Colorado Federal Savings Bank Review of Savings and CD Rates

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Updated on Tuesday, December 1, 2020

Colorado Federal Savings Bank’s savings account options

High Yield Savings

Offering lower-than-average rates but with great minimum deposit and balance requirements.
APYMinimum Balance to Earn APY
0.50%
$1
  • Minimum opening deposit: $1
  • Minimum balance to earn APY: $1
  • Monthly account maintenance fee: None
  • ATM fee: No ATM service available
  • ATM fee refund: N/A
  • Overdraft fee: $25

With an interest rate that would have been enviable just a few years ago, there are better options out there. It is no longer difficult to find an account with low or no minimum deposit and account balance requirements and rates up to an entire percentage point higher than Colorado FSB’s High Yield Savings — especially if you’re shopping online-only financial institutions.

If you do choose to open this account, be aware that as with all savings products, you will be limited to six certain withdrawals per month per Federal Reserve Regulation D. If you exceed this limit, CFSB will charge a $25 fee every time. If you do it too often, the bank will close down your account.

How to get Colorado Federal Savings Bank’s High-Yield Savings

As an online-only bank, you can only open this account online. Have the following information ready:

  • Name
  • Address
  • Email address
  • Social Security number
  • Date of birth
  • Drivers license or state ID information
  • Mother’s maiden name
  • Information about the account you’d like to use to fund your high-yield savings

SEE DETAILS Secured

on Colorado Federal Savings Bank’s secure website

Member FDIC

Premier Savings

Great interest rates with sky-high minimum deposit and balance requirements.
APYMinimum Balance to Earn APY
0.60%
$50,000
  • Minimum opening deposit: $50,000
  • Monthly account maintenance fee: $50,000
  • Monthly account maintenance fee: None
  • ATM fee: No ATM service available
  • ATM fee refund: N/A
  • Overdraft fee: $25

While the APY on Colorado Federal Savings Bank’s Premier Savings is extremely competitive, the minimum opening deposit requirement makes it a no-go. Simply put, $50,000 can earn a higher interest rate at other financial institutions — whether that’s in a higher-yield savings account with a lower minimum deposit requirement or through a more lucrative certificate of deposit.

Remember that Regulation D and all associated fees and consequences apply to this account just as they do to the High-Yield Savings.

How to get Colorado Federal Savings Bank’s Premier Savings

You can only open a Premier Savings account online. Have the following information ready:

  • Name
  • Address
  • Email address
  • Social Security number
  • Date of birth
  • Drivers license or state ID information
  • Mother’s maiden name
  • Information about the account you’d like to use to fund your high-yield savings.

SEE DETAILS Secured

on Colorado Federal Savings Bank’s secure website

Member FDIC

magnifying glass

How Colorado Federal Savings Bank’s savings accounts compare

To be sure, Colorado Federal Savings Bank’s savings accounts don’t hold a candle to the best savings account rates on the market — especially considering it’s an internet-only financial institution. Free of the overhead costs of brick-and-mortar locations, online banks tend to offer higher interest rates to consumers. Not here.

The High Yield Savings simply doesn’t have a high enough APY to be competitive. While the APY on Premier Savings is attractive, the $50,000 minimum opening deposit and required minimum balance are so high that the account is not useful for most consumers.

Colorado Federal Savings Bank’s CD rates

A standard certificate of deposit option that sits squarely in the middle of the pack.
TermAPY
6 Months0.40%
12 Months0.50%
18 Months0.50%
24 Months0.65%
36 Months0.70%
60 Months0.80%
  • Minimum opening deposit: $5,000
  • Minimum balance amount to earn APY: $5,000
  • Early withdrawal penalty: 6- and 12-month CDs have an early withdrawal penalty of 3 months’ interest. All other CDs have a penalty of 6 months’ interest.

CFSB offers certificates of deposits with competitive rates and a middle-of-the-road minimum opening deposit amount. Overall, it’s a reasonable product, but isn’t for those who only have smaller amounts as they get started with savings. The relatively competitive rates, however, make this account worth a peek if you’re looking to open a larger CD.

How to get Colorado Federal Savings Bank’s CDs

The only way to open a CD with Colorado Federal Savings Bank is online. You’ll need to have the same information available as when you’re opening a savings account: your name; Social Security number; date of birth; drivers license or state ID information; address; email; mother’s maiden name; and account information for your funding source.

SEE DETAILS Secured

on Colorado Federal Savings Bank’s secure website

Member FDIC

magnifying glass

How Colorado Federal Savings Bank’s CD rates compare

Compared to other CDs on the market, Colorado Federal Savings Bank’s options fall in the middle of the pack. Rates are high enough to be competitive, but they don’t beat the top CD contenders. The opening deposit amount is fairly standard, though you will be able to find some CDs with higher interest rates and lower minimum deposits.

Shopping around for the best rate is still smart, but if you’re suffering from decision fatigue and just can’t shop anymore, you can rest a bit easier knowing that a CD from Colorado Federal Savings Bank isn’t the worst product around. It’s just not the best.

Overall review of Colorado Federal Savings Bank’s banking products

Colorado Federal Savings Bank is in a far better situation than it was 10 years ago in 2008, but that doesn’t mean you should scramble to sign up for one of its deposit accounts. The savings accounts in particular are undesirable, as the APY offered on the High Yield Savings isn’t high enough when compared with other online-only financial institutions, which routinely offer the highest interest rates on the market.

Meanwhile, the APY on Premier Savings accounts is high enough to be labelled “competitive” but the required minimum opening deposit amount is too high for many.

The bank’s CDs offer much better. While the offered APY isn’t the highest out there, it is high enough to be slightly better than average. You’re not making a bad decision if you open a CD with Colorado Federal Savings Bank, but you may be able to do better by doing some more comparison shopping before deciding to lock your money away for the term of your certificate.