Dedicated to Deposits: Deals, Data, and Discussion

4.75% 60-Month CD at Mountain America Credit Union - Easy Membership


Mountain America Credit Union
Update 2/05/09: The CD rates have fallen. Please check the credit union's website for the latest rates.

Like many other credit unions, Mountain America Credit Union reduced its certificate rates for January. The 4% 12-month CD has ended. However, they kept their 5-year CD APY at 4.75%. This is listed in the credit union's rate table as of 1/02/2009. Minimum deposit is $1,000. Their certificates are also available as Traditonal and Roth IRAs. Note, their name for CDs is term deposits.

As I mentioned in my last Mountain America post, their early withdrawal penalties are below average: 90 days of interest for terms over 12 months. The penalty applies on the amount withdrawn. Details of the early withdrawal penalties are described in this FAQ page. On the downside, early withdrawals may be made only with the consent of the credit union. I looked into the issue of institutions refusing early withdrawals in this post.

Credit union membership is open to members of the American Consumer Council. Council membership costs $12, and is open to anyone. This council is listed in the credit union's Select Employee Groups & Affiliated Associations page. According to the CSR, members of the Council are qualified for membership into the credit union. The CSR also stated that one could join the credit union via their online application. Membership requires a minimum deposit of $25 into the share savings account. I haven't tried applying, so if you find problems in the application process, please leave a comment.

I recently noticed the following at this page of the American Consumer Council website:
By joining through an ACC-affiliated credit union, you can join ACC for free!

I'm not sure how this can be done using Mountain America Credit Union's online application. This might require a branch visit.

Branches are located throughout Utah. I've also located a branch in both Phoenix, Arizona and Las Vegas, Nevada.

The credit union's ratings for soundness are a little weak: 3 stars (adequate) at BauerFinancial and 2 stars (below peer group) at Bankrate. Both ratings are based on 9/30/08 data.

The credit union is federally insured by the NCUA (Charter # 24692). It's a large credit union with $2.8 billion in assets and 313,553 members.

  Tags: Nevada, Utah, Arizona, CD rates, Mountain America Credit Union, IRA rates

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Comment #1 by Anonymous posted on
Unless I am reading this wrong, the information on the website for the American Consumer Council states that we can join their organization for free, IF we open an account with a credit union that they are affiliated. Under “How to Become a Member of ACC” answer #1 states:

To become a member of ACC, you have three ways to join:

1) You can contact one of the ACC-affiliated credit unions and complete their membership application. The process is simple. By joining through an ACC-affiliated credit union, you can join ACC for free! You'll also receive all of the membership benefits and services of that credit union. Low loan rates and other tangible benefits are available!

So, unless I’m wrong, one wouldn’t have to pay $12.00 to join the ACC. Am I reading this right or do you think I’m drawing the wrong conclusion?

Comment #2 by Anonymous posted on
Did anyone have a problem opening an account online? I received an email from them informing me that I need the membership papers notarized. That's quite a hassle just for an additional 0.25% interest that I can receive elsewhere.

Comment #3 by Anonymous posted on
I just set up a five year cd with them at 4.75% It went extremely well. After looking at the website, I decided to do it almost all over the phone. Wonderful staff. And the early withdrawal part is amazing. The penalty is 3 months, and even that is waved if you have a good reason. But you do not need a reason if you're willing to pay the penalty. I highly recommend getting in on this before the end of January, because the rate will probably go down February 1. By the way, I joined - online - American Consumer Council. Easy and cheap. The Mountain America person I talked to sent me to a different organization to join, but it didn't have an online application.

Comment #4 by Banking Guy (anonymous) posted on
Banking Guy
Thanks for sharing your experience with MACU. Glad to read the membership and the account opening process went smoothly. Did you do both the membership and the CD applications by phone?

Comment #5 by Anonymous posted on
If I remember right, I called the ACC and the guy was very nice, and he said I could just go ahead and do the application on the website.I think I just put in my credit card information. They emailed me the membership certificate immediately. No problem.
Then when I set up the cd over the phone with Mountain America, I just told them I'm a member of ACC. No questions asked.

Comment #6 by Banking Guy (anonymous) posted on
Banking Guy