AmTrustDirect just increased the rates on its short-term online CDs. The 6-month CD yield increased from 3.51% to 4.15% APY, and the 9-month CD yield increased from 3.76% to 4.15% APY. The 18-month CD yield had a small increase of 3 basis points to 4.38% APY. The yields for all the other terms remained the same. Below is the table of the new and old yields:
Old and New Certificate of Deposit Yields as of 9/12/08
Term Old APY New APY Change
6 month 3.51% 4.15% +0.64
9 month 3.76% 4.15% +0.39
12 month 4.30% 4.30% -
18 month 4.35% 4.38% +0.03
24 month 4.35% 4.35% -
30 month 4.35% 4.35% -
36 month 4.35% 4.35% -
60 month 4.35% 4.35% -
Please see my June review of AmTrustDirect CDs for more details about AmTrustDirect CDs.
One thing that annoyed me with AmTrustDirect is their recent e-Savings Account promotion. At first look of their e-Savings Account page, it appears the rate is 4.00% APY for everyone. However, if you read the small print, you'll find that this only applies to new accounts for the first 90 days. For those with existing e-Savings account, you'll only earn the standard rate of 2.50% APY (see post).
AmTrust has been hit hard by the mortgage crisis. As I recommend with any bank, make sure you stay below the FDIC insurance limits (AmTrust FDIC Certificate # 29776).