Capital One

Less than three weeks after Capital One slashed their 360 CD rates, they increased their 360 CD rates today. None of the new rates are good deals, but it’s always nice to see a CD rate hike in this environment. One interesting thing to note is that Capital One isn’t alone. A few other banks with a large credit card business have also recently increased deposit rates. Term_________APYs________ ____ pre-3/12 -> 3/12 -> 3/31 12 mo 1.70% -> 1.00% -> 1.50% 18 mo 1.70% -> 1.00% -> 1.50% 24 mo 1.60% -> 0.95% -> 1.40% 30 mo 1.50% -> 0.95% -> 1.40% 36 mo 1.45% -> 0.90% -> 1.40% 48 mo 1.45% -> 0.90% -> 1.40% 60 mo 1.40% -> 0.85% -> 1.40% There was no rate change today on the 360 Performance Savings. On March 12th, the rate 360 Performance Savings account fell from 1.70% to 1.50% APY.

I thought it would be useful to highlight a few of the rate cuts at the major online banks. Capital One just slashed its 360 rates today. In the next month, some banks will probably do multiple small cuts while others will just do a big cut. For the 360 CDs, it looks like Capital One chose one big cut. 360 Performance Savings: 1.70% -> 1.50% APY 12 mo 1.70% -> 1.00% 18 mo 1.70% -> 1.00% 24 mo 1.60% -> 0.95% 30 mo 1.50% -> 0.95% 36 mo 1.45% -> 0.90% 48 mo 1.45% -> 0.90% 60 mo 1.40% -> 0.85% It’s interesting to note an inverted yield curve.

Capital One is offering a bonus (up to $500) when opening a new 360 Performance Savings account (min $10k-$50k of new money). Offer available through 3/31/2020.