Deal Summary: 8-month CD (1.15% APY, $250); 8-month Jumbo CD (1.20% APY, $100k); 15-month CD (1.35% APY, $250); 15-month Jumbo CD (1.40% APY, $100k)
Last week, Direct Federal Credit Union (Direct Federal) raised the rates on its 8-month CD (1.15% APY), 8-month Jumbo CD (1.20% APY), 15-month CD (1.35% APY), and 15-month Jumbo CO (1.40% APY). The Jumbo CDs require a $100k minimum deposit, with the regular CDs requiring only $500 to open.
|1.40%||$100k||-||Direct Federal Credit Union||15 Month Jumbo CD|
|1.35%||$250||-||Direct Federal Credit Union||15 Month CD|
|1.20%||$100k||-||Direct Federal Credit Union||8 Month Jumbo CD|
|1.15%||$250||-||Direct Federal Credit Union||8 Month CD|
The 8-month CDs were added to the product line in mid-January, and last week’s rate increases are 15 basis points higher than the initial rates.
The 15-month CDs have been available since February 2011 and have experienced 17 rate changes in that time.
All four CDs are available as an IRAs (Traditional) earning the same APYs, with the same funding requirements.
|1.40%||$100k||-||Direct Federal Credit Union||15 Month Jumbo IRA|
|1.35%||$250||$100k||Direct Federal Credit Union||15 Month IRA|
|1.20%||$100k||-||Direct Federal Credit Union||8 Month Jumbo IRA|
|1.15%||$250||-||Direct Federal Credit Union||8 Month IRA|
As stated on Direct Federal’s Certificate Account Application, the Early Withdrawal Penalty reads as follows:
If the term is less than one year, the member shall forfeit an amount equal to 30 days of dividends on the entire principal balance.
If the term is one year or more, the member shall forfeit an amount equal to 90 days of dividends on the entire principal balance.
Headquartered in Needham, Massachusetts, Direct Federal Credit Union's field of membership (FOM) is primarily residency-based, with individuals who live, work, worship, or attend school in Norfolk County, Massachusetts eligible to join.
Immediate family members (defined as spouse, child, parent, sibling, grandparent, grandchild, stepmother, stepfather, stepchild, stepsister and stepbrother) of current Direct Federal members are eligible for membership. In addition, immediate family members of membership-eligible individuals also qualify to join.
Credit Union Overview
Direct Federal Credit Union has an overall health grade of "A+" at DepositAccounts.com, with a Texas ratio of 2.11% (excellent) based on September 30, 2016 data. In the past year, Direct Federal has increased its total non-brokered deposits by $53.41 million, an excellent annual growth rate of 15.46%. Please refer to our financial overview of Direct Federal Credit Union (NCUA Charter # 9071) for more details.
Founded in 1953, Direct Federal Credit Union is currently Massachusetts’ 19th largest credit union, serving more than 24,600 members and holding assets in excess of $511 million. Direct Federal was recently named the "fastest growing credit union" in Massachusetts by the Boston Business Journal with an annual growth rate of 16.93%, based on data between June 2015 to June 2016.
How the CDs Compare
When compared to the 379 similar length-of-term CDs tracked by DepositAccounts.com available within the FOM, Direct Federal Credit Union's 8-Month Jumbo CD and 8-Month CD APYs currently rank second and fourth respectively, regardless of minimum deposit.
|Interest Rate||CD Length of Term||Credit Union/Bank|
|1.60% APY||9-Month CD Special ($1k min)||Coastal Heritage Bank|
|1.20% APY||8-Month Jumbo CD ($100k min)||Direct Federal Credit Union|
|1.16% APY||9-Month eCD ($10k min)||Virtual Bank|
|1.15% APY||8-Month CD ($250 min)||Direct Federal Credit Union|
The above rates are accurate as of 2/10/2017.