Dedicated to Deposits: Deals, Data, and Discussion

Countrywide Raises Yields on 3 and 6-Month Internet CDs to 5.50%

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Countrywide just increased the yield on its 3 and 6-month internet CDs to 5.50% APY. The previous yields were 5.45% and 5.35%. The longer term rates remain the same. The minimum deposit is $10,000. These same rates are also available in IRA CDs.

These short term rates continue to be way above of the rates offered by most other banks. This started back in August when its credit crunch problems made headlines. Today's bad news for Countrywide is an investigation by the attorney generals in California and Illinois. This LA Times article from today has more info on these investigations.

As I mentioned in my previous posts, it seems prudent to stay below the FDIC insurance limits. Note, there are many ways to extend your FDIC coverage over $100K. However, you have to be careful, especially if you use POD's. Please see this post for more info.

Countrywide has a nice feature that allows additional deposits to a CD for 30 days after the application. Please see this post for more details. Additional Countrywide CD info is also included in this post, and for more info on their savingslink account, please see this post.

To review Countrywide Bank's FDIC information, please see their FDIC page.

Thanks to the readers who mentioned this rate update.
  Tags: CD rates, IRA rates

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Comments
4 comments.
Comment #1 by Anonymous posted on
Anonymous
Has anyone been able to funds from their savingslink account?

1
Comment #2 by Anonymous posted on
Anonymous
Yes, it is easy to fund a CD from your Savingslink account. Just call customer service. Your CD will be in place on the next business day.

1
Comment #3 by Anonymous posted on
Anonymous
The difficulty at Countrywide is not depositing your money to create a new account. Countrywide reputedly is the "roach motel" of banks. At Countrywide your money "checks in" easily, but it just might not "check out" when you hope it will. When I needed funds I gave them two days' notice for a critical wire transfer. I filled out their annoying form. When wire time came: no wire. And I could not reach their wire department. Bank CSRs trying to help me could not reach their OWN wire room. It was a nightmare. Of course, if you are lackadaisical about your withdrawal timing, there's a lot of love waiting for you at Countrywide. They will HAPPILY mail you a check. LOL!

1
Comment #4 by Anonymous posted on
Anonymous
"Countrywide reputedly is the "roach motel" of banks." This has also been my experience. When a CD came due, I filled out their form to wire the proceeds to my account. Somehow they "lost" the form. When I called the money was in "processing" to mail and could not be stopped. I finally received the check after about 3 weeks after sweating bullets and losing about $200 of interest.

1