Now through December 2, 2022, Andrews Federal Credit Union (Andrews Federal) is offering a 7-Month Inflation Buster Share Certificate Special (IBSCS) earning 5.00% APY. The minimum opening deposit is $1k of new money (funds not already on deposit at Andrews Federal) and there is a balance cap of $100k. There is a limit of one 7-month IBSCS per member.
The 5.00% APY is definitely “wow-worthy,” but I wouldn’t call it a “hot deal” because of the $100k balance cap. The 5.00% APY is actually higher than any short-term brokered CD rates currently available, which is not an easy feat for direct CDs in today's rising rate environment.
Note: While the fine print on the landing page states the 7-month IBSSC “will be available through 12/02/2020,” it includes this cautionary sentence:
The credit union reserves the right to change offered rates at any time.
As stated in the fine print on the Special Certificates Rate page, the Early Withdrawal Penalty reads as follows:
If your account has an original maturity of less than 24 months,
we will charge a penalty equal to 90 days of dividends.
Funding and Other Particulars
According to CSR, the easiest way to fund a 7-month IBSCS is through an internal transfer. Andrews Federal participates in the CO-OP Shared Branch network, facilitating the transfer of “new money” into an Andrews Federal Base Share Savings Account. Funds can also be transferred by ACH, wire, or check.
Maturing funds can be distributed by cashier’s check to the address on file or transferred to a Base Share Savings Account.
Dividends are compounded and credited every quarter and may be transferred to another Andrews Federal account.
Up to four beneficiaries (equal shares) can be added using the Payable-On-Death Beneficiary Designation Form. Social Security numbers are required for all named beneficiaries. The form can be returned by secured message, by email, or at any branch location.
There is a ten calendar grace period before a 7-month IBSCS automatically renews as a 12-month Share Certificate.
Many thanks to all the DA readers for their Forum posts, comments, and emails about the 7-Month Inflation Buster Share Certificate Special. In the Forum posts, several readers have been sharing their experiences as they try to open a IBSCS. If you are considering opening a IBSCS, I would highly recommend reading the Forum posts.
Headquartered in Suitland, Maryland, Andrews Federal Credit Union’s field of membership (FOM) includes virtually all U.S. citizens/resident aliens (18 years or older) who have a valid Social Security number.
Easy Membership Requirement – Members of the American Consumer Council (ACC) are eligible to join Andrews Federal.
Note: Andrews Federal's online application asks for your ACC membership number; in other words, you must join ACC prior to joining Andrews Federal. As stated on Andrews Federal’s Membership page,
You can join the American Consumer Council at no charge. Just use promo code "Andrews."
Residency – Individuals who live, work, worship, or attend school in Washington, D.C. qualify for membership.
Military Relationship – Civilian and military personnel of Joint Base Andrews, Joint Base McGuire-Dix-Lakehurst, and military installations in central Germany, Belgium, and The Netherlands are also eligible to join.
Employment/Association – More than 200 businesses/groups in Maryland, New Jersey, and Virginia offer Andrews Federal membership as an employee benefit.
Family Membership – Immediate family members (spouse, child, sibling, parent, grandparent, or grandchild) of an existing member, or household members of an existing member are eligible to join.
Joining Andrews Federal and/or opening the 7-month Certificate Special can be done online, or at any of ten full-service U.S. branches located in Maryland (3), New Jersey (3), Virginia (2), and the District of Columbia (2). Andrews Federal also has branches associated with military bases in Germany, The Netherlands, and Belgium.
Your Andrews Federal Credit Union membership begins with a $5.00 deposit to your Base Share Savings Account.
Andrews Federal participates in the CO-OP Share Branch Network, providing its members with access to more than 5,600 branch locations and over 30,000 ATMs.
Through the CO-OP Shared Branch Network, you will be able to complete some of the same transactions as if you were at an Andrews Federal branch.
Credit Union Overview
Andrews Federal Credit Union has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 8.09% (excellent), based on June 30, 2022 data. In the past year, Andrews Federal has increased its non-brokered deposits by $42.55 million, an above average annual growth rate of 2.34% APY. Please refer to our financial overview of Andrews Federal Credit Union (NCUA Charter # 5754) for more details.
Andrews Federal Credit Union was established in 1948, when eight individuals each deposited $5 to form a credit union that would address the personal financial needs of military and civilian personnel at Andrews Air Force Base. Seventy-four years later, Andrews Federal is currently Maryland’s fourth largest credit union (and the 171st largest credit union in the country), with more than 134,000 members and assets in excess of $2.4 billion.
How the 7-Month Inflation Buster Share Certificate Special Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com that available nationally and have minimum deposit requirements of $10k or less, no bank or credit union has a higher rate than currently offered on the Andrews Federal Credit Union 7-month IBSCS. The following table compares the 7-month IBSCS to the two highest-rate CDs from other credit unions and the two highest-rate CDs from banks.
|APY||CD Term (Early Withdrawal Penalty)||Credit Union/Bank|
|5.00%||7-Month Inflation Buster Share Certificate Special (EWP=90 days)||Andrews Federal Credit Union|
|4.00%||9-Month Share Certificate Special (EWP=182 days)||NASA Federal Credit Union|
|4.00%||6-Month CD (EWP=90 days)||Bask Bank|
|3.87%||6-Month CD (EWP=180 days)||First Internet Bank|
|3.50%||9-Month CD (EWP=90 days)||PSECU|
The above information and rates are accurate as of 11/8/2022.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.