In this climate of falling rates and CD musical chairs, Connexus Credit Union (Connexus) has recently become a rate leader with its 60-month Certificate. Currently earning 1.56% APY, the 60-month Certificate can be opened with a $5k minimum deposit. The 48-month Certificate offers a competitive 1.46% APY ($5k minimum), putting it near the top of nationally available 4-year CDs.
Both Certificates are offered as IRA Certificates (Traditional and Roth), earning the same APYs with the same deposit requirements.
Connexus hasn’t maintained its reputation as a prolific producer of rate-leading CDs. Rates began to drop in 2017, Share Certificate Specials disappeared, and Connexus was no longer a leader of the rates pack. In January 2018, Connexus made a comeback of sorts, by raising the rates on all its Share Certificates, and more importantly, offering the first nationally available 3.00% 5-year CD. For three weeks in November 2018, the 60-month Certificate offered an impressive 4.00% APY. As I stated in an earlier blog post, many had hoped the 4.00% was a harbinger of good things to come; unfortunately, rates haven’t turned out exactly as anticipated. With the exception of that fleeting 4.00%, consistently great rates at Connexus are now memories.
As stated in the FAQs, the Early Withdrawal Penalty reads as follows:
If your account has an original maturity of more than one year, but less than five years:
The penalty will equal 180 days dividends on the amount withdrawn subject to penalty.
If your account has an original maturity of five years or greater:
The penalty will equal 365 days dividends on the amount withdrawn subject to penalty.
Funding and Maturing Funds
According to CSR, a Share Certificate can be funded through ACH, wire transfer, or by check. There is a 10-day grace period before a Share Certificate automatically renews. Maturing funds can be distributed by check (fee free) or transferred into another Connexus account. An outgoing ACH transfer is possible, but there are limitations:
If the amount is $25,000 or under an ACH could be processed with a $10 fee.
Anything over $25,000 would need to be wired and a $20 fee would apply.
Headquartered in Wausau, Wisconsin, Connexus Credit Union offers almost any US citizen or resident alien (with a valid Social Security number) a way to join.
Easy membership requirement – Membership in Connexus Credit Union is open to virtually anyone by joining the Connexus Association, with a one-time $5 donation that will directly benefit one of many supported organizations.
Employment or Affiliation – Employees, retirees, family members, or members of 16 companies and organizations (including Liberty Mutual Insurance) qualify for membership.
Residency – Individuals who live in any of the following locations are eligible to join:
Minnesota – Brooklyn Center, Crystal, Golden Valley, Hopkins, Minneapolis, New Hope, Robbinsdale, or St. Louis Park.
Ohio – Cincinnati or Norwalk.
Wisconsin – counties of Adams, Clark, Juneau, Langlade, Lincoln, Marathon, Portage, Shawano, Taylor, Waushara, or Wood
Relationship – “Spouses, family members, and those living in the same household of an existing member” are also welcome to apply.
Complete eligibility details are listed Connexus’ Membership Eligibility page.
Joining Connexus and/or opening a Certificate can be done either online, or in person at any of the eight full-service Wisconsin branches located in Wausau (5), Weston (2), and Wisconsin Rapids, or the two Ohio branches open to the public, both located in Cincinnati. Connexus also has branches exclusively for Liberty Mutual employees in Dover and Portsmouth, New Hampshire; Fairfield, Ohio; and Wausau, Wisconsin. As the result of a merger with Endura Financial Federal Credit Union, Connexus now has four branches in Minnesota, located in Brooklyn Center, Golden Valley, and Minneapolis (2).
Note: According to the FAQs, “It can take up to three business days for an application to be approved or denied.
You will also be asked to make a $5 deposit into your savings account to establish your membership. That deposit is yours to withdraw should you decide to cancel your Connexus Credit Union membership.
As a member of the CO-OP Shared Branching network, Connexus provides its members with access to more than 5,600 shared branches throughout the country. Connexus also participates in CO-OP and Money Pass ATM networks, giving members surcharge-free access to more than 54,000 ATMs.
Credit Union Overview
Connexus Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 8.81% (excellent), based on March 31, 2020 data. In the past year, Connexus increased its total non-brokered deposits by $269.75 million, an excellent annual growth rate of 12.84%. Please refer to our financial overview of Connexus Credit Union (NCUA Charter # 66538) for more details.
Founded in 1935, the Credit Union was originally established to serve the employees of Employer’s Mutual, the predecessor of Wausau Insurance (1980). In 1998, Wausau Insurance was acquired by Liberty Mutual Insurance and membership was extended to all Liberty Mutual employees and retirees nationwide. Over the next 22 years, through acquisitions, mergers, and expansion, Connexus increased its membership to more than 378,000 members, with over $2.8 billion in assets.
How the Certificates Compare
When compared to 185 similar length-of-term CDs tracked by DepositAccounts.com that require a minimum deposit of $5k or less and are nationally available, Connexus Credit Union's 60-month Certificate APY currently ranks first.
When compared to 174 similar length-of-term CDs tracked by DepositAccounts.com that require a minimum deposit of $5k or less and are available nationwide, Connexus Credit Union's 48-month Certificate APY currently ranks second.
The above rates are accurate as of 8/12/2020.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.