Free iPod Touch Offer from KeyBank

KeyBank is giving away free iPod Touch when opening a checking account between now and June 24, 2011. KeyBank has done similar promotion a couple of times in the past for its checking accounts. This time the requirements for the free iPod seems to be quite high. Basically, to get the free iPod Touch, what you need to do are

• Open a KeyBank checking account online and enter promo code ONTT0311 before the June 24, 2011 deadline;
• Make at least 10 payments and/or purchases per month in the first 3 months of account opening;
• Make 3 direct deposits each of at least $500 within the first 3 months of account opening.

Checking accounts that qualify for this promotion include Key Express Checking, Key Coverage Checking, Key Advantage Money Market Checking, Key Privilege Checking, and Key Privilege Select Checking. Among them Key Express Checking is a basic checking account. However, like many other banks which now charge monthly fee for their checking accounts, the Key Express Checking also requires at least $500 direct deposit in order to avoid the services charge. The Key Advantage Money Market Checking, Key Privilege Checking, and Key Privilege Select Checking are interest bearing checking account, and they all require very high monthly balances to avoid monthly fee.

A few years ago when offers like this first appeared, they were quite appealing because back then people wanted an iPod for free. Now with some many already have a smartphone that does more than an iPod Touch can do, I don’t know if there are still people want to go through all the trouble (open an account, 10 purchases per month for three months, and 3 direct deposits) to get the device that’s worth some $200 and pay tax for it the next year (as it indicates below, the value of the iPod will be reported in a 1099-INT form).

Anyway, if you are still interested,  here are the T&C of this offer:

Between 3/26/11 and 6/24/11, you must open a Key Express (this is the basic banking account in NY), Key Coverage, Key Advantage, Key Privilege, or Key Privilege Select Checking Account online and make at least 10 posted payments and/or purchases from the new checking account per month for the first three months after account opening, plus within three months make a total of three direct deposits each of $500 or more to get your gift. One month is calculated as 31 calendar days from account opening date (three months equals 93 calendar days from account opening date). Limit one gift per qualifying account. Limit one gift per individual. The value of your gift will be reported on Form 1099-INT. Your gift will be shipped within 90 days of meeting requirements. Qualifying purchase and payment transactions include checks, MasterCard signature, PayPass® and PIN-based purchases, Key Bill Pay, debit card automated payments, PayPal® transactions, and Automated Clearing House (ACH) direct payments. Direct deposit transactions are limited to payroll, Social Security, pension, and government benefits. Offer available to individuals without an existing checking account at KeyBank as of 3/25/11. Offer not available to individuals who have opened a KeyBank checking account in the last 12 months. Employees of KeyBank, its affiliates, and subsidiaries are not eligible for this offer. If you close your account within 180 days of account opening, you will be charged a $25 account early closure fee. Accounts overdrawn or closed as of 9/30/11 are not eligible for this offer.