US Bank continues to offer its special 4.25% APY 59-month CD and 2.50% APY 10-month CD. I first posted about this on Monday, February 23rd. As I mentioned in that post, it's not listed at US Bank's website. It had been advertised in California newspapers. A 3/01/09 ad is available online here.
These specials are also available at banks that US Bank has recently acquired. They include PFF Bank & Trust and Downey Savings. PFF Bank & Trust is listing these specials at its website as of 3/06/09. In addition to the 4.25% APY 59-month CD, there's also a 3.00% APY 37-month CD, a 2.50% APY 10-month CD and a 2.00% APY 240-day CD. Minimum deposit is $500. These are available on personal, business and retirement plan accounts. Downey Savings is also listing these specials as of 3/06/09. These specials are only available in the California branches.
A reader just emailed me an important note regarding this 59-month CD that makes it advantageous to open this special at a Downey Savings branch. This may substantially reduce the early withdrawal penalty. Downey Savings' early withdrawal penalty for a 59 month CD is 6 months simple interest, whether earned or not. This is much better than US Bank's penalty which would be 29.5 months of interest (see post). The reader was told that Downey Savings policies would still be in effect until the system merger date scheduled for May. CDs opened with Downey prior to that will keep the current Downey Savings policies for the duration of the CD. I'm not sure what the early withdrawal penalty is for PFF Bank & Trust, but I would guess it's probably less than US Bank's penalty.
Downey Savings branches and PFF Bank & Trust branches are located throughout Southern California.
US Bank continues to offer competitive CD specials available in other states. As of 3/06/09, these include a 4% APY 59-month CD, a 3.00% APY 37-month CD and a 2.15% APY 13-month CD (13-month CD isn't really that competitive). Refer to my previous post for more details on these CDs and details about US Bank's financial health. It's in better shape than many of its peers.
US Bank has been FDIC insured since 1934 (FDIC Certificate # 6548).
Thanks to the reader who emailed me news of this CD and early withdrawal penalty.