Dedicated to Deposits: Deals, Data, and Discussion
DETAILSINSTITUTIONAPYMINMAXPRODUCT
INOVA Federal Credit Union1.49%$200-6 Year IRA (Traditional,Roth,CESA)
INOVA Federal Credit Union1.39%$200-6 Year CD
INOVA Federal Credit Union1.29%$200-6 Year Step-Up CD
Accounts mentioned in this post. Rates as of July 23, 2014

Top 6-Year CD & Reward Checking Rates at INOVA FCU - Easy Membership

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INOVA Federal Credit Union

Most of the CD rates at INOVA Federal Credit Union are low, but there's one rate that's very competitive. It's the 6-year share certificate which has a 2.50% APY. Minimum deposit is $200. There's also a step-up option, but the rate is 0.10% lower. This allows the member to step-up the rate one time during the term. The IRA share certificates have rates 0.10% higher. These rates are listed in the CD rates page as of 1/11/2012.

According to the member service rep, the 6-year CD has an early withdrawal penalty of 180 days of interest.

The credit union also offers a reward checking account called Ovation Checking that has a 3.00% APY on balances up to $20K as of 1/11/2012. My first report on this account was in April 2010.

Membership and Online Application

Credit union membership is primarily based on employment or membership in one of many organizations. Refer to the credit union's become-a-member page for more details. On the front page there's a "Join INOVA" link at the top left of the page. This link takes you to an online application provided by loanspq.com. One of the options for eligibility listed in this application includes:

You may elect to join one of the approved not for profit organizations such as Cass County Conservation Club or the Elkhart River Restoration Association.

The online application allows you to select any of the CDs and/or the Ovation Checking. You are also required to open a savings account with a minimum balance of $5.

Credit Union Overview

Branches are located in the Indiana cities of Elkhart, Michigan City, Mishawaka and Granger. Other branches are located in Berkeley, California; and Clayton, North Carolina. It's also part of the Credit Union Service Center which allows you to perform basic transactions at branches of other credit unions around the nation.

The reason the credit union has branches scattered across the country is due to it being originally chartered to serve the employees of Miles Laboratories which had facilities in these cities. The credit union used to have branches in other states, but it appears those have been closed.

The credit union has an overall health score at DepositAccounts.com of 3 stars (out of 5) with a Texas Ratio of 23.14% (average) based on September 2011 data. Please refer to our financial overview of INOVA Federal Credit Union for more details. The credit union is federally insured by the NCUA (Charter # 4968).

How These Rates Compare

There aren't many institutions that offer 6-year CDs. Most limit maturities to 5 years. Longer term CDs typically have maturities of 7 or 10 years. The best nationally available 5-year CD rate is 2.68% APY at Melrose Credit Union. For a 7-year term, the highest rate is 2.75% APY at Pentagon Federal Credit Union. For a bank, the best 5-year rate is 2.25% APY (59 month) at US Bank. These rates are accurate as of 1/11/2012.

It should be noted that all three of these institutions have harsh early withdrawal penalties. PenFed's 5- and 7-year CDs have EWPs up to 1-year of dividends (see review). I have more details on the EWP at Melrose in this post and at US Bank in this post.

For reward checking account rates that are nationally available, the best rate is 4.00% APY for balances up to $10K at Consumers Credit Union. Other reward checking accounts are available with larger balance caps, but the rates are lower.

Searching for the Best CD, IRA CD & Reward Checking Rates

To search for the best nationwide rates and the best rates in your state, please refer to the following sections of DepositAccounts.com:

  Tags: INOVA Federal Credit Union, CD rates, Indiana, California, North Carolina, checking account

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Comments
23 comments.
Comment #1 by Pinched (anonymous) posted on
Pinched
2.5% for 6 years gets a banner headline.  Amazing.  I planned my retirement with a 4% withdrawl rate on my savings. That's working out real well.  

My travel plans these days are trips to McDonalds for a Senior coffee then a stop by the Dollar Store for some retail therapy.

Nothing real pithy to say, please forgive my whining.

11
Comment #2 by Stan (anonymous) posted on
Stan
Pinched:  I understand your situation 100%.  We figured on a very paltry 5% return on our retirement savings.  We average maybe 3% now.  Factor in huge inflation on what we spend most of our money on (gas, fuel for heat, groceries, property taxes, insurance) and you can see what kind of trouble we're in.  Wife and I are both 67 years old and figure that we have to go back to work full-time very soon.  Some kind of retirement.

6
Comment #3 by 51hh posted on
51hh
Just a friendly input:

Do not mix the savings rate with the retirement withdrawal rate.  The 4% withdrawal rate initially is determined by many factors; e.g., fund diversification such as 50% equity/50% bond.  Leaving the stock market condition alone, the 4% withdrawal rate takes inflation, social security, 401k asset allocation etc. into consideration.  But it never assumes that one is relying entirely on savings interest rate. 

5
Comment #4 by Anonymous posted on
Anonymous
Sorry #3, but you're chasing yourself around the bush, what with all your implied mix, rates, diversification, formulas and such. The plain and simple fact is that a great many of us here live off of our interest income and social security and, lately and for the forseeable future, are having a hard time in doing so....way to late in life to change our ways and be speculative or involved in fancy investment notions and assertions.  Truth be known, most of us here, and perhaps even you, are in the same boat.  

14
Comment #5 by Anonymous posted on
Anonymous
It seems that no one has mentioned, but do they do a soft or hard pull when opening an account?

Thanks

1
Comment #6 by Anonymous posted on
Anonymous
Sympathy for pinched.  We are in the same boat and our daily routines  are very similar.  I do spend  time cherry picking the grocery stores and trying to figure out less expensive alternatives to the many meds we take.  But all said and done this 2.50 for six years is one of the best rates I have seen for a while and I am very appreciative of Ken'sefforts in our financial endeavours.   Presently I do get 2.50 on a reward checking account and would not have known about this without Ken's listings.

6
Comment #7 by Anonymous posted on
Anonymous
Am among those who planned on a decent savings interest rate to provide additional retirement income over and above social security.   After being burned in 1998 in the stock market, again after 2001-3, we decided not to be in the market -- period.   So now we have the Federal Reserve to thank --- specifically Ben Bernanke and the FOMC committee members who have decided that savers will pay for bad bets made by bankers and other financial insitutitions as well as for the speculator gamblers who ventured into the real estate market to make a forturne --- only they didn't make a fortune.  All of these groups used borrowed funds (even leveraged borrowed funds) to make their bets and lost --- and now, we, the careful planners and savers are told that we have to pay the cost by not earning anything on our savings.   It's legal robbery plain and simple by our government.    The moral of the story is don't believe what the government tells you because a few years down the road things will change, and they will find a way to take away what you have earned and saved -- at least in this writer's opinion!

13
Comment #8 by 51hh posted on
51hh
You folks have to have some perspectives in this groomy environment:

If you all keep your hard-earned money in savings/CD that earn 2-2.5% in the foreseeable future, you will not be able to fight inflation/deflation.  Your $1M will be $100K - $200K soon, to put it in the extreme.  

Yes, we are all in the same boat but I am actively looking for (and am already in) some equity/mutual funds that will protect me (hopefully) from those monsters.  Being retired does not mean you should be 0% in equity, it just means your time horizon is shorter and you should be conservative on your asset allocation and fund diversification. 

Just my "unpopular" two cents without liability.

Peace:-)

7
Comment #9 by Anonymous posted on
Anonymous
#8 - In theory, I totally agree with your post. Although most of us recognize the prospects of inflation, etc,  the more immediate need is to have some bean and expense money. More principal to diversify would certainly be desirable but the bean money has to come first....really hard to invest in equities in todays market if we need the bean money now, you know?  If I had a 'jillion', I would love to diversify but, since I don't, I'll have to make do with the 2-3 percent guaranteed stuff. Wish me luck.

5
Comment #10 by joe (anonymous) posted on
joe
I guess I'm 31 and haven't ever been in the stock market.  I do feel for our retired persons.  Now with these low rates and record high bonuses for wall street execs, Grandma will now be choosing between eating dog food and cat food tonight.  The natives are getting restless.  Corzine and his MF global, by the way I avoid things with the initials MF in them, he should be thrown in jail, waterboarded, and his 1 billion dollar fortune to be returned to those he stole from.  He is a giant pile of drek.  At some point the guilotines will be opened again for business, with Bernake, the house, and senate, being the first ones to go after the CEOs of BOA, Citi, and Goldman Sachs.  At some point I will be leading this revolution.  I believe in a strong middle class. People have the right to retire.  The wealth of the middle class has been stolen and we need to retake it!  By the way, Obama and Romney, there is NO DIFFERENCE!  Wake up.  Vote for the one guy who could be a difference maker.  Ron Paul.  Notice as he is doing well, they start attacking him, both the left and right.  He is a racist, ...  At least he didn't say he likes firing people like Romney.  The truth comes out at some point.  At least we still have the internet to grieve our annoyances.  I guess at some point they will close it down.  As an american citizen, we don't even have the right to due process anymore!  Wake up!

6
Comment #11 by Anonymous posted on
Anonymous
WOW !!!

3
Comment #12 by Anonymous posted on
Anonymous
Ron Paul has a lot of my same concerns but unfortunately, he is too much of a radical to be President, imo.  Have any of you wondered why the Republicans never mention what their Healthcare Platform is since they are so against Obama's?  I have written to many of them including  Ron and Rand Paul and after receiving Rand Paul's reply, I knew I could never vote for father for President.  What has Healthcare to do with a financial group?  Quite a lot!  Many of we elderly may have to support our adult children who have chronic healthcare problems and have lost their jobs.  Those interest rates I desperately need are NOT so I can go dancing in some expensive club.  I need it to help my DD survive and no one in Washington cares if we survive or not!

I go around the house singing "Allons enfants de la Patrie, Le Jour de gloire est arrive" just to give myself hope of a better future.  For those of you who were not around in 1776, its the chant from the French Revolution called the Marseillaise.  I sang it as a child never dreaming, I would sing it even louder in my own country!    All I am asking for is a chance to get 3% on a 5 year CD to help ourselves and our DD survive.  Does the Federal Unreserve give a "dodo"?  I think not!    We need to think very seriously WHO we put in that White House.  No one seems to care what they are doing financially to the elderly savers of this country.   "Arise children of the Fatherland", The Day of Glory has arrived!"

Will it for "us"?

4
Comment #13 by Anonymous posted on
Anonymous
People:  The French Revolution was not in 1776 and neither was I.  I tend to get my revolutions mixed up.  The French Revolution was in 1789.  Just a few years after ours.  Maybe we gave them the idea!  Ha!

2
Comment #14 by Mike (anonymous) posted on
Mike
RE: poster #10 (Joe) and others: the Fed policies and these ridiculously low interest rates affect many others besides Senior Citizens and "Grandma."  How about young or midddle-aged people who are trying to save for a car, or house, or condo or retirement?   Money which they are saving is getting basically no return.  Their 401K's are growing by 2%-3% a year at most.  So what if the mortgage or car loan rates are low.  When this generation gets to reitrement age, they will not have seen 6%-10% returns on their savings like prior generations.  Not all "young" people are spenders and borrowers and benefitting from these terrible deposit rates.  I would like to see some articles written about THIS. 

4
Comment #15 by Anonymous posted on
Anonymous
Some of these "young" people are getting super cheap mortgages --- which they could never get if the banks/credit unions had to pay a decent interest rate on savings deposits!!!!   I don't have a problem with the young people getting a good deal.   It's just that all of the Fed's tinkering is at the expense of savers --- no one is offering to give them the additional income they won't be getting because they are earning next to nothing on their CDs which are most likely financing all the cheap mortgages.   It is what it is!!!

1
Comment #16 by John from Altamonte Springs (anonymous) posted on
John from Altamonte Springs
The point that Mike #14 is trying to make is that it is not just the old folks who are being hurt by these low deposit rates.  Young and middle-aged savers who are saving towards a goal are also being ****ed.  When I was 25 and saving for a car, a house or my kids' education, we were getting 6% in the bank or more.  Not today.

2
Comment #17 by Anonymous posted on
Anonymous
Hey #16, the young folks have their health and EARNING POWER.....the old folks do not. Get the picture now?

2
Comment #18 by Anonymous posted on
Anonymous
 

Back on topic, anyone open a new account with INOVA lately, or done any past business with them, to share? Comments?

3
Comment #19 by BarbsLeff (anonymous) posted on
BarbsLeff
To #17:  You are truly a moron.  Health and earning power are fine, but we are talking about getting lousy rates on savings accounts.  That affects all who save, whether 8 years old or 88.  That's what Posters #16 and #14 are trying to say.  This mess with deposit rates affects ALL who save, not just seniors.

1
Comment #22 by Anonymous posted on
Anonymous
#19 Barbs and #21 Stan seem to be one and the same....and good luck to him/her.  :-)

2
Comment #20 by Anonymous posted on
Anonymous
No need to get hostile, Barbs....I have an idea that you just may have far bigger problems than interest rates, so good luck.

1
Comment #21 by Stan D. (anonymous) posted on
Stan D.
Ken--

I hope that you consider deleting the posts from Anonymous #17 and #20.  The tone of this poster is just horrible and inconsisent with the spirit of this website.  Just my suggestion.  :)

1
Comment #23 by Anonymous posted on
Anonymous
Ken,   Why isn't INOVA CU listed as available in FL when looking for highest reward checking acct. interest rates ?    Also, why is Bank of Blue Valley missing in list of reward checking accounts available to FL?

1
Comment #24 by Ipecac (anonymous) posted on
Ipecac
I got a hard pull on TU when signing up.

2
Comment #25 by Anonymous posted on
Anonymous
Beware that the maximum Inova will let you step up your rate by is 1.5%

It says so in small print on their rate sheet

1