For a limited time, California-based Luther Burbank Savings (LBS) is offering a competitive 5.00% APY on two CD Specials. Both the 7-month and 13-month CD Specials can be opened with a minimum deposit of $1k, with no stated balance cap.
|5.25%||$1k||-||Luther Burbank Savings||13 Month CD Special|
|5.00%||$1k||-||Luther Burbank Savings||7 Month CD Special|
There is no specific end-date stated on the LBS website, the fine print on the landing page reads, “Rates subject to change without notice.”
According to CSR, the Early Withdrawal Penalty for the 7-month CD Special is 90 days of simple interest and 180 days of simple interest for the 13-month CD Special.
Availability and Account Opening
Headquartered in Santa Rosa, Luther Burbank Savings has a brick-and-mortar presence in the greater metropolitan areas of Los Angeles, San Francisco, and Seattle. About five years ago, LBS began offering a portion of its product line (including CDs) on a nationwide basis, but has since returned to its previous market area of California and NW Washington. U.S. citizens and resident aliens, 18 years or older, are welcome to apply.
Opening a 7-month or 13-month CD Special can be done online, or at any of six southern California branches located in Beverly Hills, Burbank, El Segundo, Encino, Long Beach, and Pasadena, and four northern California branches located in Los Altos, San Jose, San Rafael, and Santa Rosa. LBS also has one branch in Washington, located on 108th Avenue in Bellevue.
Funding and Other Details
The following information is from the Luther Burbank Savings website and a conversation with CSR.
- Funding – ACH, check, internal transfer.
- Interest – Compounded daily/credited quarterly and can be withdrawn without penalty.
- Maturing Funds – Wire ($35 fee), cashier’s check to address on file, or internal transfer to checking or savings account.
- Ownership – Individual and joint accounts can be opened online; trusts must be opened in-branch. Business accounts are excluded.
- Beneficiaries* – Unlimited with equal shares; Social Security numbers are not required, just name and DOB.
- Grace Period – 10 calendar days before automatic renewal for same term length.
- Credit Check – Soft pull.
*While unlimited beneficiaries are permitted, CSR stated that the online application can only accommodate a limited number of beneficiaries. Additional beneficiaries can be added after a CD Special is opened.
Luther Burbank Savings has an overall health rating of "A+" at DepositAccounts.com, with a Texas Ratio of 0.59% (excellent), based on June 30, 2022 data. In the past year, the Bank has increased its total non-brokered deposits by $339.15 million, an excellent annual growth rate of 6.46%. Please refer to our financial overview of Luther Savings Bank (FDIC Certificate # 32178) for more details.
Luther Burbank Savings is currently the 19th largest bank headquartered in California, with assets in excess of $7.5 billion and more than 41,000 customer accounts. Established in 1982 as the Luther Burbank Savings and Loan Association, Luther Burbank Savings is a privately-owned bank with branches throughout California. Five years ago, the market area expanded into Washington state, with the opening of a branch in Bellevue, outside of Seattle.
LBS was named in honor of Luther Burbank, a Santa Rosa resident and horticulturalist who introduced over 800 varieties of flowers. He was also responsible for the Russet Burbank Potato, the most widely cultivated potato in the U.S. Using Mr. Burbank’s vision of growth and renewal, the Bank focuses on the needs of its customers, as opposed to its public stockholders.
How the 7-Month CD Special Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com which are available nationwide and have minimum deposit requirements of $10k or less, two banks and one credit union have higher rates than currently offered on the Luther Burbank Savings 7-Month CD Special. The following table compares the 7-Month CD Special to the two highest-rate CDs from credit unions and the two highest-rate CDs from other banks.
How the 13-Month CD Special Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com which are available nationwide and have minimum deposit requirements of $10k or less, two banks and one credit union have higher rates than currently offered on the Luther Burbank Savings 13-Month CD Special. The following table compares the 13-Month CD Special to the two highest-rate CDs from credit unions and the two highest-rate CDs from other banks.
The above information and rates are accurate as of 4/13/2023.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.