Mutual Federal Bank continues to offer a competitive 5-year CD rate of 3.10% APY. Minimum deposit is $500. I last reported on this in August. Since that time, many banks have cut their 5-year CD rates so this 3.10% APY is an even better deal. This rate is listed in the bank's CD rate page as of 10/7/2010.
A reader in the last post mentioned that the early withdrawal penalty is 180 days of interest. This is an average penalty for 5-year CDs.
The bank also offers IRA CDs, however, they only list three terms: 6 months, 12 months and 18 months. The 18-month IRA CD is the best deal with a 2.00% APY. The 12-month CD yield is also pretty good at 1.50% APY. These rates are listed in the bank's IRA rate page as of 10/7/2010.
It appears that a branch visit is required to open an account. It's a small bank with branches located at 2212 West Cermak Road, Chicago, IL and at 2695 Forgue Dr., Naperville, IL 60564 (operating under Great American Bank).
The bank's overall health score at DepositAccounts.com is 4 out of 5 with a Texas Ratio of 23.84% (above average) based on 6/30/10 data. Please refer to our financial overview of Mutual Federal Bank for more details. The bank has been a FDIC member since 1935 (FDIC Certificate # 28302).
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