More important than these Share Certificates is the following announcement on Air Force Federal Credit Union’s website.
If any AFFCU members impacted by the storms or flooding in Houston or in the coastal area are in need of assistance, please contact the credit union at 800.227.5328. We are a resource that can help you.
If you know any AFFCU members in the affected areas, please help them in contacting AFFCU.
At the end of last week, Air Force Federal Credit Union (AFFCU) raised the rate on its 1-year Share Certificate (1.56% APY) and 2-year Share Certificate (1.80% APY). The minimum opening deposit is $1k, with no stated balance cap.
In the past, AFFCU Share Certificates had tiered APYs based on deposit levels, but the Rates page lists the same APY for each of the five different deposit tiers.
The Share Certificates are also available as IRAs (Traditional, Roth, and CESA) earning the same APYs, with the same funding requirements.
I last wrote about the 1-year Share Certificate in April 2016, when the APY was 1.31%. That rate lasted for eleven weeks and then began to drop, finally settling at 0.91% APY in early October. The 0.91% APY was in effect until two months ago, when 45 bps were added. The 20 bps added over the weekend has resulted in the highest APY for the 1-year Share Certificate in more than seven years.
As stated in the Truth in Savings Account Disclosure (attached to the online application), the Early Withdrawal Penalty reads as follows:
The penalty we may impose will equal one half of the dividends that would accrue from the date of the withdrawal to the maturity date applying the contracted rate on the certificate based to the amount withdrawn over and above any dividends credited or accrued to the certificate to date of withdrawal.
Air Force FCU’s Member Rewards program lets you “earn more money on your certificate,” with an additional 10 or 20 bps applied when opening a certificate.
If you have an Air Force FCU loan AND checking account with direct deposit – receive a 20 basis point bonus reward.
If you have an Air Force FCU loan OR checking account with direct deposit – receive a 10 basis point bonus reward.
Headquartered in San Antonio, Texas, Air Force Federal Credit Union's field of membership (FOM) is primarily (and historically) comprised of military and civilian employees of the Department of Defense, but membership is open to all U.S. residents through the Airman Heritage Foundation.
A list of more than 50 organizations and companies that qualify for membership is available on the AFFCU’s website. The majority of these qualifying organizations are Department of Defense related and are located in Arkansas, Louisiana, Mississippi, Oklahoma, and Texas.
In February, AFFCU announced their FOM had expanded to include military veterans.
The new FOM will now allow AFFCU to include honorably discharged veterans who served in any of the Armed Services of the United States listed in its charter and members of their immediate families or households.
Credit Union Overview
Air Force Federal Credit Union has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 3.32% (excellent) based on March 31, 2017 data. In the past year, AFFCU has increased its total non-brokered deposits by $10.87 million, an excellent annual growth rate of 3.17%. Please refer to our financial overview of Air Force Federal Credit Union (NCUA Charter # 8169) for more details.
Established in 1952, Air Force Federal Credit Union takes pride in "being built from the ground up by Airmen volunteers." With more than 42,300 members and assets in excess of $384 million, AFFCU has been named "Credit Union of the Year" (less than $1 billion in assets category) by the United States Air Force in 1996 and 2013.
How the Share Certificates Compare
When compared to the 202 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationally, Air Force Federal Credit Union’s 1-Year Share Certificate APY currently ranks second.
When compared to the 193 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationally, Air Force Federal Credit Union’s 2-Year Share Certificate APY currently ranks third.
The above rates are accurate as of 8/30/2017.