Bay State Savings Bank Has Competitive IRA CD and Reward Checking


Availability: Nationwide through online application.

With the end of tax season approaching, Bay State Savings Bank has added a 3-year IRA Certificate Special (1.75% APY) to its product line.

The 3-year IRA Certificate Special is offered as Traditional, Roth, CESA, SEP, and SIMPLE certificates. The minimum opening deposit is $500, with no balance cap.

The fine print in the promotional brochure states, "You may not roll over or transfer into the 3-year IRA Certificate Special." The Early Withdrawal Penalty (also found in the promotional brochure) reads as follows,

If your account has an original maturity of 36 months or less, but more than 2 years:
we will impose a penalty if you withdraw any of the deposited funds before the maturity date.
The fee imposed will equal 540 days of interest.

Kasasa Cash

Bay State Savings Bank’s Kasasa Cash recently marked its 1-year anniversary. The initial rate of 2.01% APY on qualifying balances up to $20k is still in effect. Qualifying balances of $20k+ earn 0.25% APY, with non-qualifying balances earning 0.05% APY.

2.01*%-$20kBay State Savings BankKasasa Cash
Accounts mentioned in this post. Rates as of October 24, 2016.

Kasasa Cash Qualifying Requirements

  • Have at least 12 debit card purchases
  • Be enrolled in e-Statements
  • View an e-Statement via online banking

Bay State Savings Bank’s Kasasa Cash has no minimum balance requirement, no monthly fees, and no penalty for not meeting account qualifications. Nationwide ATM fees will be reimbursed on an unlimited basis, with individual ATM fees of $4.99 or higher requiring a receipt for reimbursement.

Kasasa Saver

Bay State Savings Bank also has a Kasasa Saver account that earns 1.00% APY on balances up to $50k, with balances over $50k earning 0.25% APY. Interest earned in the Kasasa Cash account is automatically transferred to the Kasasa Saver account each statement cycle. The Kasasa Saver account has no minimum balance requirement or monthly service fees.

1.00*%-$50kBay State Savings BankKasasa Saver
Accounts mentioned in this post. Rates as of October 24, 2016.


Headquartered in Worcester, Massachusetts, Bay State Savings Bank’s product line is available to all U.S. Citizens and Residents Aliens through the Bank’s online banking platform.

Opening a Kasasa Cash or Kasasa Saver account can be done either online or at any of eight Massachusetts branches, located in Auburn (2), Holden, and Worcester (5).

Opening the 3-year IRA CD Special can also be opened online, but may require the assistance of Bay State Savings Bank’s Virtual Branch Manager.

Bank Overview

Bay State Savings Bank (FDIC Charter # 90311) has an overall health grade of "B+" at, with a Texas ratio of 20.30% (above average) based on December 31, 2015 data. In the past year, Bay State has increased its total deposits by $28.26 Million, an excellent annual growth rate of 10.97%. Please refer to our financial overview of Bay State Savings Bank for more details.

Bay State Savings Bank was founded in 1895 when 114 Worcester citizens pledged $7,660 to establish a new savings bank. With more than 120 years of continuous service, Bay State Savings Bank was named the 2015 Worcester Business Journal Corporate Citizen of the Year.

The generosity of Bay State, which was founded in 1895, touches many parts of the Greater Worcester community. Last year, its foundation donated $29,000, including $2,000 to the Regional Environmental Council of Central Massachusetts, which used the money to help fund the development of farmers' markets in Worcester and to pay 32 low-income youths who are assisting the farmers markets and learning to grow food, according to Steve Fischer, the council's executive director.

How the IRA Certificate Compares

When compared to the 134 similar length-of-term IRA CDs tracked by that require a similar minimum deposit and are available nationally, Bay State Saving Bank’s 3-Year IRA Certificate Special currently ranks second.

How the Kasasa Cash Compares

When compared to High Yield Reward Checking Accounts tracked by that are available nationally and have maximum qualifying balances of at least $20k, Bay Savings State Bank’s Kasasa Cash account currently ranks third.

The above rates are accurate as of 4/13/2016.

To look for the best IRA rates, both nationwide and in your state, please refer to our IRA rates table, or our new Rates Map page.

To look for the best nationwide Reward Checking Account rates and the best Reward Checking Account rates in your state, please refer to our High Yield Reward Checking Account rates table or our new Rates Map page.