Rate Leaders Cutting Long-Term CD Rates

A few of the rate leaders have cut their long-term CD rates. I'm not sure if it's due to the higher demand for long-term CDs due to recent news of their usefulness, or if it's just due to the interest rate environment. Treasury yields have fallen to levels not seen since the 2008 financial crisis.

Some of the recent cuts include:

• Melrose Credit Union - All of its CD rates have fallen by 25 basis points. That brings Melrose 5-year CD yield down to 3.03% APY. It no longer has much of a lead as the best nationwide 5-year CD. My last review of Melrose Credit Union CD rates was in May
• Discover Bank - The 10-year and 7-year CD rates fell by 25 basis points. The 5-, 4- and 3-year CD rates fell by 10 basis points. The 10-year CD rate is now 3.25% APY. This 10-year CD received publicity about its mild early withdrawal penalty (see my Discover CD review).
• Ally Bank - Ally has been slowing cutting its 5-year CD rate for the last couple of weeks. It had been at 2.94% APY for over a month, but it's now down to 2.74% APY. The very mild 60-day early withdrawal penalty still makes this a deal (see my Ally Bank CD review), but the deal is starting to cool as the rate falls.

If you can't qualify for PenFed's 5% 10-year CD, you may still want to consider PenFed's current 3.75% APY 7-year CD (see my PenFed 7-year CD review). PenFed typically changes CD rates at the start of each month, so this may end next Wednesday on September 1st.

Searching for the Best CD Rates

To search for the best nationwide CD rates and the best CD rates in your state, please refer to the CD rates section of DepositAccounts.com.