Barksdale Federal Credit Union CDs Continue To Be Rate Leaders
It has been just over two months since I last wrote about the Certificates offered by Barksdale Federal Credit Union (Barksdale Federal). Rates have fallen, but their rates remain well above what other credit unions and banks currently offer. Barksdale Federal and its products may not technically be considered nationally available, but its field of membership is actually wider than you might think. Due to the relatively high rates and the wide availability, I thought a new blog post would be worthwhile.
Any of the Barksdale Federal Certificates can be opened with a $1k minimum deposit.
All the Certificates are also offered as IRA Certificates (Traditional, Roth, CESA), earning the same APYs with the same deposit requirements.
As stated in the Truth-in-Savings disclosure, the Early Withdrawal Penalty reads as follows:
Terms of 12 months or less – 90 days’ dividends
Terms of longer than 12 months – 180 days’ dividends
Plus Point Certificates
Barksdale Federal must have realized that their Plus Point Certificates were too good of a deal. The rate premium over the standard Certificates has fallen from 20 to 10 basis points. The 5-year Plus Point Certificate rate is now only 1.81% APY. The previous rate (2.12% APY) had been the only nationally available 2% CD.
Barksdale Federal’s Plus Point Certificates require that you open five Certificates with terms from one to five years as if you were starting a 5-year CD ladder. Five Certificates (one for each term) must be opened at the same time with a $1k minimum deposit.
With a Plus Point Certificate you stagger your money into each available term. Once each certificate matures, your money plus the interest earned is available to you again for spending or additional investing options.
As DA reader Anon456 noted in the comments of the last Barksdale post, they “do require $1,000 each for the 5 year ladder, but you can do more and they do not have to be equal. You can do higher amounts in any of them and they do not have to match the others, as long as you do the minimum $1000 in each.” For example, you could fund the 1-, 2-, 3- and 4-year Certificates with $1k each and the 5-year Certificate with $200k.
High Yield Savings and Christmas Club Savings
If you join Barksdale Federal for the CDs, you might want to consider opening the High Yield Savings account and the Christmas Club Savings account. Both currently have a very high rate relative to other liquid accounts. The caveat is that the high rate only applies to balances up to $5k. Due to this maximum balance, it probably won’t be worth joining Barksdale Federal for these accounts, but if you’re joining for the CDs, there’s little reason not to open these accounts with a combined $10k deposit. If this rate holds, you’ll earn about $150 in a year, which is about $50 more than you would earn in a top online savings account.
| APY | MIN | MAX | INSTITUTION | PRODUCT | DETAILS |
|---|---|---|---|---|---|
| 1.50% | - | - | Barksdale Federal Credit Union | Christmas Club | |
| 1.00*% | - | $5k | Barksdale Federal Credit Union | High Yield Savings | |
| OTHER TIERS: 0.25% → $5k+ | |||||
Availability
Headquartered in Bossier City, Louisiana, Barksdale Federal Credit Union's field of membership (FOM) has expanded this year, and like Navy Fed and Service Credit Union, former members of the US military (and their immediate family) are now eligible to join. As stated on the online application, those who qualify for membership now include,
Honorably discharged or retired veterans or immediate family members who served in a branch of the Armed Services of the United States.
Others who qualify for membership include individuals who live, work worship, attend school, or own a business in the Louisiana parishes of Allen, Bossier, Caddo, Grant, Rapides, or Webster.
Active military and civilian employees at Barksdale Airforce Base or Fort Polk Army Base also qualify for membership.
Employees of more than 1,000 Select Employee Groups (SEG) in twelve Louisiana parishes and Gregg County, Texas, are eligible to join. (A list of all SEGs can be found on the first page of the online application.)
Immediate family members of a current Barksdale Federal member or any one eligible for membership, are welcome to apply.
Joining Barksdale Federal and/or opening a Certificate can be done online. A long-time DA reader recently opened a Barksdale Federal CD and shared his experience with me.
Yes, I did the online [application]. They do not do funding immediately .... took about 5-10 days for my initial share to fund, and they will not allow initial CDs to be funded. You have to get funds into the [savings] share first.
Barksdale Federal participates in the CO-OP Shared Branch network so transferring funds in a savings share account should be relatively easy.
CDs can also be opened at any of the 25 Louisiana branches or the two Texas branches.
Our lobbies are open with limited occupancy. If you would like to make a lobby appointment for a loan or new account opening, please fill out the lobby appointment form.
Opening a Prime Savings account with a minimum $10 deposit ($5 one-time membership fee and $5 savings deposit) establishes a Barksdale Federal membership.
Credit Union Overview
Barksdale Federal Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 2.73% (excellent) based on June 30, 2020 data. In the past year, Barksdale Federal has increased its total non-brokered deposits by $234 million, an excellent annual growth rate of 18.83%. Please refer to our financial overview of Barksdale Federal Credit Union (NCUA Charter # 9589) for more details.
Founded in 1954, Barksdale Federal Credit Union’s original FOM was exclusive to the military and civilian personnel at Barksdale Air Force Base in Bossier City, Louisiana. As the largest credit union in Louisiana and the 215th largest credit union in the country, Barksdale Federal Credit Union has more than 138,000 members and assets in excess of $1.6 billion.
How the Certificates Compare
When compared to the nationally available similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit, all of Barksdale Federal Credit Union's Certificate APYs currently rank first. Only the 12-month and 60-month Certificates are compared below.
The above rates are accurate as of 9/17/2020.
To search for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.
I don't have the military background for myself, but just to try to get my father's will cost $70 just for them to look. I can't use my first cousin's, that is not "immediate" family. And how do I show that someone is my father or other "immediate" relative anyway? At least my father had the same surname, but that isn't always the case and it could simply make them a cousin. I have nothing to show who my father is, that kind of information is not on my birth certificate. And I gather you must show the discharge papers, not something else, as they must have had an honorable discharge.
Sure wish I could get into Barksdale.
When you're thinking straight you'll thank them for being so restrictive.
I joined in August with my father as the way in (honorably discharged from the armed forces 60 years ago) and there was no need to supply any proof of any kind. I'm not suggesting people should apply who don't qualify, just that there may well be no need to supply documentation (that in your case comes at a cost of $70).
I did the same with Navy Federal Credit Union back in the winter of this year. Again, they asked for no proof - although I was prepared to supply it if necessary.
Do you have any way to get the files, or at least only the discharge papers, on someone? Since using military service to get in requires the person have gotten an honorable discharge, I have to think the discharge papers have to be shown.
BTW, I found the list of all the companies and organizations that will qualify you, it is in the application to join. I don't recognize any as something you might join, so that question is probably moot.
gregk, I'm not sure why you say that -- as far as I can find, Barksdale has about the best rates out there. If you know of any that are better, please do fill us in. No, I am not happy with even Barksdale's rates, but they are the best, going elsewhere instead willyield you only less. And the Fed has pretty well made it clear tha the Fed rate will not be raised in the next four years.
That said, though I might place funds in a 1.21% one year CD, no way would I go along with 1.71% for five, notwithstanding the very mild 180 day EWP. Like P_D
wrote somewhere else in regards to a similar scenario, the humiliation of surrendering to such a rate just isn't worth the bit of extra yield one might garner from doing so.
But fortunately he retained some of the original paperwork he got when he served including a letter showing he was honorably discharged and other documents showing that he served. It was apparently good enough for the VA since he was admitted to that, and good enough for him to receive military honors at his funeral last year, so I assume it is good enough for any purpose requiring proof of his service.
#14 it may not be all that remote in the event of the failure of the credit union. If the NCUA has legitimate membership as a requirement for coverage I think it's a pretty decent bet they will require proof if it isn't in the record already. Small potatoes administration for an organization of their size.
Bottom line is it's never a good idea to make false statements on an application.
For those suggesting a misrepresentation, no, that would be dangerous. It's a long shot that the issue would come up, but if the CU goes under, NCUA very will might require you prove your eligibility if there are no copies in your record showing the relative you used to join actually was in the military and honorably discharged.
Jack11 is correct, if the person you name legitiamtely meets the standard, you are not defrauding anyone. But if you misrepresent, yes, you could haved trouble. But, it would not be so much of a logistics issue to make SOME CU members prove their eligibility, as the others certainly are already proven, by residence or employer.
NCUA limit would be ideal. jk.
P.S. I hoped that when the system interrupts writing a message, it would keep it so on logging in one wouldn't have to write it again...