City Credit Union 12-Month CD Is New Rate Leader
Kudos to DA reader, txFish1, for the Forum post announcing the new 6.00% APY offered on the City Credit Union (City CU) 12-month CD. The minimum opening deposit $1k, with no stated balance cap.
| APY | MIN | MAX | INSTITUTION | PRODUCT | DETAILS |
|---|---|---|---|---|---|
| 5.00% | $1k | - | City CU (TX) | 12 Month CD | |
| 5.00% | $1k | - | City CU (TX) | 12 Month IRA (Traditional, Roth) |
The 12-month CD is also available as an IRA CD (Traditional and Roth), earning the same 6.00% APY with the same deposit requirements.
Following a 100-bps rate increase this week, the City CU 12-month CD currently has the highest 1-year CD APY available on the more than 3,400 1-year CDs DA tracks. I also think this might be the first nationally-available 6% CD since 2007 (excluding those with a small maximum deposit).
Early Withdrawal Penalty
As stated on the Certificates of Deposit page, the Early Withdrawal Penalty reads as follows:
6- and 12-month CDs will incur a penalty of 90 days’ interest.
According to CSR, partial withdrawals are not allowed; City CU CDs can only be closed early.
Availability
Headquartered in Dallas, City Credit Union’s stated field of membership (FOM) is community-based, with individuals who live, work, worship, or attend school in the Texas counties of Collin, Cooke, Dallas, Denton, Ellis, Grayson, Hunt, Johnson, Kaufman, Parker, Rockwall, Tarrant, or Wise eligible to join.
SEGs: In addition, employees and individuals associated with more than 180 businesses and associations (listed on the first page of the online application) are also eligible for membership.
Easy Membership Requirement: As rockies noted in the Forum post, one of the eligible associations is the Dallas Historical Society (DHS), which can be joined by anyone, regardless of residency status. DHS membership can be a bit pricey, with membership fees ranging from $25 (for students, educators, volunteers) to $1,000. The most inexpensive membership fee for non-students or non-educators is $50. CSR confirmed that a DHS membership qualifies for City CU membership, with no geographical limitations – in other words, a “quiet” easy membership requirement.
Family members of a current City CU membership are also eligible to join.
Account Opening
Joining City CU and/or opening an CD can be done online, or in person at any of five full-service Texas branches located in Dallas, Duncanville, Gainesville, Sherman, and Waxahachie.
A minimum $5 deposit in a Regular Savings Share account establishes a City CU membership. A minimum $100 balance must be maintained to earn dividends.
Funding and Other Details
The following is from a conversation with a well-informed and well-spoken CSR.
- Funding – ACH, internal transfer, shared branch transaction.
- CO-OP Shared Branch Participant – Yes.
- Ownership – Individual or joint.
- Dividends – Compounded/credited monthly; can be distributed monthly by cashier’s check to address on file.
- Maturing Funds – Cashier’s check to address on file, or internal transfer.
- Beneficiaries – Unlimited, with equal shares, Social Security numbers are not required.
- Grace Period – 10 calendar days before automatic renewal.
- Credit Check – Hard pull through Transunion when joining.
Credit Union Overview
City Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 5.43% (excellent) based on March 31, 2023 data. In the past year, City CU has increased its total non-brokered deposits by $29.77 million, an excellent annual growth rate of 5.77%. Please refer to our financial overview of City CU (NCUA Charter # 67669) for more details.
City Credit Union’s history began in 1942 with a mere $50 in deposits – the minimum amount required to qualify for a State of Texas Credit Union Charter. In August 1942, the first financial statement showed total assets of $1,821, total cash of $1,712, and $100 in loans. Over the past 81 years, City CU has grown to become the 54th largest credit union headquartered in Texas, with nearly 35,000 members and assets in excess of over $622 million.
How the 12-Month CD Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com which are available within the FOM and have minimum deposit requirements of $10k or less, no banks or credit unions have higher rates than currently offered on the City Credit Union 12-month CD. The following table compares the 12-month CD to the two highest-rate CDs from other credit unions and the two highest-rate CDs from banks.
The above information and rates are accurate as of 8/29/2023.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.
I shall look just for a day or two for other institutions offering this much interest for at least 12 months, before I try Connexus offering 5.76% for jumbo, though they don't give assurance it'll stay the same by the time the funds arrive. :(
I wonder how long this rate flourishing will last since I expected (but not hoped for lol!) rates plunging according to the financial news?
..best deal now is that 2 year MapleMark @ 5.55%