Survey of the Best Local CD Rates in Boston, Miami, New York, Los Angeles and Other Cities

In the past I've waited until Saturday to review some of the best local CD deals. I've cut back on this since it was taking me too long for my Saturday weekly summaries. So I've decided to create a new post to survey some of the best local CD deals around the nation.

As I described on Wednesday, you can use our rate tables to find the best local CD rates. One thing that complicates looking for local rates is that it can be hard to know the areas served by small banks and credit unions. So in my list below, I primarily focus on banks and credit unions that serve large metro areas. My criteria is that they offer rates higher than the nationwide equivalent CD. If the rate is high enough, I'll also mention a bank or credit union even if it's not in a large populated area. These aren't hard rules. They're just general rules to keep the list manageable and useful.

So you can see how these rates compare, I'll include the best CD rates that are available nationwide. These are often from credit unions which anyone can join via an association. I will also often include more than one CD for each category. For example, Connexus Credit Union has 3 best CD rates, but these require an active checking account. Since many don't want to worry about maintaining another checking account, I'll also include another CD without any checking requirement. Also, I'm including Ally Bank's 5-year CD for many of the short-term CDs. As I described many times, these can be better deals than short-term CDs due to the 60-day early withdrawal penalty. I've included a link to a discussion of this strategy that describes the potential risks.

Rates Accurate as of 4/22/2011

Under 1-Year CD Rates

• Ally Bank - 1.60% (2.40% 5-year CD closed after 6 months, see review & risks)
• Connexus Credit Union - 1.50% 6-month CD with active checking account
• Salem Five Direct - 1.25% savings account with rate guaranteed until 4/1/2012
• Ally Bank - 1.15% 11-month No-Penalty CD

• Noteworthy Local Deals
• Miami Postal Service Credit Union - 1.76% 9-month CD (Miami metro area)
• Industrial Credit Union - 1.40% 6-month CD (Boston metro area)

1-Year CD Rates

• Ally Bank - 2.00% (2.40% 5-year CD closed after 1 year, see review & risks)
• Connexus Credit Union - 1.75% 12-month CD with active checking account
• Melrose Credit Union - 1.41% APY 12-month CD

• Noteworthy Local Deals
• Industrial Credit Union - 1.60% 12-month CD (Boston metro area)
• Credit Union of Atlanta - 1.53% 12-month CD (parts of Atlanta, Georgia)
• Atlas Bank - 1.51% 12-month CD (New York City)
• State Bank of India (California) - 1.50% 15-month CD (Several cities in CA & in Washington DC)

18-month CD Rates

• Ally Bank - 2.13% (2.40% 5-year CD closed after 18 months, see review & risks)
• Alliant Credit Union - 1.55% ($25K min) 18-month CD

• Noteworthy Local Deals
• University of Iowa Community Credit Union - 2.50% 16-month (several parts of Iowa)
• Industrial Credit Union - 1.60% 18-month CD (Boston metro area)

2-Year CD Rates

• Ally Bank - 2.20% (2.40% 5-year CD closed after 2 years, see review & risks)
• Self-Help Credit Union - 1.77% 2-year CD

• Noteworthy Local Deals
• Atlas Bank - 2.22% 2-year CD (New York City)
• Liberty Bank - 2.13% 23-month CD (Iowa & SW Florida)

3-Year CD Rates

• Ally Bank - 2.27% (2.40% 5-year CD closed after 3 years, see review & risks)
• Velocity Credit Union - 2.27% 3-Year promo CD

• Noteworthy Local Deals
• University of Iowa Community Credit Union - 2.60% 37-month (several parts of Iowa)
• Credit Union of Atlanta - 2.52% 3-year CD (parts of Atlanta, Georgia)
• Montauk Credit Union - 2.50% 3-year CD (New York City)
• EBSB Direct - 2.25% 3-year CD (New England and New York State)

5-Year CD Rates

• Connexus Credit Union - 3.00% 5-year CD with active checking account
• Melrose Credit Union - 2.93% 5-year CD

• Noteworthy Local Deals
• PEF Federal Credit Union - 3.29% 5-year CD (parts of the Cleveland metro area)
• Montauk Credit Union - 3.00% 5-year CD (New York City)
• Liberty Bank - 3.00% 5-year CD (Iowa & SW Florida)
• Security Service Federal Credit Union - 3.00% ($100K) 5-year CD (parts of Texas & Colorado)
• State Bank of India (California) - 2.75% 5-year CD (Several cities in CA & in Washington DC)

Over 5-Year CD Rates

• Navy Federal Credit Union - 3.40% ($20K) 7-year CD (membership restrictions)
• Apple Federal Credit Union - 3.00% 7-year CD

• Noteworthy Local Deals
• Montauk Credit Union - 3.50% 7-year CD (New York City)
• Security Service Federal Credit Union - 3.50% ($100K) 7-year CD (parts of Texas & Colorado)