UPDATE 4/19/2018: CapEd is no longer an easy membership requirement credit union.
CapEd Federal Credit Union (CapEd) added a series of Promotional Rate Share Certificates (PRSC) almost four years ago, which have offered competitive APYs on a limited-time basis. At the beginning of the week, CapEd raised the rates on all three PRSC, but only 60-months (3.00% APY) is truly competitive. While CapEd’s regular Share Certificates have tiered APYs based on deposit levels ($500, $10k, $50k), the PRSCs only require a $500 minimum deposit to earn the stated APY.
The Promotional Rate Share Certificate is also available as an IRA (Traditional, Roth, CESA, and SEP) earning the same APY, with the same funding requirements.
As stated in CapEd’s Truth-In-Savings brochure, the Early Withdrawal Penalty reads as follows:
If your account has an original maturity of more than one year, we may impose a penalty equal to the lesser of:
180 days of dividends, or
The number of days from renewal/opening date to the date of withdrawal at the rate currently in effect for the account, or
Seven days of dividends on the amount withdrawn if earned dividends are less than seven days’ dividends.
The balance on which the penalty is figured is the amount withdrawn less available dividends. If you have withdrawn all dividends at the time of early withdrawal, the penalty is taken from the principal.
Thanks to DA reader, ChasR, for his Forum post noting that CapEd has joined the “3 for 5 Club.”
UPDATE 4/19/2018 – CapEd has changed its field of membership (FOM) and has removed membership in the Idaho CapEd Foundation as a way to qualify. I do not know the reason for this change, but the NCUA has warned federal credit unions about associational common bonds that don't meet NCUA requirements.
While its former name, Capital Educators, suggested membership limited by employment in the education industry, CapEd Federal Credit Union offers membership to virtually anyone who joins as a Sustaining Member (one-time $20 donation) of the Idaho CapEd Foundation, a non-profit that funds worthwhile educational endeavors.
Other ways to qualifying for membership include working for, volunteering for, or being retired from any position in the State of Idaho’s educational industry.
In addition, if any members of your immediate family or household are current CapEd members or qualify through the education industry in Idaho, you qualify for membership.
Credit Union Overview
Capital Educators Federal Credit Union has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 11.12% (excellent) based on December 31, 2017 data. In the past year, CapEd has increased its total non-brokered deposits by $33.62 million, an excellent annual growth rate of 7.01%. Please refer to our financial overview of Capital Educators Credit Union (NCUA Certificate # 1040) for more details.
Capital Educators Federal Credit Union was originally established in 1936 as the Boise Teachers Federal Credit Union. Thirteen Boise teachers founded the new credit union, which had a total of $610 in loans and $596 in deposits at the end of the first year. Mergers in 1972 and 2005 with two other Idaho “Teacher” credit unions helped grow the membership. In 2012, the Idaho CapEd Foundation was established and CapEd’s chartered changed, permitting virtually anyone to join. With assets of in excess of $662 million and nearly 77,000 members, CapEd continues "To promote thrift and provide a wide range of quality financial services to our members, while maintaining a financially sound institution."
How the Promotional Share Certificate Compares
UPDATE 4/19/2018 – Comparison changed from nationally available CDs to those that are available within the FOM.
When compared to the 217 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available within the FOM, CapEd’s 60-Month Promotional Share Certificate APY currently ranks second.
The above rates are accurate as of 4/19/2018.
To look for the best nationwide CD rates and the best CD rates in your state, please refer to our CD Rates Table.