CFSB Nationally Available 12-Month CD Rate Edges Toward The Top

Since early December, there hasn’t been any rate activity on the Colorado Federal Savings Bank (CFSB) CDs, with the exception of the 12-month CD. Following a recent gain of 25 bps, the 12-month CD currently earns 4.75% APY. The minimum opening deposit is $5k, with no stated balance cap. FYI – The 4.75% APY should place the 12-month near the top of the nationally available 1-year CD category in this week’s CD Deals Summary.

As stated on the Savings & CDs page, the Early Withdrawal Penalty reads as follows.

Early Withdrawal Penalty for withdrawals prior to maturity date equals 1 month of interest on Certificate Term of less than 6 months, 3 months’ worth of interest on Certificate Term of 6 months and one year, and 6 months’ worth of interest for a certificate term over one year.

As stated in the Disclosure of Account Terms PDF (link at the bottom of the Savings & CDs page),

Any penalty will be assessed first against posted interest, and any penalty in excess of posted interest will be deducted from the remaining account balance. The interest rate we will use to calculate the interest forfeiture will be the interest rate the account is currently earning.

Availability

As an internet bank, CFSB offers its CDs and Savings accounts to all US citizens (18 years or older) who have a valid Social Security number. Trust accounts and business accounts are not available.

While the CFSB headquarters in Greenwood Village (15 miles south of Denver) provided a brick-and-mortar location in the past for local customers, this is no longer an option. Opening any type of account and all subsequent transactions must be done online.

You will receive an e-mail with important information once your application has been processed or if additional information is needed to complete your application.

Account Opening

Funding and Other Details

The following information can be found on the CFSB FAQs page and the Savings & CDs page.

• Funding – ACH or internal transfer.
• Interest – Compounded daily/credited monthly and can be withdrawn penalty-free.
• Maturing Funds – ACH to original external account used to open the CD. If that external account has been closed, verification of a new account must be completed before an ACH to the new account can occur. A check will not be issued.
• Beneficiaries – Up to five beneficiaries, equal shares, Social Security numbers required.
• Grace Period – 10 calendar days before automatic renewal.

Bank Overview

Colorado Federal Savings Bank has an overall health rating of "B+" at DepositAccounts.com, with a Texas Ratio of 0.16% (excellent), based on June 30, 2022 data. CFSB has an excellent capitalization level (12.57%), the result of holding $2.14 billion in assets with $269.41 million in equity. Please refer to our financial overview of Colorado Federal Savings Bank (FDIC Certificate # 33111) for more details.

Established in 1990 as a savings institution, Colorado Federal Savings Bank was acquired by new ownership in 2008. The new owners contributed more than $100 million in assets and $10 million of capital “to put the bank on solid footing.” Currently operating as a non-branch direct banking platform, CFSB is Colorado’s ninth largest bank, with deposits in excess of $1.2 billion and more than 162,000 customer accounts.

How the 12-Month CD Compares

When compared to similar length-of-term CDs tracked by DepositAccounts.com that are available nationally and have minimum deposit requirements of $10k or less, two banks have higher rates than currently offered on the CFSB 12-Month CD. The following table compares the 12-Month CD to the two highest-rate CDs from other banks and the two highest-rate CDs from credit unions.

The above information and rates are accurate as of 1/16/2023.

To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.