Dedicated to Deposits: Deals, Data, and Discussion

Competitive 5-Year CD Rate at Bank of the West in Some States


Bank of the West

Update 5/25/2012: The 5-year Premium Money Market CD rate has fallen. According to the CSR, it's now 1.65% APY (down from 1.80% APY on 5/11). This is for California. Rates may vary for other states.

It's not common to find competitive CD rates at large brick-and-mortar banks, but I found one at Bank of the West. It's offering a 2.00% APY 5-year CD. This is the bank's Premium Money Market CD which requires a $2,500 minimum deposit. The rate isn't listed online, and it may vary by state. I called the bank yesterday (3/27/2012) and verified it for the bank's branches in California and Nevada.

I'm not sure why these CDs have the name Premium Money Market CD. According to Bank of the West website, these have fixed interest rates and terms. According to the bank CSR, they don't have any additional requirements. I was told that the early withdrawal penalty for CDs with terms over one year is 180 days of interest on the amount withdrawn (Update 3/30/12: Readers have reported being told higher EWPs at different branches. Make sure to read the disclosure at the branch before opening the CD). Unfortunately, the disclosure is not online. I was told that rates are generally updated on Thursdays. The CSR didn't think this 5-year CD rate would change soon, but it is subject to change at anytime.

If you do open this CD, you might also want to consider taking advantage of Bank of the West's checking account promotion in which you can earn $100. I reviewed this promotion in this March 19th post. One downside is that the bank ended its free checking earlier this year.

Bank of the West Overview

Bank of the West branches are located in the states of Arizona, California, Colorado, Idaho, Iowa, Kansas, Minnesota, Missouri, Nebraska, Nevada, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Utah, Washington, Wisconsin, and Wyoming.

Bank of the West is a large bank with $62 billion in assets. It has an overall health score at of 5 stars (out of 5) with a Texas Ratio of 8.86% (above average) based on December 2011 data. Please refer to our financial overview of Bank of the West for more details. The bank has been a FDIC member since 1934 (FDIC Certificate # 3514).

How This CD Rate Compares

Two percent CDs are not easy to find these days especially at large banks. US Bank is still offering its special 59-month CD with a 2.00% APY. BBVA Compass used to offer 2.00% 5-year CDs, but it recently cut the yield to 1.75%.

The best 5-year CD rates are available at credit unions. For all-access credit unions, the best rate is 2.35% APY at Justice Federal Credit Union for a $100K minimum (2.25% APY for a $500 minimum). If you have a military connection, you may be able to qualify for Air Academy Federal Credit Union which has a 2.45% APY 5-year CD for a $10K minimum deposit.

Searching for Top CD Rates

To search for nationwide CD rates and CD rates in your state, please refer to the best CD rates section of

  Tags: Bank of the West, Minnesota, Washington, Oregon, Oklahoma, Arizona, Nebraska, Idaho, Iowa, Kansas, Missouri, New Mexico, North Dakota, South Dakota, Wisconsin, CD rates

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Comment #1 by Anonymous posted on
I just visited a Bank of the West office and I was told that the early withdrawal penalty on the 5 year CD is at least 12 months interest.

Comment #2 by Anonymous posted on
I just called the branch here in San Francisco - (One Front Street: 415 597-5300) and the friendly CSR, Aida, read me the terms: EWP for a 60-month CD is 730 days!!! Two years? Really??

So what's the deal? Each branch can make up their own terms?

Comment #3 by KenBDG posted on
The California CSR who told me 180 days had said she thought the penalty had gone up, but she confirmed the 180 days from some documentation. This didn't give me a whole lot of confidence. If it's possible, it would be best to have them provide you with the disclosure before opening the CD. Then make sure you keep a copy of it. You might even want to have them sign and date the disclosure to confirm that is what they provided when opening the CD.

Comment #4 by KenBDG posted on
I tried to get an answer about the early withdrawal penalty by email. Here is the reply that I received:

"For security reasons, we are unable to release confidential account information from this e-mail site. Please contact your local branch directly for assistance in this matter."

It should be obvious that there is nothing confidential about the CD early withdrawal penalty. It looks like it's useless to attempt to get any answers using Bank of the West's email service.