Dedicated to Deposits: Deals, Data, and Discussion

Bank Deal Summary for December 16, 2006

POSTED ON BY

As anticipated the Fed held steady on the rates this week. There remains the general consensus that the Fed will start cutting rates around the middle of next year, and bond investors continue to anticipate a slowdown in the economy (see post). The result of all this is that savings account rates are remaining pretty much unchanged while CD rates (especially long term CD rates) continue to fall.

There were just a few rate changes on savings accounts this week. GMAC Bank lowered the rate of its Money Market Savings Account from 5.25% to 5.20% APY. Corus Bank's money market account rate fell from 4.98% to 4.91% APY. Countrywide had a rate increase on its Savingslink account. The new rate is only for balances of $50K+. The rate is now 5.40% APY, up from 5.30% (see post).

While many of the online banks were quick to drop their CD rates, many credit unions have been slow to drop their rates. Unfortunately, the credit unions are starting to catch up. There were several CD rate drops on the credit unions in my main list (which have easy membership). GTE FCU dropped its 1-year CD rate from 5.64% to 4.96% APY. Fort Belvoir FCU dropped their long-term CD rates by about 15 basis points, and Members Credit Union dropped its 60-month CD from 5.59% to 5.34% APY.

Navy FCU is one of the few credit unions that has not dropped its high yield long-term CD rates. It still has a 6% APY 7-year CD and a 5.70% APY 5-year CD for a $20K+ deposit. Based on the rate trends, don't expect this to last much longer. Unfortunately, Navy FCU doesn't have easy membership. You have to have some connection to the Navy (see post).

For those who think 7 years is a little long, NASA FCU is still offering a 5.80% APY 7-month CD (see post). Patelco Credit Union is still offering its 5.75% APY 8-month CD. This also has the nice feature of allowing additional deposits during the term. A reader just mentioned that Patelco is waiving the membership fee ($20) for December. Note, Patelco is privately insured by ASI and is not federally insured by NCUA (see post).

For local deals, Chartway FCU still has its 777 promotion (7% APY 7-month CD with a cap of $7K). The cap can be increased to $21K with referrals (see post).

There's another good local deal at MCT Federal Credit Union which is offering very high yields on long-term CDs. The best is a 6.37% APY 60-month CD with a deposit of $50K or more. A reader just noted a way that this can be increased by 0.50% (see post).

For a complete list of these recent local CD deals, refer to my local CD list below. Remember that many of these deals don't last long. Please check if the rate is still active at the bank or credit union's website. If you see that a deal has ended, a comment is much appreciated.

Thanks to all who have helped by leaving comments or sending emails on rate updates. Sorry I can't post on all of your suggestions.

The rates listed below are based on Annual Percentage Yield (APY). No minimum balances are required unless noted. MMA next to the rates indicate a money market account. Most MMAs have check writing and ATM cards. Online savings accounts usually lack both of these. The top lists include banks and credit unions with broad availability and with minimums around $10K or less. Previous weekly summaries are available for Dec 9th, Dec 2nd, Nov 25th, Nov 18th, Nov 11th and Nov 4th.

As of December 16, 2006

Savings Accounts/Money Market Accounts:

3-Month Certificates of Deposit:

6-Month Certificates of Deposit:

9-Month Certificates of Deposit:

12-Month Certificates of Deposit:

18-Month Certificates of Deposit:

36-Month Certificate of Deposit:

48-Month Certificate of Deposit:

60-Month Certificate of Deposit:

84-Month Certificate of Deposit:

High Rates with Conditions - Open to All

Checking and Saving Accounts at Local Banks/Credit Unions

CD Specials at Local Credit Unions/Banks Over the Last Two Months

Terms of 60 Months and Over

Terms of 24 Months to Under 60 Months

Terms of 12 Months to Under 24 Months

Terms of Under 12 Months

Savings Account/CD Alternatives


Comments
Comment #1 by Anonymous posted on
Anonymous
Superior Savings - 5.50% MMA ($10K min), IT IS TRUE, IT 5.5% THAT IS FOR SURE.... HOWEVER, THESE BANK CSR or ACCOUNT OPENING GUYS - THEY ARE AWFULLY RUDE!!!, PLEASE NOTE.

IF YOU CAN PUT UP WITH THE ATTITUDE AND THAT KIND OF CUSTOMER SERVICE - GOOD LUCK TO YOU.

I BACKED OUT IMMEDIATELY - AS SOON AS I NOTICED THE LANGUGAE AND TONE THEY USE.

I AM GOING TO WAIT FOR A MONTH AND I AM SURE THERE IS ANOTHER DECENT BANK THAT I AM GOING TO WORK WITH...

1