Dedicated to Deposits: Deals, Data, and Discussion

Update on ING Direct CDs


ING Direct raised the rates on their 6 and 9-month CD to match the 12-month yield. All 3 terms now have a yield of 3.30% APY. There is no minimum deposit requirement.

Although these rates are not the best, they're fairly competitive in today's rate environment. To see other rates, please refer to my weekly rate summary.

One advantage ING Direct offers is an easy CD account opening process that's all electronic. Managing the CD is also easy. When the CD matures, you can log in and immediately transfer it back to the funding account or your ING savings account.

ING Direct is also a good choice for those looking for a strong bank. It's rated 4 out of 5 stars (sound) at and 5 out of 5 stars at BauerFinancial based on 12/31/07 data. You can review more of their financials from this FDIC page.

Some of the ING Direct's certificate of deposit details include:
  • Early withdrawal penalty for terms of 12 or fewer months is 3 months interest.
  • Joint accounts and Living Trust accounts can be opened.
  • The following accounts are not available: business, power of attorney, beneficiary or individual retirement accounts.

ING Direct is currently offering a competitive yield of 3.00% APY on its Orange Savings Account. Since these CD rates are not much better than this, the main reason you might want to consider opening up an ING Direct CD is to lock in the rate in case rates continue to drop. The Fed meets again next week, and another rate cut looks likely. However, most are expecting that it won't be more than a 25-basis-point rate cut. So the big rate cuts that we saw last quarter may be over.

Thanks to the reader who mentioned these new CD rates in the finding-the-best-deals post.

Related Pages: ING DIRECT, CD rates

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Comment #1 by Anonymous posted on
I do have one piece of advice - if you are totally new to ING, I suggest opening a savings account or checking account first so that you can take advantage of the $25 bonus that comes with those accounts (but not with CDs).

I made the mistake of opening an ING CD first, and then I wasn't eligible for the $25 bonus when I opened a savings account (not a huge deal, but a bit disappointing).

If you need a referral, I have some left: email me at