Baxter Credit Union’s Savings Rates
Much thanks to BankVibe reader Jefferey for submitting a few of Baxter Credit Union’s savings rates (Los Angeles, California) as they currently have a few interesting (and noteworthy) savings products available.
Baxter Credit Union’s “Rainy Day” Savings Account:
(as of June 9, 2009)
The first noteworthy rate comes with a product called the “Rainy Day Savings Account.” This product acts as a typical savings account with an interest rate change after the first 12 months.
For the first 12 consecutive months you will earn an APY of 1.50%. After you have completed year 1, your interest rate gets bumped up to a much more lucrative 3.00% APY.
The second noteworthy rate comes in the form of an interest checking account. They call this product a “power checking account” and it yields an APY of 3.50% (this rate is only applied to balances up to $25,000, 1.0% APY applied to balances above $25k). Like most high interest checking accounts there a monthly requirements in which you must complete to earn the advertised interest rate.
Baxter Credit Union’s Power Checking Account Terms and Conditions:
(as seen in their fine print)
- Must have direct deposit of at least $500 into your POWER CHECKING account
- Enroll in Online statements with a valid E-mail address
- Complete a minimum of ten (10) checking transactions that include any combination of the following transactions: online bill pay, ACH withdrawal, ACH deposit, debit signature based transaction, online credit union loan payment (all other transfers between credit union accounts do not apply). Bill pay is defined as an ACH withdrawal.
- Accounts not meeting all monthly requirements will not earn interest and will be charged the applicable BCU ATM fee for each ATM transaction over five per month.
- Transactions apply toward the monthly requirements in the month they post to your account.
- You will not automatically be enrolled in online statements when opening this share type.
- You can enroll in online statements via the internet. POWER CHECKING is only available as a personal account only.
June 9th, 2009 at 1:51 pm
the rainy day savings account looks good! but dont you think you will be able to find interest rates higher than 3% in one year? that is the question
they are probably banking on the average savings rate being around the 3 percent mark after the mandatory 12 months at 1.50% has expired
June 9th, 2009 at 10:49 pm
Their disclosure states that rates can vary. I guess that should be assumed with every savings account, as there’s no telling what market forces will do as time goes by. But I don’t know how to reconcile that with what appears to be a locked-in opening rate with a guaranteed doubling of the opening rate after 12 consecutive months. How can a bank vary rates on accounts that offer a fixed rate for a fixed term (12-months), then claim to double the opening rate (to a higher fixed rate) after 12 months if the rates can vary? I’m confused by all this poppycock! Think I’ll go plant some cabbage!