Dedicated to Deposits: Deals, Data, and Discussion

Survey of the Best CD Rates for May 12, 2014

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The 5-year and 10-year Treasury yields had little change last week, but the 30-year Treasury yields rose 10 basis points. There continues to be expectations that rates will rise over the long run. It may take a few years, but eventually, rates will likely go up. Those expectations can be seen in CD rates. We’re seeing banks increase long-term CD rates and adding new long-term CDs. The more expectations for rising rates, the more of these deals we should see. The hard question for us is to determine if these will be a good deal for savers.

The latest example of banks increasing long-term CD rates is from Sallie Mae Bank. Last week it increased its 5-year CD rate from 1.50% to 2.10% APY.

Another example is Doral Direct which introduced 7-year and 10-year CDs with yields of 2.00% and 2.40%.

Not all banks have been increasing CD rates. Franklin Federal Savings Bank reduced its 7-year and 6-year CDs by about 15 basis points. These CD rates continue to be competitive. The 7-year CD yield is now 2.57%, and the 6-year CD yield is now 2.27%. This is a small bank that doesn’t make it easy to open the CDs (see review).

The two best CD deals in my opinion are the 5-year CDs at VirtualBank and GE Capital Retail Bank (GECRB). VirtualBank’s yield is 2.31% for a $10K minimum, and GECRB’s yield is 2.30% for a $25K minimum. Both CDs have an early withdrawal penalty of 6 months of interest. I have more details on these two banks and these two CDs in my VirtualBank CD review and my GECRB CD review.

Local CD Deals

We’re also seeing some new local long-term CDs. One example is at MidFirst Direct. It just introduced a 10-year CD with a 3.00% APY. It continues to offer a 7-year CD with a 2.75% APY. MidFirst Direct operates as an internet bank, but it doesn’t accept applications from all states. I have more details about this bank and its CDs in this MidFirst Direct CD review.

I added just one new institution to the below local CD tables. Westmark Credit Union is offering a promotional 11-month CD with a 1.16% APY. The offer is scheduled to end on May 17, 2014. Westmark’s field of membership includes many people in Idaho.

Long-Term CD Break Strategy

For the short-term CDs in my lists, you might notice CDs with the note "5-year CD closed after X years". These take into account the yield after the early withdrawal penalty is applied.

If you want to compare the effective yields of other CDs after the early withdrawal penalties, please refer to our CD early withdrawal penalty calculator.

The risks of planning for early withdrawals of long-term CDs were highlighted by the deposit agreement change at Ally. The risks have also been seen at credit unions which have raised the early withdrawal penalties on existing CDs. I have more details in this blog post.

Note About the CD Survey

As I described in my rate table overview, you can use our CD rate tables to find the best rates for both nationally available CDs and local CDs. This CD survey blog posts are intended to highlight nationwide CD deals that may not be apparent in the tables. For example, I'll include the post-penalty yields of a few long-term CDs.

The CD survey blog posts are also intended to highlight the local CD deals that are available in large metro areas. There are many high CD rates, but most of these are at small banks in rural areas or at small credit unions with very narrow fields of membership. In these local CD surveys, my focus is on local CD deals that are in big cities or that are available in large areas of a state.

Yields Accurate as of May 12, 2014

Under 1-Year CD Rates

InstitutionRatesNotes
EverBank1.10% checking/MMA intro 6-month rate ($100K/$50K max)account review
Connexus Credit Union1.00% 6-month CDw/active chk
Doral Direct0.91% 9-month CDaccount review
Doral Direct0.87% 6-month CDaccount review
Ally Bank0.87% 11-month No-Penalty CDsee account review

Noteworthy Local Deals - Under 1-Year CDs

InstitutionRatesRegion
NavyArmy Community Credit Union1.20% ($100K) 1.10% ($1K) 6-month CDCorpus Christi, TX metro
Flagstar Bank1.05% savings account w/6-mo rate guaranteeMichigan
Gulf Coast Federal Credit Union1.00% 6-month CDCorpus Christi, TX metro
Doral Bank NY1.00% 6-month CDNYC

1-Year CD Rates

InstitutionRatesNotes
Quorum Federal Credit Union1.25% 13-month CD
USAlliance Federal Credit Union1.21% 13-month CD
VirtualBank1.16% ( 2.31% 5-yr CD closed after 1 year)
Melrose Credit Union1.15% 1-year CD
GE Capital Retail Bank1.10% ($2K min) 13-month CDCD special
Connexus Credit Union1.10% 1-year CDw/active chk
VirtualBank1.07% 1-year CD
EverBank1.07% 1-year CD
CIT Bank1.05% ($25K min)add-on & bump-up 1-year CD
GE Capital Bank1.05% 1-year CD
AmTrustDirect1.05% 1-year CD
GE Capital Retail Bank1.05% ($25K min) 1-year CDFormerly MetLife

Noteworthy Local Deals - 1-Year CDs

InstitutionRatesRegion
NavyArmy Community Credit Union1.45% ($100K) 1.15% ($1K) 1-year CDCorpus Christi, TX metro
Gulf Coast Federal Credit Union1.30% 12-month CDCorpus Christi, TX metro
South Florida Federal Credit Union1.26% 1-year CDSouth Florida
LOMTO Federal Credit Union1.25% 1-year CDparts of New York City
Doral Bank NY1.20% 1-year CDNYC
Westmark Credit Union1.16% 11-month CDIdaho
HAB Bank1.15% 1-year CDSouthern California
Cornerstone Community Financial Credit Union1.14% 14-month CDparts of MI and OH
HAB Bank1.10% 1-year CDNYC metro

18-month CD Rates

InstitutionRatesNotes
Xceed Financial Credit Union1.50% 17-month CD
VirtualBank1.54% ( 2.31% 5-yr CD closed after 18 months)
Barclays1.50% (2.25% 5-year CD closed after 18 months)see review & risks
BBVA Compass1.25% (w/relationship checking) 1.15% (w/o relation) 18-month CDnow nationally available
Northern Bank & Trust Company1.25% 20-month CD
EverBank1.18% 18-month CD
VirtualBank1.17% 18-month CD
Ally Bank1.16% (1.60% 5-year CD closed after 18 months w/new ewp)see review & risks
GE Capital Retail Bank1.15% 15-month CD specialFormerly MetLife

Noteworthy Local Deals - 18-Month CDs

InstitutionRatesRegion
Gulf Coast Federal Credit Union1.45% 18-month CDCorpus Christi, TX metro
Doral Bank NY1.30% 18-month CDNYC
South Jersey Federal Credit Union1.26% 18-month CDparts of New Jersey
Greater Nevada Credit Union1.20% 17-month CDNorth Nevada
ABNB Federal Credit Union1.10% ($100K) 15-month CDNorfolk/Virginia Beach metro

2-Year CD Rates

InstitutionRatesNotes
VirtualBank1.73% ( 2.31% 5-yr CD closed after 2 years)
Barclays1.69% (2.25% 5-year CD closed after 2 years)see review & risks
Third Federal1.50% 29-month CDpromotional
Melrose Credit Union1.41% 2-year CD
Northrop Grumman Federal Credit Union1.40% ($40K) 1.25% ($2.5K) 2-year CD
BBVA Compass1.35% (w/relationship checking) 1.25% (w/o relation) 29-month CDnow nationally available
Ally Bank1.27% (1.60% 5-year CD closed after 2 years w/new ewp)see review & risks
Connexus Credit Union1.30% 2-year CDw/active chk
Salem Five Direct1.25% 2-year CD
Bank5 Connect1.20% add-on 2-year CDnot available to MA & RI residents
CIT Bank1.20% ($25K min) add-on & bump-up 2-year CD

Noteworthy Local Deals - 2-Year CDs

InstitutionRatesRegion
Greater Nevada Credit Union1.70% 27-month CDNorth Nevada
NavyArmy Community Credit Union1.70% ($100K) 1.40% ($1K) 2-year CDCorpus Christi, TX metro
Gulf Coast Federal Credit Union1.55% 2-year CDCorpus Christi, TX metro
Doral Bank NY1.50% 2-year CDNYC
Keesler Federal Credit Union1.50% ($100K) 1.40% ($1K) 2-year CDMississippi
LOMTO Federal Credit Union1.45% 2-year CDparts of New York City
People's Alliance Federal Credit Union1.35% 28-month CDNYC and Miami
BrightStar Credit Union1.25% 23-month CD (+0.25% w/chk relationship)parts of Southeast FL

3-Year CD Rates

InstitutionRatesNotes
Wilshire State Bank2.28% 3-year installment savings account w/auto xfers, $100K maxaccount review
VirtualBank1.93% ( 2.31% 5-yr CD closed after 3 years)
Barclays1.88% (2.25% 5-year CD closed after 3 years)see review & risks
Connexus Credit Union1.75% 3-year CD w/active chk
Melrose Credit Union1.66% 3-year CD
USAlliance Federal Credit Union1.61% 35-month CD
Northern Bank & Trust Company1.60% 3-year CD
America's Credit Union1.50% 3-year CDpromotional
Sallie Mae Bank1.45% 3-year CD
CIT Bank1.40% ($100K) 1.27% ($1K) 3-year CD
Navy Federal Credit Union1.40% ($100K) 1.35% ($20K) 3-year CDlimited membership

Noteworthy Local Deals - 3-Year CDs

InstitutionRatesRegion
Greater Nevada Credit Union2.20% 37-month CDNorth Nevada
NavyArmy Community Credit Union2.05% ($100K) 1.75% ($1K) 3-year CDCorpus Christi, TX metro
Gulf Coast Federal Credit Union2.02% 3-year CDCorpus Christi, TX metro
Patriot Federal Credit Union2.00% 3-year and 30-mo CD specialparts of PA and MD
Liberty Bank2.00% 3-year CD specialConnecticut
Transportation Federal Credit Union2.00% 3-year CDWashington DC metro
Keesler Federal Credit Union1.65% ($100K) 1.55% ($1K) 3-year bump-up CDMississippi
ABNB Federal Credit Union1.60% ($100K) 39-month CDNorfolk/Virginia Beach metro
LOMTO Federal Credit Union1.65% 3-year CDparts of New York City
Doral Bank NY1.60% 3-year CDNYC
Spokane Teachers Credit Union (STCU)1.51% ($25K) 30-month CDWA State & parts of ID

4-Year CD Rates

InstitutionRatesNotes
Fort Knox Federal Credit Union2.05% 46-month CDConsumer-unfriendly history, see review
Melrose Credit Union2.02% 4-year CD
VirtualBank2.02% ( 2.31% 5-yr CD closed after 4 years)
NASA Federal Credit Union2.00% 49-month CD special
Barclays1.97% (2.25% 5-year CD closed after 4 years)see review & risks
America's Credit Union1.80% 4-year CDpromotional
CIT Bank1.80% ($100K) 1.70% ($1K) 4-year CD
VirtualBank1.79% 4-year CD
Nationwide Bank1.79% ($100K) 1.74% ($500) 4-year CD
EverBank1.78% 4-year CD
GE Capital Retail Bank1.75% ($25K) 1.70% ($2K) 4-year CDFormerly MetLife
Barclays1.70% 4-year CD
Navy Federal Credit Union1.65% ($100K) 1.60% ($20K) 4-year CDlimited membership
Ally Bank1.30% Raise-Your-Rate 4-year CD

Noteworthy Local Deals - 4-Year CDs

InstitutionRatesRegion
Patriot Federal Credit Union2.50% 4-year step-up CD specialparts of PA and MD
Liberty Bank2.25% 4-year CD specialConnecticut
Bank of Utica2.25% 4-year CDCentral New York
Bayer Heritage Federal Credit Union2.02% 4-year CDparts of WV, OH & SC
Institution For Savings2.00% 4-year CDparts of MA
Keesler Federal Credit Union2.00% ($100K) 1.90% ($1K) 4-year CDMississippi
LOMTO Federal Credit Union1.85% 4-year CDparts of New York City
MidFirst Direct1.75% 4-year CDAR, AZ, CA, FL, MO, NH, NV, NY, OK, TX, and WY
Fifth Third Bank1.50% 4-year CD specialseveral eastern and midwestern states

5-Year CD Rates

InstitutionRatesNotes
VirtualBank2.31% 5-year CD
GE Capital Retail Bank2.30% ($25K) 2.25% ($2K) 5-year CDFormerly MetLife
CIT Bank2.30% ($100K) 2.25% ($1K) 5-year CD
Melrose Credit Union2.27% 5-year CD
Barclays2.25% 5-year CD
EverBank2.23% 5-year CD
iGObanking.com2.15% 5-year CD
Navy Federal Credit Union2.15% ($100K) 2.10% ($20K) 5-year CDlimited membership
Sallie Mae Bank2.10% 5-year CD
GE Capital Bank2.10% 5-year CD
BBVA Compass2.10% (w/relationship checking) 2.00% (w/o relation) 5-year CDnow nationally available
Fidelity New Issue Brokered CD2.00% 5-year non-callable CDissued by GE Capital Retail Bk
Discover Bank1.95% 5-year CD

Noteworthy Local Deals - 5-Year CDs

InstitutionRatesNotes
Patriot Federal Credit Union3.00% 5-year CD specialparts of PA and MD
ABNB Federal Credit Union2.60% ($100K) 63-month CDNorfolk/Virginia Beach metro
Liberty Bank2.50% 5-year CD specialConnecticut
Bank of Utica2.50% 5-year CDCentral New York
Progressive Credit Union2.32% 5-year CD (NYC with unique FOM)account review
Keesler Federal Credit Union2.30% ($100K) 2.20% ($1K) 5-year CDMississippi
Bayer Heritage Federal Credit Union2.27% 5-year CDparts of WV, OH & SC
LOMTO Federal Credit Union2.15% 5-year CDparts of New York City

Over 5-Year CD Rates

InstitutionRatesRegion
Fidelity New Issue Brokered CD3.30% 10-year non-callable CDissued by GE Capital Retail Bk
Fidelity New Issue Brokered CD2.70% 7-year non-callable CDissued by GE Capital Retail Bk
Apple Federal Credit Union2.60% 10-year CD
Franklin Federal Savings Bank2.57% 7-year CDaccount review
Navy Federal Credit Union2.55% ($100K) 2.50% ($20K) 7-year CDlimited membership
Doral Direct2.40% 10-year CDaccount review
Navy Federal Credit Union2.30% ($100K) 2.25% ($20K) 6-year CDlimited membership
Franklin Federal Savings Bank2.27% 6-year CDaccount review
Discover Bank2.25% 10-year CD
Apple Federal Credit Union2.20% 7-year CD
GE Capital Bank2.15% 6-year CD
Discover Bank2.05% 7-year CD
Doral Direct2.00% 7-year CDaccount review

Noteworthy Local Deals - Over 5-year CDs

InstitutionRatesRegion
Hutchinson Credit Union3.15% ($250K) 3.10% ($100K) 3.05% ($25K) 10-year CDKansas
MidFirst Direct3.00% 10-year CDAR, AZ, CA, FL, MO, NH, NV, NY, OK, TX, and WY
MidFirst Bank3.00% 10-year CDAZ and OK
Frick Tri-County Federal Credit Union3.00% 10-year CDparts of Western PA
Dollar Bank3.00% 10-year CDPittsburgh and Cleveland
SACU2.90% ($90K) 2.85% ($10K) 10-year CDSan Antonio, TX
PeoplesChoice Credit Union2.78% 10-year CDYork and Cumberland Counties of Maine
MidFirst Direct2.75% 7-year CDAR, AZ, CA, FL, MO, NH, NV, NY, OK, TX, and WY
Doral Bank NY2.70% 10-year CDNYC
Frick Tri-County Federal Credit Union2.50% 8-year CDparts of Western PA
Hutchinson Credit Union2.50% ($250K) 2.40% ($100K) 2.30% ($25K) 6-year CDKansas
MidFirst Bank2.40% 7-year CDAZ and OK
SACU2.40% ($100K) 2.36% ($10K) 7-yearSan Antonio, TX
Wright-Patt Credit Union2.36% ($100K) 2.26% ($500) 6-year CDUS gov military and civilian personnel, Parts of OH
Doral Bank NY2.30% 7-year CDNYC
Financial Center Federal Credit Union2.25% 7-year CDparts of Indiana
First Republic Bank2.25% 6-year CDparts of CA, OR, MA, CT, FL and NY
Fifth Third Bank2.00% 6-year CD specialseveral eastern and midwestern states

Note: All rates listed above are Annual Percentage Yields (APY) which factor in compounding.

  Tags: CD rates

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Comments
2 comments.
Comment #1 by DAVE LA (anonymous) posted on
DAVE LA
see FOUR CORNERS CREDIT UNION

2.78% FOR 3 YEARS

DIFICULT TO JOIN UNLESS YOU LIVE IN AREAS IN NEW MEXICO

ONE BRANCH ("NOT SHARED")

THEY HAVE ON-LINE ACCESS

9
Comment #2 by Anonymous posted on
Anonymous
See Greater Nevada Credit Union:  Also a pretty good deal.

4
Comment #3 by Anonymous posted on
Anonymous
I still think we will see rates rise by the end of the year.

1
Comment #5 by Anonymous posted on
Anonymous
What year? 

6
Comment #6 by Anonymous posted on
Anonymous
2014 or early 2015

1
Comment #7 by Anonymous posted on
Anonymous
I think you're dreaming...........

6
Comment #8 by Anonymous posted on
Anonymous
The common wisdom will once again be proven wrong.

1
Comment #9 by Anonymous posted on
Anonymous
What common wisdom?

3
Comment #10 by Anonymous posted on
Anonymous
The common wisdom that rates will not rise for a long, long time.

1