Dedicated to Deposits: Deals, Data, and Discussion

Update on Melrose Credit Union and Its High Yield CDs - Nationally Available


Update 4/12/09: The CD rates have fallen, but they remain competitive. Please check the credit union's website for the latest rates.

Melrose Credit Union just cut its CD rates, but they remain very competitive. The CD rates range from 3.19% APY for a 1-year term to 4.06% APY for a 5-year term. Minimum deposit is $5,000 ($4,000 for IRA certificates). Below is a full list of the CD rates as listed in the credit union's rate table as of 3/11/2009:

CD Rates as of 3/11/2009:

Term Rate APY
1 year 3.15% 3.19%
2 year 3.30% 3.34%
3 year 3.45% 3.49%
4 year 3.60% 3.65%
5 year 4.00% 4.06%

Melrose also has Jumbo Share Certificates, but these should be called Super Jumbo since it has a minimum of $1 million. The Jumbo rates are 25 basis points higher than the regular share rates.

At the top of the rate table, it states that "your certificate will be the rate that is in effect the day your completed paperwork and funds are received." Several readers have reported that Melrose is slow in opening accounts. Here's a comment from a reader in my previous Melrose CU post:
don't have good experience with Melrose. I emailed and faxed them to check on the status on my CD application after a week of submitting my application but got no response. I had to call them several times to get an answer from them. Also note that they lock in the APY only after they receive all your paper work in the mail and funds which might take up to 2 weeks and by that time the interest rate would have dropped.

At the bottom of the first page of the online application, there's a link to the disclosure which provides details of the CDs. The early withdrawal penalty as described in the disclosure is confusing. The penalty appears to be 90 days of interest for the 1-year term and 180 days for the longer terms. In addition, if you don't withdraw all of the money, the CD interest rate is reduced for the entire life to the share savings rate.


Anyone can join the credit union. According to Melrose's membership page:
Since Melrose Credit Union has an open New York State charter there are no geographic or group affiliation field of membership restrictions. So, regardless of where you live or how you earn a living, you may qualify for membership.

Financial Health and NCUA Status

For those who are looking for sound financial institutions, Melrose CU may be one according to the rating services: 5 stars (superior) at BauerFinancial and 4 stars (sound) at Both are based on 9/30/08 data.

Melrose is located in Briarwood, New York which is in Queens. It's federally insured by the NCUA (Charter # 62005).

  Tags: Melrose Credit Union, Eastern New York Federal Credit Union, CD rates, IRA rates

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Comment #1 by Anonymous posted on
I've opened 2 cd's this year @ Melrose. The first was funded by mail, the second by ACH transfer. As I'm in NY, but not within NYC, the mail arrived overnight. They have been responsive. One downside for some people migt be that they don NOT issue a paper CD certificate, rather a statement which lists all accounts by reference and with rate/maturity date etc.

If anyone HAS gotten paper CD please post a comment to that fact.

Comment #2 by Anonymous posted on
I have cds at many institutions and have never needed the papter cd to close out a cd.
I also have cds at Melrose and expect it to be easy to clos out acct. They ussed me twenty free checks with a checking acct. with zeto balance . When and if I close out I expect to request the money to go into checking and put the money in a bank where I have an active acct.

Comment #3 by FRUGAL (anonymous) posted on
Does anyone know if Melrose runs hard credit check for new members ?
e.g. for CD and checking account

Also those with CD at Melrose - how often is the interest calculated ?


Comment #4 by bank deals biggest fan (anonymous) posted on
bank deals biggest fan
Fortunately I live on Long Island and the drive into Queens is worth it. I have had absolutely no problems when dealing in person. The staff could not be more helpful. Never had a problem opening or closing or maturity

Comment #5 by carly (anonymous) posted on
I've filled out the membership application and it says to include the application for the CD at the same time. I've looked everywhere and can't find an application for opening a CD.

Those of you who have opened a CD through the mail--how did you do it?

Comment #6 by Anonymous posted on
The pdf application is on the last page of the online app. It's got whatever you filled in the prior pages - all you have to do is sign & mail.

Comment #7 by Anonymous posted on
Hope this helps someone,

1. Yes, Melrose run hard credit check
for CD
2. A slow process by online & mail (5 days) despite funding from ACH.

Don't forget copy of utility bill (cell phone bill didn work)
Sometimes Member services don't answer phones instead goes to Call Center that can't help new members

Comment #8 by Anonymous posted on
According to bauerfinancial there is no data for melrose cu, they have melrose cooperative bank which is different. Regards.

Comment #9 by Banking Guy (anonymous) posted on
Banking Guy
Make sure you search their credit union database rather than their bank database. I've updated the Bauer Financial link in the post to take you to their home page where you can select their credit union search. It should show up as:
and they're still 5 stars based on 12/31/08 data

Comment #10 by Anonymous posted on
I have been a member at Melrose for almost 9 years and have not had any major problems with opening or closing accounts in the past. I have savings, checking, cd, a roth ira and even my Home mortgage through them. What ever they mey lack with slow new account openings is surely made up for the exceleent customer serivice I've gotten any time i've dealt with the credit union. Also with best CD rates in the country I think it might be safe that they maybe getting a "few" people trying to open up an account which would lead to slower processing time. Oh I suggest if you live in the NY metro area tocheck out their Mortgages I never experienced such a easy process in my life. My attorney was also shocked on how quick and painless it was to deal with them.

Comment #11 by nph0119 (anonymous) posted on
After 3 days and no response from them using their online messaging service I closed my account (by long distance phone) and asked for my funds to be returned via check.

Comment #12 by Anonymous posted on
A heads up that the early withdrawal penalties on these certificates are very harsh. You lose the first 6 months of dividends AND the rest of the certificate period is recalculated at 1.50%.

Comment #13 by Anonymous posted on
The 60 month has dropped from 3.91 to 3.8 APY as of 9-29-09.

Comment #14 by Anonymous posted on
Sounds like a great outfit...

From Melrose site: "...Melrose IT Supervisor Sammy DeJesus, was tragically taken from us February 2 after succumbing to injuries sustained on January 30..."

From the local paper: "Blows exchanged between two men outside a Rego Park strip club last Friday night, Jan. 30 led to the death of one of the combatants... 28-year-old Sammy DeJesus of Caldwell Avenue in Maspeth was fatally injured after getting into a fight with 27-year-old Andrew Rodriguez of Main Street in Kew Gardens Hills on the staircase outside Goldfingers' nightclub at 92-77 Queens Blvd..."

Comment #15 by Anonymous posted on
I learned this a while ago, but realized I never posted it. According to a CSR, the long-term CD early withdrawal penalty is 180 days of interest and the entire term is reduced to the regular share rate (as though you never had a CD), not just the rate on any money left in the account. Anyone please correct me if I'm wrong.

Comment #16 by Anonymous posted on
I had a terrible experience with Melrose. They gave me incorrect postal address to mail a 100K check to buy a CD, lost the check (though it was listed delivered and signed on USPS site!), treated me like dirt over the phone, and scared me away forever. They often do have the best CD rates, but I will not deal with them again.

Comment #17 by Anonymous posted on
Last week I drove to Melrose Credit Union from New Jersey to lock in their current CD rates because I felt that they were due to drop. Effective 11/25/2009 all their CD rates have fallen on their web site. Just a heads up, I was informed that the board of directors reviews all their rates on the last Tuesday of each month through the year. Yesterday was the last Tuesday of the month of November 2009.