FORUM Credit Union (IN) Hikes 24-Month CD Rate

FORUM Credit Union (FORUM) recently boosted the rate on its 24-month CD. Following a 175-bps rate increase earlier this week, the 24-month CD currently earns a rate-leading 5.50% APY. The minimum opening deposit is $500, with no stated balance cap.

The 24-month CD is also available as an IRA (Traditional, Roth), earning the same APY with the same funding requirements.

FORUM previously offered a 22-month CD earning 5.50% APY, but that CD is no longer available. Recently, several banks/credit unions have decreased CD term-lengths while maintaining the APY – essentially a rate decrease without lowering the rate.

Early Withdrawal Penalty

As stated on the FORUM Truth-in-Savings disclosure, the Early Withdrawal Penalty reads as follows:

Terms longer than 12 months - all accrued dividends up to 180 days' dividends but not less than seven (7) days' dividends.

If the account has not yet earned enough dividends or if the dividends have already been paid, the penalty will be deducted from the principal.

CSR confirmed that partial withdrawals are allowed, but mentioned a limitation found in the Truth-in-Savings disclosure:

Certificates funded from another financial institution through an Automated Clearing House (ACH) debit will be placed on a 60 calendar day hold. Early withdrawal will not be available for 60 calendar days following the date of deposit.

Availability

Headquartered in Fishers, Indiana, FORUM’s field of membership (FOM) cannot be found on the website. The first page of the online membership application previously detailed the FOM, but the FOM is now only available after entering all personal identification.

According to CSR, residents of 88 of Indiana’s 92 counties and portions of the remaining four counties (Allen, Lake, Marion, and St. Joseph) are eligible to join. In the past eight years, the FOM has expanded from eight Central Indiana counties to more than 97% of the entire state.

Employees of more than 3,000 Select Employee Groups qualify for membership.

Relatives (spouse, sibling, parent, child, grandparent, grandchild, aunt, uncle, niece, nephew, including step-parent, step-child, and step-sibling) of current FORUM members are welcome to apply.

Joining FORUM can be done online, or at any of 14 Indiana branches located in Avon, Carmel, Fishers (2), Greenwood, Indianapolis (7), Noblesville, and Westfield.

Once the membership application has been approved, opening a CD can be done over the phone (800.382.5414), in-branch, via Live Chat, or through a Secure Email.

A minimum $5 deposit is required to open a Share Savings account and establishes FORUM membership, but a minimum $100 balance is required to earn dividends. As stated in the Consumer Fee Schedule, there is a potential fee associated with the Share Savings account.

Inactive Savings Account – No activity for 36 months and account balance less than $200.00, $10.00/Month

FORUM is a participating member of the CO-OP Shared Branch network.

Can't make it to a branch? Members have access to 5,000 shared branch
locations and more than 4,800 surcharge free Alliance One ATMs nationwide.

Funding and Other Details

The following information is from the FORUM website and a conversation with CSR.

• Funding – ACH, wire ($10 fee), internal transfer, or Share Branch transaction. Funds must be on deposit with FORUM before a CD can be opened.
• CO-OP Shared Branch Participant – Yes.
• Ownership – Individual, joint, or trust.
• Dividends – Compounded daily/credited monthly; “Withdrawals of dividends are not subject to penalty.”
• Maturing Funds – Cashier’s check to address on file or transferred into a FORUM checking or savings account.
• Beneficiaries – Up to 8, with percentages available; Social Security numbers not required.
• Grace Period – 10 calendar days before automatic renewal.
• Credit Check – Hard pull through Transunion.

Credit Union Overview

FORUM Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 1.61% (excellent) based on September 30, 2023 data. In the past year, FORUM has increased its total non-brokered deposits by $20.21 million, an above average annual growth rate of 1.29%. Please refer to our financial overview of FORUM Credit Union (NCUA Charter # 68248) for more details.

FORUM Credit Union was formed in 1941 by the employees of Indiana Bell Telephone Company. Like so many other credit unions founded for the benefit of Bell Telephone employees, FORUM’s scope and membership eligibility changed following the breakup of AT&T. FORUM Credit Union is currently the seventh largest credit union headquartered in Indiana, with more than 162,000 members and assets in excess of $2 billion.

How the 24-Month CD Compares

When compared to similar length-of-term CDs tracked by DepositAccounts.com that are available within the FOM and have minimum deposit requirements of $10k or less, no banks or credit unions have higher rates than currently offered on the FORUM CU 24-month CD. The following table compares the 24-month CD to the two highest-rate CDs from other credit unions and the two highest-rate CDs from banks.

The above information and rates are accurate as of 1/6/2024.

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