2.25% 7-Month Jumbo CD & Other Competitive CDs at Consumers Credit Union - Easy Membership
Update 11/21/09: Rates have fallen, but they remain competitive. Please check the credit union's website for the latest rates.
Consumers Credit Union continues to offer very competitive rates on some of its certificates. Minimum deposit is $250. Jumbo CDs for the same terms are also available with rates 25 basis points higher. These are also available as IRA certificates. The rates as listed in the credit union's rates page as of the morning of 8/04/09 include:
Term APY - $250 Min APY - $100K Min
7 months 2.00% 2.25%
10 months 1.75% 2.00%
16 months 2.15% 2.40%
22 months 2.40% 2.65%
59 months 3.00% 3.25%
One nice feature of these certificates is that the early withdrawal penalty is a little bit lower than average. The penalty is 60 days of interest for terms of one year and under and 120 days of interest for terms of more than 1 year. Most banks and credit unions have a penalty of at least 180 days of interest for terms over 1 year. Certificate rates and details are listed in the credit union's rate sheet (pdf).
The credit union also offers a reward checking account that currently pays 4.09% APY on balances up to $25,000 (see post).
You can become eligible for credit union membership by joining Consumers Cooperative Association. This can be done by paying a one-time $5 fee. Also required for membership is a minimum $5 balance in the share savings account. Please refer to the credit union's How to Join Page for details.
There's an online application that's provided by Andera. It appears to allow you to apply for both the association membership and the credit union membership at the same time. You can also select the accounts that you want to open and fund the accounts with an ACH transfer from a checking or savings account. When you select the accounts, a pop-up states that the maximum amount that you can fund an account using a checking or savings account is $205,000.
When I called the credit union yesterday, I was told the rate would lock at the time of the application. The rates listed in the table are subject to change at anytime. For the official details about account opening, please contact the credit union. They provide a web chat service (link at top of page), and they have a toll-free number.
Branches are located in the Illinois cities of Waukegan, Mundelein, Round Lake Beach, Gurnee and Volo.
Some time last year the credit union switched from private ASI insurance to NCUA insurance. So deposits are now federally insured (Charter # 68588). Its rating for safety and soundness at BauerFinancial is 3 stars (adequate) based on 3/31/09 data. For some reason, it's labeled as "not rated" at Bankrate.
Other High Certificate of Deposit Rates