American 1 Credit Union

American 1 CU open to all, dropped their rates today, like other places I guess they didn't wait until the end of the month. They had 12 and 18 mo first at 5.25% then at 5.00%, then today they dropped it down to 4.25%. A shame, I was thinking of joining them, they have only 90 penalty on their CDs but all of their rates lowered quite a bit - the 4 and 5 yrs ones are in the 3s now.

IRA and CD rates are real good but the CD disclosures state; "Compounding Frequency: Dividends will not be compounded. Crediting Frequency: Dividends will be credited to your account at maturity. Alternatively, you may choose to have dividends paid to you or to another account every month, every quarter, or semiannually rather than credited to this account." I have never seen no compounding of interest for dividends??? If that is True then why would I put my money in if no interest on dividends. Losing a $1,000 in interest on $10k in dividends for $100Kinvestment for 2 years? Nah Another potential gotcha is how to open any account. They are not digital so you have to open a "request" online and then they will call you to setup the account and you must sign docs and get them back somehow. I talked with the CSR and he was pretty abrupt and matter of fact...he kept dancing around how you send the docs back and if a secure link was provided or mail in only and I never could get an answer