Melrose Credit Union continues to offer some of the best CD and IRA CD rates in the nation. It currently offers the highest 5-year CD rate for a nationally available account that doesn't require a checking account. As I described yesterday, Connexus Credit Union offers 3.00% APY, but this requires an active checking account. Other top CD rates at Melrose include a 2.17% APY 3-year CD and a 1.41% APY 1-year CD. Minimum deposit is $5,000 for regular CDs and $4,000 for IRA CDs. These rates are listed in the credit union's savings rates page as of 2/2/2011.
One downside of Melrose Credit Union is a harsh and confusing early withdrawal penalty. A reader recently emailed me the certificate account disclosure that he received from Melrose. Here's the listed early withdrawal penalty for CD terms over 1-year:
18-60 Months term: Forfeiture of the first 180 days Dividend and a Reduction to the Share Savings Rate at the time of purchase.
The PDF of this disclosure is available here. Please make sure to request the latest disclosure from Melrose before you open a CD.
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.
Even though Melrose makes it easy to qualify, they don't make it easy to apply. Several readers have commented about problems they had in the application. Please refer to my November Melrose Credit Union CD review for more of these details.
Melrose is located in Briarwood, New York which is in Queens.
Melrose Credit Union has an overall health score at DepositAccounts.com of 5 out of 5 with a Texas Ratio 1.53% (excellent) based on September 2010 data. It's a sizable credit union with $1.35 billion in assets. Please refer to our financial overview of Melrose Credit Union for more details. The credit union is federally insured by the NCUA (Charter # 62005).
Searching for the Best CD and IRA CD Rates
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