Dedicated to Deposits: Deals, Data, and Discussion

GMAC Bank CDs: New 5.20% 6-Mo, Opening Process

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GMAC Bank's Friday rate updates weren't much yesterday. The only change was the 6-month CD. The new rate increased from 5.10% to 5.20% APY. The rates for all other terms and for their money market savings account remains the same. With other banks raising their savings account rates, I thought there was a good chance we would see at least a 5-basis point jump in their money market account. The last money market account rate increase was on April 21st when the APY increased from 4.70% to 4.75%.

GMAC Bank Certificate of Deposit Rates:
Term Old APY New APY Change
3 months 4.85% 4.85%
6 months 5.10% 5.20% +0.10%
9 months 5.15% 5.15%
12 months 5.30% 5.30%
18 months 5.30% 5.30%
2 years 5.35% 5.35%
3 years 5.35% 5.35%
4 years 5.35% 5.35%
5 years 5.35% 5.35%

The last CD rate change was on May 5th.

My Experience Opening a GMAC Certificate of Deposit

After GMAC increased the APY on their 6-month CD yesterday to 5.20%, I decided to try opening one. The process can be done online very quickly. You can fund the CD with money from your money market account. It's better than VirtualBank's online CD application (see post), but not quite as easy as ING Direct's CD process.

It seems like you have to start the application from outside your account. The link is located at the CD rate page. At the top of the application page there's a link "Already a customer? Login here to open additional accounts". When you click this link, a login page is provided. After logging in, the application continues where you can select the CD term and deposit amount. It includes all of your personal information so you don't have to waste time re-entering this. You then click a button to buy the CD and you're taken to the CD funding page. The top link is a link to fund it electronically from your money market account. It appears you can also fund it from one of your linked accounts. I chosed the money market account. Once this is submitted, the money is immediately debited, and the new CD account is shown in the summary page.

I like ING Direct's process a little better because it gives you one last page with all of the details including the funding source where you can confirm the details before doing the final submission. ING Direct also has a nice CD management application which allows you to close the CD online and deposit the money into your savings account or external linked accounts. I'm not sure if GMAC has such a CD management system.


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