Louisiana Deposit Account Rates and Deals

I first reported on Coastal Commerce Bank's reward checking account in 2008 when the yield was 6.01%. Rates have fallen and other changes have occurred, but the account is still a good deal. It has recently been re-branded as Kasasa Cash Checking. The top yield as of 8/31/10 is still competitive at 4.01% APY. One downside is that the balance cap has fallen. The top yield used to apply up to $35K. It's now $20K. Here's a summary of the account as of 8/31/2010:

• 4.01% APY up to $20,000
• 1.01% APY for portion over $20,000
• 0.20% base rate if requirements are not met
• Unlimited nationwide ATM fee refunds

Monthly requirements include:

• 10 debit card purchases
• One direct deposit or ACH automatic payment
• Receive e-statements

The account is a free account with no monthly fees or minimum balance. The bank also offers a companion savings account called Kasasa Saver. It has the following yields if the Kasasa Cash requirements are met:

• 1.50% APY up to $20,000
• 0.75% APY for portion over $20,000
• 0.20% base rate if requirements are not met

The Saver Account makes sense if your balance is over $20K, and you don't want multiple reward checking accounts. The Saver Account yield for balances up to $20K is higher than most internet savings accounts.

Online Application

Both the Kasasa Cash and Saver accounts can be opened online. The online application is provided by Kasasa.com. According to the bank rep, these accounts are only available to Louisiana residents.

Certificate of Deposit Rates

The bank also offers some very competitive CD and IRA CD rates. These rates are listed in the bank's interest rates page as of 8/31/2010:

• 3.25% APY 5-Year CD and IRA CD
• 2.50% APY 3-Year CD and IRA CD
• 2.25% APY 2-Year CD and IRA CD

Minimum deposit is $1,000. There's an online application for these CDs. However, the application states that you are expected to visit a branch to complete the application process.

Branches are located in the Louisiana cities of Houma, Thibodaux, Cut Off and Chauvin.

The bank's overall health score is 3 out of 5 with a Texas Ratio of 5.48% at DepositAccounts.com based on 3/31/10 data (see our financial overview of Coastal Commerce Bank). The bank has been a FDIC member since 1999 (FDIC Certificate # 35005).

Searching for the Best CD and Checking Rates

To search for the best nationwide rates and the best rates in your state, please refer to the following sections of DepositAccounts.com:

• CD rates
• IRA CD rates
• Reward Checking Rates

Air Force FCU has come out with a very competitive 18-month CD special. Rates range from 2.25% APY for a $100K minimum deposit to 2.00% APY for a $1,000 minimum. The following is a full list of the rates as listed in the credit union's savings rates page as of 7/5/2010:

• 2.25% APY 18-month CD min $100,000
• 2.20% APY 18-month CD min $25,000
• 2.15% APY 18-month CD min $12,500
• 2.10% APY 18-month CD min $2,500
• 2.00% APY 18-month CD min $1,000

These same rates are also available for IRA certificates. The credit union's early withdrawal penalty is a little convoluted:

The early withdrawal penalty will be equal to one half of the dividends that would accrue from the date of the withdrawal to the maturity date applying the contracted rate on the certificate based to the amount withdrawn over and above any dividends credited to the certificate to date of withdrawal.

It has been a while since I last reported on Air Force FCU. My last post was in January 2009. The credit used to offer many competitive CD rates back in 2007 and 2008.

One thing that has changed at Air Force FCU since my previous posts is the field of membership (FOM). The credit union has reduced the size of the FOM. It used to be open to all US Armed Forces. If you click on the credit union's "join us" link and then click on "become a member" link, you can see the full details of the credit union's FOM. In summary, it's now limited to those connected to the military who are working in Texas, Oklahoma, Arkansas, Louisiana, or Mississippi.

Membership application is available online. For those who prefer to visit an office, branches are located in San Antonio, Texas. The credit union is also part of the CU Service Centers which allows you to make several banking transactions at shared branch offices around the nation.

The credit union's ratings for safety and soundness are mixed: 5 stars (superior) at BauerFinancial, 3 stars (performing) at Bankrate.com and an overall health score of 3 out of 5 at DepositAccounts.com (see our Air Force FCU financial overview). These ratings are based on March 2010 data except for Bankrate which is based on 12/31/09 data. The credit union is federally insured by the NCUA (Charter # 8169).

Membership Eligibility Change and the NCUA

This change in the FOM has an interesting history that could be relevant to other credit unions. Last year the NCUA cited Air Force FCU for improper membership. According to the NCUA's letter of understanding and agreement

The Credit Union previously took an overly expansive view of their field of membership that was inconsistent with Section 5 of its charter. As a result, it has accepted share accounts, and extended loans to, individuals otherwise unqualified for membership, which has had a direct effect on the Credit Union's rapid growth and accounts for a significant percentage of its shares and its loan portfolio. These actions have led to our present supervisory concerns about operations and management.

For those who joined the credit union when they had a broad FOM, they may be at risk of losing their membership. Here's the last agreed upon action in the letter of understanding:

The Credit Union, if so directed by NCUA after reviewing the Firm's audit results, shall divest itself of all loans and shares attributable to "unqualified members."

I've seen cases in the past in which people were angered when they were not allowed to join a credit union. This shows why credit unions enforce their field of membership. Also, it shows how members could be affected by credit unions which don't follow their own charters. Based on this example, it appears that members with long-term CDs could find their CDs closed early (I would guess they would get all accrued interest) if the credit union ends their memberships.

BancorpSouth is advertising three fairly competitive special CD rates. These include a 3.00% APY 59-month CD, a 2.50% APY 39-month CD and a 2.00% APY 23-month CD. A checking account is required. Minimum deposit is $1,000. These specials don't appear to be listed at the bank's website. They were advertised in yesterday's (6/06/10) Tyler Morning Telegraph newspaper. The ad is available online here.

The small print of the ad includes important info regarding where these specials are available and how long they are scheduled to last. Excerpts of the small print are shown below:

CD offer good at BancorpSouth locations in Huntsville and Mobile/Baldwin County, AL; Fayetteville and Rogers, AR area, Destin, FL area, Baton Rouge area, Lafayette, Alexandria, LA; Springfield, O'Fallon and Clayton, MO, Lufkin, Longview and Tyler, TX only and for funds not currently on deposit at any BancorpSouth office. Minimum deposit $1,000. Maximum deposit $250,000. Not good with any other offers. [...] BancorpSouth checking account with Debit Card required. Offer good through June 30, 2010.

As noted in the small print, a checking account is required. This BancorpSouth table provides a good overview of its checking accounts. The bank does offer a free reward checking account called Performance Checking (my review).

Most of BancorpSouth branches are located in Mississippi, Alabama, Tennessee, Arkansas and Louisiana. There are also a few in East Texas, the Florida Panhandle and in the Springfield and St. Louis metro areas of Missouri.

BancorpSouth's ratings for safety and soundness are strong: 4 stars (excellent) at BauerFinancial (based on 3/31/10 data), 4 stars (sound) at Bankrate.com (based on 12/31/09 data) and an overall health score of 3 out of 5 at DepositAccounts (see our BancorpSouth Bank rates and reviews page). The bank has been a FDIC member since 1934 (FDIC Certificate # 11813).

Update 5/12/2010: The CD rates have fallen. Please check the credit union website for the latest rates.

I came across RiverLand Credit Union today. It's similar to Fort Knox FCU in that it offers very competitive CD rates and has made it easy to join via an association. The CD rates are currently no better than Fort Knox FCU, but in this low interest-rate environment, it never hurts to have more choices. One advantage over Fort Knox is that RiverLand CDs have a step-up option.

As you can see below, RiverLand's CD rates are very competitive. These rates are listed at the credit union's rates page as of 4/29/2010:

• 3.50% APY 60-month
• 2.75% APY 36-month
• 2.25% APY 24-month
• 2.00% APY 18-month
• 1.75% APY 12-month
• 1.50% APY 6-month
• 1.25% APY 3-month

Minimum deposit is $1,000, and these are also available in IRA and HSA accounts. The step-up option gives the member the choice to step up the CD rate any time after the half-way point through to the maturity date as long as credit union's rates for the like term CD are higher. There's only a one-time option to step-up the rate.

The credit union's website has a chat service, and I just used this to ask some questions. According to the CSR, they review rates every Wednesday. However, the rates have not changed very often. The last change was on 3/31/10, before that, the last time they changed was 8/06/09. I was also informed by the CSR that the early withdrawal penalty for the 60-month CD is 6 months of dividends.

Membership

According to the credit union's membership page:

In our support of the Arts in New Orleans, RiverLand Credit Union membership is extended to all members of the New Orleans Arts Council. If you would like to become a member of RiverLand you may join the Arts Council first, and then join RiverLand.

The link to join the association is below this paragraph on the membership page. Here are further details that I received from the CSR:

Once you are a member of the Arts Council of New Orleans, you may complete a membership application, available on our website, and send it in with two forms of ID (acceptable forms are listed on the application) for each signer on the account, proof of residence (if your driver's license does not show your current address), a copy of your donation receipt or membership letter from the Arts Council, and a $6.00 check or money order for your opening deposit. You may send a check or money order for the CD at the same time, just be sure to include instructions for how much to invest and which term you would like.

Note, $5 is for the share savings account and $1 is a one-time fee. You can also fund a CD with money in your share savings account. According to the CSR:

If the funds are already in your RiverLand account, you may set up the CD over the phone by calling 800-586-4728 option 3 for member services.

RiverLand is part of the CU Share Service Center Network. This can make it easier and quicker to deposit and withdrawal funds from your RiverLand savings account.

Credit Union Overview

RiverLand's main office is in New Orleans. Other branches are located in the Louisiana cities of Gretna, Jefferson, Killona and Amelia, in the Texas cities of Beaumont and The Woodlands, and in the Mississippi cities of Jackson and Port Gibson.

As I described above, RiverLand is part of the CU Share Service Center Network.

For those worried about another Hurricane Katrina, the credit union has a page covering their Business Continuity Plan.

The credit union's ratings for safety and soundness are average: 3 stars (adequate) at BauerFinancial (based on 12/31/09 data) and 3 stars (performing) at Bankrate.com (based on 9/30/09 data). The credit union is federally insured by the NCUA (Charter # 64534).

P.S. I just noticed that I had posted on RiverLand two years ago when it was offering a high-yield CD. However, at that time they did not have the association option for membership.

Synergy Bank is offering a high-yield reward checking account called Kasasa Cash. It has the following rates and features if certain monthly requirements are met as of 4/19/2010:

• 3.80% APY on balances up to $25,000
• 0.80% APY on portion of balance over $25,000
• 0.10% base rate if requirements are not met
• Unlimited nationwide ATM fee refunds

Monthly requirements include:

• 12 debit card purchases
• 1 Direct Deposit or ACH automatic payment
• Receive electronic statements

Other account features include:

• $100 minimum initial deposit
• No monthly service fees
• No minimum balance requirement
• Free online bill pay

The bank pairs Kasasa Cash with a savings account called Kasasa Saver. This is intended for those with a balance of over $25K. The Kasasa Saver has the following rates if the Kasasa Cash requirements are met:

• 1.80% APY on balances up to $25,000
• 0.80% APY on portion of balance over $25,000
• 0.10% base rate if Kasasa Cash requirements are not met

The bank has an online application at Kasasa.com. However, it requires that you enter your zip code, and it appears to only accept zip codes from Louisiana. It accepted zip codes from Baton Rouge (70801), New Orleans (70141) and Shreveport (71101).

Branches are located in Houma and Gray, Louisiana.

The bank's ratings for safety and soundness are strong: 4 stars (excellent) at BauerFinancial (based on 12/31/09 data) and 5 stars (superior) at Bankrate.com (based on 9/30/09 data). It's rare to see a Bankrate rating of 5. Synergy Bank has been a FDIC member since 1999 (FDIC Certificate # 34978).

Other High-Yield Reward Checking Accounts

Please refer to the reward checking section of DepositAccounts.com to find reward checking accounts in your state or that are available nationwide.

BancorpSouth Bank continues to offer a high-yield reward checking account called Performance Checking. I first reported on this account in May 2008. The rates have fallen a bit, but it remains competitive, and it has a higher-than-average balance cap of $30K. Another thing nice about this bank is that it's large with 289 offices throughout the Southeast. So if you're looking for a local reward checking account, a BancorpSouth branch may be nearby.

The rates are not easy to find at the bank's website. The only place I found the rate was at the start the online application (link to application located at this BancorpSouth page). You first have to select the state and the city of your home branch. The next page has links for each account, and you can click on the link for the Performance Checking to see the rate. It does vary based on your city. I've checked a few cities, and here are the two rates as of 3/11/2010:

• 3.25% APY up to $30K for Baton Rouge, LA & Tyler, TX
• 3.00% APY up to $30K for Destin, FL & Huntsville, AL

Please leave a comment about the rate if you check your city. The Performance Checking account has the typical reward checking features such as debit card usage (12 per month). Refer to this BancorpSouth page or my BancorpSouth checking review for more details.

Performance Savings Account

One thing that has been added since my 2008 post is a high-yield savings account. This also has the Performance name. The Performance Savings has a 1.50% APY (as of 3/11/2010) for all balances if the following two requirements are met:

• Transfer at least $50 into your Performance Savings account each interest cycle electronically via ACH or Internet Banking Transfer.
• Combine your Performance Savings statement with your BancorpSouth Checking account statement (you will no longer receive a separate statement for your Performance Savings account).

If these requirements are not met, the rate falls to the standard rate of 0.15%. This does require the Performance Checking account, but unlike other reward checking/savings combos, you don't have to meet the reward checking requirements to qualify for the bonus rate.

The Performance Checking and Savings accounts provide a nice alternative to savings accounts at internet banks, many of which now have rates of 1.25% or less.

Online Application and Branch Locations

As I mentioned above, there's an online application for both these accounts at this BancorpSouth page. The application makes it appear that you have to live near a branch to qualify. Most of BancorpSouth branches are located in Mississippi, Alabama, Tennessee, Arkansas and Louisiana. There are also a few in East Texas, the Florida Panhandle and in the Springfield and St. Louis metro areas of Missouri.

Financial Overview

BancorpSouth's ratings for safety and soundness are strong: 4 stars (excellent) at BauerFinancial (based on 12/31/09 data) and 4 stars (sound) at Bankrate.com (based on 9/30/09 data). The bank has been a FDIC member since 1934 (FDIC Certificate # 11813).

Thanks to the reader who emailed me news of this reward checking account.

Other Reward Checking Accounts

As I mentioned above, BancorpSouth is a large bank with 289 branches, $13.2 billion in assets and $10.6 billion in deposits. There are not many other large banks offering reward checking accounts. I recently reviewed a few large banks offering reward checking, but I forgot about BancorpSouth which happens to be larger than the ones I mentioned in that post.

To find nationally available reward checking accounts and reward checking accounts in your local area, please refer to the reward checking section of DepositAccounts.com.

Northrop Grumman Federal Credit Union is offering special 9-month, 18-month, 30-month and 60-month CDs and IRA CDs. Unfortunately, these are not available to all members (see below). The best rates require a $40K minimum deposit. These are listed at the credit union's rates page as of 2/26/2010 and include:

• 1.92% APY 9 months
• 2.41% APY 18 months
• 2.81% APY 30 months
• 3.63% APY 60 months

Rates are about 25 basis points lower for a $2,500 minimum.

Unfortunately, unlike NGFCU's standard CDs, these specials are available to NGFCU members of record prior to 1/31/2010 and to NGC and LA Metro employees and their family members who are not current members. Note, this restriction is stated near the top of the rates page. This is the same promotion that NGFCU did last year (and the year before), so if you're not already a member, you may want to join now so you can take advantage if they offer this again next year.

For those who don't qualify for these promotions, NGFCU continues to have some competitive rates on its regular CDs. These are listed at the credit union's rates page as of 2/26/2010, and the most competitive ones include:

• 1.63% APY 6 months
• 1.87% APY 12 months
• 2.15% APY 24 months
• 3.32% APY 48 months

The above rates require a minimum deposit of $40K. Rates are about 25 basis points lower for a $2.5K minimum.

Membership Eligibility

Anyone can qualify for NGFUC membership by joining the Southern California Historical Aircraft Foundation (SCHAF). The credit union website has an online application link that takes you to the Andera service where you can join the SCHAF, join the credit union and open accounts. According to the first page of the Andera application:

Members of the Southern California Historical Aircraft Foundation (SCHAF). When you join using this method, you will receive a free one-year membership in SCHAF concurrent with your lifetime Credit Union membership.

Refer to the credit union's eligibility page for more details. For more details about membership and their certificates, please refer to my 2008 Northrop Grumman FCU review post.

NGFCU has branches in several cities of California, Illinois, Maryland, Virginia, Louisiana and Florida.

NGFCU ratings for safety and soundness are above average: 5 stars (superior) at BauerFinancial and 3 stars (performing) at Bankrate.com. Both ratings are based on 9/30/09 financial data. The credit union is federally insured by the NCUA (Charter # 24292).

Crescent Bank & Trust has several competitive CD rates. There are five CD specials, but many of its standard CDs are actually more competitive. These include a 2% APY 12-month CD, a 2.40% APY 18-month CD and a 3.15% APY 36-month CD. Minimum deposit is $1,000. The most competitive CD special is the 44-month CD with a 3.40% APY. Minimum deposit is $5,000. These rates are listed in the bank's rate table as of 1/08/2010.

A branch visit is required to open accounts. Branches that can process CD applications are located in New Orleans, Metairie, Alexandria, Covington and Shreveport, Louisiana.

The bank's ratings for safety and soundness are above average: 4 stars (excellent) at BauerFinancial (based on 9/30/09 data) and 3 stars (performing) at Bankrate.com (based on 6/30/09 data). The bank has been a FDIC member since 1991 (FDIC Certificate # 33492).

Other Competitive Certificate of Deposit Rates

• CD rates at DepositAccounts.com
• My weekly list of hot nationwide and local CD deals

Regions Bank has adjusted its special CDs, but they remain competitive in many states. All areas appear to have the same long-term CD special rates: 2.50% APY for 23 months and 3.00% APY for 42 months. The 7-month CD special also appears common for all areas, but it's not nearly as competitive with a 1.25% APY. They used to have a 12-month special, but the term is now 15 to 17 months. The APY is 2.00% for many states (I've confirmed this for AL, GA, IL and TX). In some states it's only 1.75% APY (I've confirmed this for FL and IN). The rates vary by area, so you'll have to enter your zip code at Regions CD page to see the rates available for your area. The above rates were checked on 12/16/09.

Minimum deposit for the above specials is $10,000 with a $1 million maximium, and new money is required. Also, the CD page states that you must have or open a Regions checking account. A reader in my last Regions post mentioned that his Texas branch hasn't required him to open a checking account. So you may be able to get out of the checking requirement if you have some nice reps at your local branch.

When I had last checked with Regions on its special CDs, a branch visit was required to open an account. Branches are located in Alabama, Arkansas, Florida, Georgia, Illinois, Indiana, Iowa, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee and Texas.

Regions lost $473 million in the third quarter, and it's in the process of cost-cutting which includes closing some branches. According to this Herald Tribune article, it's closing 22 offices in Florida and 121 in its 16-state footprint. Regions was one of the major banks that were required to raise capital based on the government's stress test last spring (see post).

Regions Bank's rating for safety and soundness at Bankrate.com is 1 star (lowest) based on 6/30/09 data. At BauerFinancial it was 3 stars (adequate) when it was based on 6/30/09 data. It remains 3 stars based on 9/30/09 data. Regions Bank has been a FDIC member since 1934 (Regions' FDIC Certificate # 1368).

Other Competitive Certificate of Deposit Rates

• CD rates at DepositAccounts.com (overview of DepositAccounts.com)
• My weekly list of hot nationwide and local CD deals

Cross Key Bank is offering a high-yield reward checking account called Gold Key Rewards Checking. The account has the following rates and features if certain monthly requirements are met:

• 4.05% APY on balances up to $25,000
• 1.00% APY on portion of balance over $25,000
• 0.10% base rate if requirements are not met
• Refunds ATM fees nationwide up to $25 per cycle

The monthly requirements include:

• 12 Visa check card purchases
• 1 direct deposit or ACH auto debit
• Receive e-statements and be enrolled in internet banking

Additional features of the account regardless of the monthly requirements include:

• $100 minimum initial deposit
• No minimum balance requirement
• No monthly service charge
• Limited to one account per primary account holder

In addition to the online application at the bank's reward checking page, there's an online application at CheckingFinder.com. This bank shows up for all US zip codes at CheckingFinder.com, and you can apply online at this CheckingFinder page. Note, banks often change the availability of these accounts. If the bank starts limiting the account to its market area, the start of the application will reject your zip code. Please leave a comment if this happens.

Branches are located in the Louisiana cities of West Monroe, Monroe, Rayville, Sterlington, St. Joseph, Tallulah and Waterproof.

Cross Key Bank's ratings for safety and soundness are strong: 5 stars (superior) at BauerFinancial (based on 9/30/09 data) and 4 stars (sound) at Bankrate.com (based on 6/30/09 data). The bank has been a FDIC member since 1934 (FDIC Certificate # 9322).

Other Reward Checking Accounts

Nationwide reward checking accounts with rates over 4% are becoming rare. Bank of the Sierra's nationwide reward checking account had been 4.51% APY, but this fell to 4.09% APY last week. If you want a reward checking with a rate of 5% or higher, you'll have to see if one is available near where you live.

To find reward checking accounts in other areas of the nation, please refer to the reward checking section of DepositAccounts.com. To learn more about reward checking, please refer to this reward checking overview.