This special is not listed at Flagstar's website. It was advertised in today's Holland Sentinel newspaper in Michigan. The ad is available online here. I last reported on this 10% CD in April.
This CD special is more like a checking account bonus. If you have $2,500, you'll make about $87 more than a 3% account for 6 months.
Matching CD Rates
Readers have informed me that Flagstar will beat any CD rate by 0.05% from a bank within the same county. Another reader reported that Flagstar in Georgia applies this to the entire state. So you can see if you can use this to get a 4% CD (see post).
Flagstar's Express Money Market Account
Flagstar continues to have one of the best online money market accounts, and it's available to people in any state (see post).
Flagstar has been hit hard by the mortgage mess. It has only a 1 star rating at Bankrate.com based on 12/31/07 data. However, BauerFinancial gives Flagstar 3 stars (adequate) based on more recent data (3/31/08). As with any bank, always keep below the FDIC limits (Flagstar FDIC Certificate # 32541).