Just noticed that PenFed Credit Union significantly increased its penalty for CD early withdrawals. Old penalty said "CDs up to and including 5 years" was a 6 month interest penalty ; New terms state: "CDs up to and including 4 years" is a 6 month penalty ; now, 5 year OR more CD is a full one year interest penalty. Just something to be aware of before opening a new 5 or 7 year CD.
JimMartin911 posts since May 26, 2011 Rep Points: 58
1. Thursday, May 26, 2011 - 9:42 PM
I thought they would do this to cover their behinds in the event of a rate increase. No surprise.
Shorebreak2,675 posts since Apr 6, 2010 Rep Points: 14,527
2. Thursday, May 26, 2011 - 10:00 PM
Also, PFCU has still not corrected (?) the 01/2011 10Year CD T&Cs. They are silent on the EWP, so I assume there is no EWP.