Six months ago, Blue Hills Bank (Blue Hills) added a 22-month Flexible CD (2.25% APY). This week, Blue Hills unveiled its 29-month Flexible CD (3.00% APY), which allows the same additional deposits in $5k increments in the first twelve months as the 22-month does, but the resemblance ends there.
The fine print on the promotion page lists all the new conditions:
Minimum opening deposit is $500 and maximum balance is $500,000.
Advertised APY is available to new customers only or to existing customers who add $10,000 or more in new-to-bank deposits to the 29 Month CD.
A Blue Hills Bank checking account with recurring direct deposits of $1,000 or more per statement cycle, or 10 debit card transactions per statement cycle, is required to earn 3.00% APY.
If checking account requirements aren’t met, the APY on the CD for the following statement cycle will be 2.50%.
That last statement is important because the APY can go back up to 3.00% for the next statement cycle, if the checking requirements are met. There is no limitation on how many times the APY can change from one statement cycle to the next. It’s similar to the qualified and non-qualified rates associated with a rewards checking account: if you don’t meet the requirements in any given statement cycle, you get a second chance in the next statement cycle.
According to CSR, the Early Withdrawal Penalty for the 29-month Flexible CD is six months interest.
Blue Hills offers three checking accounts: Free Checking, Debit Rewards Checking, and Relationship Checking. All three checking accounts require a $25 minimum opening deposit.
Depositors Insurance Fund
Deposits at Blue Hills are not only insured by the FDIC, but are also covered by the Depositors Insurance Fund (DIF).
All DIF member banks are also members of the FDIC. Each depositor is
insured by the FDIC to at least $250,000. All deposits above the FDIC
insurance amount are insured by the Depositors Insurance Fund (DIF).
Headquartered in Boston, Blue Hills Bank’s market area is described as "Eastern Massachusetts through branch network and eCommerce channels."
According to the Deposit Rates page, the 29-month Flexible CD is “not available for online opening at this time,” and must be opened in-branch. Blue Hills Bank has eight full-service Massachusetts branches, located in Boston (3), Dedham, Milton, Norwood, Westwood, and West Roxbury. CSR stated that it is possible that the 29-month Flexible CD will be added to the online application in the near future.
Blue Hills Bank has an overall health grade of "A+" at DepositAccounts.com, with a Texas Ratio of 3.74% (excellent) based on March 31, 2018 data. In the past year, Blue Hills has increased its total non-brokered deposits by $136.57 million, an excellent annual growth rate of 8.27%. Please refer to our financial overview of Blue Hills Bank (FDIC Certificate # 90160) for more details.
Established in 1871 as the Hyde Park Savings Bank, the Bank rebranded in 2011 as it sought "to transform itself from a sleepy 140-year-old institution with six branches to a growing bank with a broader line of offerings.” (Collateral trivia – seen from the coastline, the mountains in Norfolk County have a bluish hue. This distinctive coloring is caused by the presence of riebeckite, a type of silicate mineral.) Blue Hills Bank is currently Massachusetts’ 17th largest bank with assets in excess of $2.6 billion and with nearly 56,000 customer accounts.
How the Flexible CD Compares
When compared to the 383 similar length-of-term CDs tracked by DepositAccounts.com, which require a similar minimum deposit and are available within the Bank’s market area, Blue Hills Bank's 29-month Flexible CD APY currently ranks first. The ability to add funds during the first twelve months only enhances the 22-month Flexible CD’s competitiveness.
The above rates are accurate as of 6/8/2018.
To look for the best CD rates, both nationwide and in your state, please refer to our CD Rates Table page.