Update on USAA Bank

One of the many good points of USAA Bank has been its competitive CD rates on long term CDs which have been 5% and over (see post). For some reason, these rates are not listed at Bankrate.com. The current best 5-year rate listed at Bankrate.com is 4.90% offered by Intervest National Bank.

USAA Bank also had many CD variations such as adjustable rate CDs which had rates 0.25% under the fixed rates with the option for a one-time increase in the rate if interest rates rise (see post).

Since it has been a month since I last logged into USAA, I thought I would see if there has been any changes. The main change has been a large reduction in the ceritificate of deposit options. The adjustable rate CDs are no longer listed. Also, the variations of fixed term CDs have been reduced. The only advertised CD terms are 1, 2, 4, 5, and 7 years.

The good news is that the 5% APY rate is still good on a $1000 deposit for a 5 year term. The 4 year term CD also is the same as last month (4.6% APY for $1K minimum deposit). However, the 3 year CD is no longer listed. Last month the 3 year CD had a rate of 4.45% APY.

Below are the rates of all of USAA's CDs as of October 6th.

        Standard   Jumbo     Super Jumbo
        $1k-95k    $95k-175k over $175k
        --------   --------- -----------
1 Year     3.70%   3.86%     3.96%
2 Years    4.11%   4.26%     4.36%
4 Years    4.60%   4.76%     4.87%
5 Years    5.00%   5.16%     5.26%
7 Years    5.10%   5.25%     5.36%

To view the USAA rates and details on their accounts, you have to register by contacting USAA by phone. Information about this is available in this previous post.