Tuesday, January 10, 2012 - 3:01 PM

5Yr Cd's Maturing This Year????

Ken, most of the 5 years cd's that are maturing this year, were issued at between 5.50% & 6.00%. For me, the CU's and banks on my current cd's (that are maturing this year) are offering less then 2% for a 5yr. cd. I would think there's going to be alot of cash moving out of these CU's and banks. Do you think, this will force any of the institutions to raise the rates or offer one time specials? I want to thank you for the time you put into this site.

lof6 posts since
May 14, 2011
Rep Points: 68

1. Tuesday, January 10, 2012 - 3:38 PM

I'm afraid I'm seeing fewer CD specials than in previous years. For example, in previous years, PenFed has offered CD specials in January. This year its only special is a 1.16% 1-year CD. This time of year is also popular for IRA CD specials. Apple FCU has offered special IRA CDs around this time for many previous years. I don't see any IRA special at Apple FCU so far this year.

We may see some CD specials, but I doubt they will be much above the competition. I described some reasons why banks and credit unions will likely continue to offer low rates in this blog post.

KenBDG5,138 posts since
Nov 29, 2009
Rep Points: 116,951