Readers have reported some initial success with joining Fort Knox Federal Credit Union. As I mentioned in my April 9th review, the credit union offers some of the best CD rates in the nation. I've reported on this credit union many times in previous years, but recently, the credit union has made it easy to qualify for membership. Here's a comment from a reader who tried to join:
I just talked with the CSR and filed my application for membership. They said yes, I can join as a free member of the American Consumer Council even though I live in California. I filed that way, and they have now e-mailed back to me the signature card and a short letter).
Another reader pointed me to the membership agreement (pdf) which has the terms for the CDs. In short, the early withdrawal penalty is only 90 days of interest. However, they reserve the right to refuse an early withdrawal of principal. The paragraph below is from page 35 of the agreement. I've highlighted the two important details.
You have agreed to leave the principal of this account on deposit for the full term stated in your account or renewal notice. If all or part of the principal is withdrawn before the maturity date, the Credit Union may charge you a penalty. Withdrawal of the principal amount of your Certificate may be made only with the consent of the Credit Union. Unless stated otherwise, the owner shall forfeit an amount equal to 90 days dividends whether earned or not. The penalty may be calculated at the rate paid on the deposit. The penalty will, if necessary, be taken from the principal amount of the deposit.
In addition to top CD rates, the credit union also has a very competitive money market account and a cash back credit card that's similar to what PenFed offers. Please refer to the Fort Knox FCU Rates and Reviews page for more details.
If you have joined Fort Knox FCU, please let us know how it went. Other readers have already provided several useful comments in my previous Fort Knox FCU post.