In August, I wrote about three competitive CD Specials (5-month, 0.65% APY; 11-month, 0.75% APY; and 18-month, 1.00% APY) offered by BCU (the former Baxter Credit Union). As of the beginning of December, only the 18-month is still available, but BCU is again offering a 3-month CD with an impressive 1.15% APY. The minimum deposit is $500, with no stated balance cap.
The 3-month CD is not a “Special CD,” meaning an additional 10 bps are available through BCU’s Rewards Rate program.
To qualify for a Rewards Rate Certificate Account, you must have two of the following relationships: direct deposit of at least $500 per month into a credit union checking account; at least $25,000 on deposit; or a qualifying loan in good standing.
Qualifying loans include: Mortgage, Home Equity, Auto, and Credit Cards. A qualifying loan must have a current balance and credit cards must have a transaction within the past 30 days. Any Credit Union loan that is not in good standing or delinquent will disqualify you for Rewards Rates.
As stated on the CD Penalties page, the Early Withdrawal Penalty (EWP) reads as follows,
3-12 month term – 30 days interest penalty
The EWP applies to the amount being withdrawn. Partial withdrawals are permitted, as long as a minimum $500 balance is maintained.
No Penalty CD
BCU brought back its 13-month No Penalty CD (0.65% APY) about a month ago. The minimum opening deposit is $500, with no stated balance cap.
Only an early closure is possible – no partial withdrawals are allowed. As stated in the Member Service Agreement (page 31),
You may withdraw all your money including dividends earned, without penalties, any time after the first six (6) days following the date you funded the account. Withdrawals are not permitted during the first 6 days following the date you fund the account.
Headquartered in Vernon Hills, Illinois, BCU’s field of membership (FOM) is open to those who live or work in the Illinois counties of DuPage, Kane, Lake, or McHenry, or Kenosha County, Wisconsin. In addition, those who live or work in portions of Cook County (north of 95th Street in Chicago) are eligible for membership.
Employees of more than 90 SEGs (including Baxter Healthcare) also qualify for membership. A complete list of the SEGs appears on the first page of the online Membership Application.
Immediate or extended qualifying family of an existing BCU member related by blood, marriage, fostering or adoption are eligible to join. “Eligible family members include: spouses, parents, children, siblings, domestic partners, grandchildren, grandparents, aunts, uncles, nieces, nephews, and cousins.”
Joining BCU can be done online or at any of full-service 57 branches located in Arkansas (1), Southern California (6), Florida (2), Georgia (1), Illinois (8), Indiana (3), Kansas (1), Maryland (2), Massachusetts (1), Minnesota (8), Mississippi (1), New York (2), North Carolina (2), Ohio (2), Texas (5), Utah (1), Virginia (1), and Wisconsin (2). There are also eight branches in Puerto Rico.
While checking and savings accounts can be opened online, opening a CD can only be done in-branch or by calling 800.388.7000.
We will fund the [Share Account] $1.00 minimum deposit as a way to say “Welcome”!
BCU was a member of the Credit Union Service Centers (CUSC) network, but
BCU will be discontinuing our participation in the Shared Branch network as of July 1, 2021. Our members come first in every decision that we make, and with the prevalence of easy-to-use digital alternatives, concerns regarding member experience, fewer credit unions participating as well as declining member usage, we feel that now is the best time to continue to invest further in long-term solutions that provide account access anytime, anywhere for all members.
Credit Union Overview
BCU has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 2.02% (excellent) based on September 30, 2021 data. In the past year, BCU has increased its total non-brokered deposits by $495.61 million, an excellent annual growth rate of 13.09%. Please refer to our financial overview of BCU (NCUA Charter # 68187) for more details.
Founded as Baxter Credit Union in 1981, BCU was established by Baxter executives for the convenience and financial well-being of their employees. (Baxter is a global, diversified healthcare company with annual sales of over $10 billion). BCU is currently Illinois’ fourth largest credit union, with more than 303,000 members and assets in excess of $4.9 billion.
How the CD Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com, which require a similar minimum deposit and are available within the FOM, BCU’s 3-month Rewards CD and CD APYs currently rank first and second, respectively.
How the No Penalty CD Compares
As I have mentioned in previous blog posts, no-penalty CDs are not that common, and the longer the term, the more competitive the CD. When compared to the No-Penalty CDs tracked by DepositAccounts.com, which are available within the FOM, BCU’s 13-month No Penalty CD APY currently ranks first.
The above information and rates are accurate as of 12/11/2021.
To find the most competitive CD rates, both nationwide and state-specific, please refer to our CD Rates Table page.