure your plan qualifies. In addition, you cannot have any other healthcare coverage (visit www.irs.gov for more details), cannot be enrolled in Medicare, and cannot be claimed as a dependent on someone else’s tax return.

Is an HSA right for me?
We suggest you consult with your tax advisor prior to establishing an account.

How is a Health Savings Account (HSA) established?
No permission or authorization from the IRS is necessary to establish an HSA. When you set up an HSA, you will need to work with a custodian or trustee. A qualified HSA custodian or trustee can be a bank, an insurance company, or anyone already approved by the IRS to be a custodian or trustee of individual retirement accounts (IRAs). The HSA can be established through a custodian or trustee that is different from your health plan provider.

Who can contribute to my HSA?
Once you have met the requirements, you, your employer, and your family members may contribute to your HSA, regardless of your employment status.

How much can I contribute to my HSA?
For 2009, the specified amount is $3,000 for individual coverage and $5,950 for family coverage. In addition, a “catch-up” contribution is available for eligible individuals who have attained age 55 by the end of their taxable year but have not enrolled in Medicare. For 2009, the amount is $1,000.

What are the Federal Tax benefits of an HSA?
100% of your contribution is deductible. The earnings grow tax deferred and all qualified distributions are tax free. Be sure to consult with your tax or legal professional for guidance.

How do I claim the Federal Tax Deduction for my HSA contribution?
Any contributions made by you and your family members on your behalf are tax deductible as long as they do not exceed the maximum annual contribution amount. Employer contributions are not deductible. However, any employer contributions do not count as wages for federal income tax purposes.

When is the contribution deadline for funding an HSA?
All regular and catch-up HSA contributions for the current year can be made at any time during that year up to and including April 15 of the following year or the date you file your tax return.

How are HSA distributions taxed?
Qualified distributions from your HSA are excluded from gross income. Any other distributions should be included in your gross income and are subject to an additional 10% tax on the amount included, except in the following cases: your death or disability, or you reach the age of 65. Any HSA distributions that are not rolled over will be taxed as income in the year they are distributed unless used for qualified medical expenses. HSA custodians/trustees are not required to determine whether HSA distributions are qualified.

What happens to my HSA in the event of my death?
If you are married and your spouse is listed as your beneficiary, it becomes his or her HSA. If your beneficiary is not your spouse, the HSA ceases to be an HSA effective on the date of your death. The proceeds will be included in the beneficiary’s gross income for the year of death.

How do I know whether my expenses are qualified?
It is your responsibility to be sure that you are paying qualified health care expenses from your HSA. The best way for you to be sure if your expenses are qualified is to refer to Section 213 of the IRS Code, under Publication 502: Medical and Dental Expenses. To order IRS Publication 502, call 1-800-829-3676 or go the IRS website www.irs.gov. Hills Bank and Trust Company is not responsible for determining if your distributions were used for qualified expenses nor do we provide tax advice.

How do I open a Health Savings Account?
Simply stop by any of our convenient locations to fill out the application. Our customer service staff will be glad to answer your questions and help with paperwork.

How do I pay for my healthcare expenses with my Health Savings Account?
Your HSA is a checking account, so you can write checks for qualified expenses. You can also use your debit card anywhere Visa® is accepted.

How do I know how much money is in my Health Savings Account?
In addition to your monthly statements, you can access your account 24 hours a day using Hills Bank OnlineSM or Push Button BankerTM. You may also call Customer Service locally at 319-679-5500 (Iowa City), 319-654-8100 (Cedar Rapids), or toll free at 1-800-445-5725 (1-800-HILLSBK) during banking hours.

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Switch to Hills Bank: it's hassle-free and as easy as 1-2-3.


1. Open a Hills Bank Checking Account
Apply online whenever it fits your schedule or visit any of our 13 convenient locations to open your account. Have more questions? Feel free to call 1-800-HILLSBK or email us for more information.

2. Make the Switch
We will help you switch all your direct deposits and automatic payments, so leave the details to us. We'll just need the names, addresses, phone numbers, account numbers, and amounts you want to switch. A copy of your most recent bank statement would be helpful and can move the process along even faster.

When all the forms are complete, we will mail them to you for your signature, along with a postage-paid envelope to return your signed forms.

If you prefer to take care of the paperwork on your own, a helpful checklist and the forms you’ll need are listed below. You need to have Adobe® Acrobat Reader installed on your computer before using these forms.

Easy Switch Forms:

3. Close Your Account at Your Former Bank
We will monitor your new account weekly to make sure that all of your automatic payments and direct deposits have switched to your new Hills Bank account. As soon as everything has been switched, we will notify you that your old account will soon be closed.

Welcome to The Hills Bank Way of doing business!

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131 Main Street, Hills IA 52235 • 1-800-HILLSBK
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