6.25% 60-Month Variable CD at a Carolina CU (part 2)

Sharonview Federal Credit Union is offering a 6.25% APY 60-month CD. It's a variable rate based on the Prime Lending Rate minus 1%. It changes according to that rate every January 1 and July 1. The minimum required deposit is $500. The early withdrawl penalty is 180 days of interest. Sharonview also has a 5.25% APY 36-month variable certificate of deposit. The rate of that CD is based on the Prime Lending Rate minus 2.5% on January 1 and July 1 of each year.

I first mentioned this CD in January. As I mentioned in that post, this seems like a good deal even though it's a variable rate. In this post from last week, I mentioned a Prime Rate Index CD from a Pennsylvania Bank. The Prime rate generally runs 3% above the Federal Funds rate. The next two meetings of the Fed occur on May 10th and June 28th. It's likely that we'll see at least two more rate hikes. So the Prime rate may be 8.25% by July 1st. So the Sharaonview FCU's Variable CD rates may only improve.

Sharonview is based in Charlotte, North Carolina. They have branches in several cities of North Carolina and South Carolina. They also have three banches in Bridgewater, New Jersey. The field of membership is primarily employer based.

Sharonview is NCUA insured, and has a 5-star rating from Bauer Financial. Credit for this latest update on Sharonview goes to Victor who left the comment in the finding deals post.