EFCU Financial Has Nationally Available Rate Leading CDs - Expired
EFCU Financial (EFCU) is currently offering very good rates on its Jumbo CDs, with 60-month (3.85% APY) and 12-month (2.85% APY) having the most competitive rates. The minimum opening deposit for any Jumbo CD is $100k. EFCU also has non-Jumbo CDs ($500 minimum) in all term-lengths, offering APYs a uniform 10 bps lower.
| APY | MIN | MAX | INSTITUTION | PRODUCT | DETAILS |
|---|---|---|---|---|---|
| 3.60% | $100k | - | EFCU Financial | 60 Month Jumbo CD | |
| 3.50% | $500 | - | EFCU Financial | 60 Month CD | |
| 2.60% | $100k | - | EFCU Financial | 12 Month Jumbo CD | |
| 2.50% | $500 | - | EFCU Financial | 12 Month CD |
The Jumbo IRA CDs ($100k minimum) earn APYs a uniform 10 bps higher than the Jumbo CDs.
According to CSR, the Early Withdrawal Penalty for CDs/IRA Certificates with terms of 12 months or greater is a loss of six months’ dividends. Partial withdrawals are not allowed: a CD can only be closed early.
Earned dividends can be withdrawn without penalty and can be scheduled to transfer into a Share Savings account on a monthly basis.
Funding a CD online can be done by ACH, wire, or internal transfer. EFCU participates in the CO-OP Shared Branch network, which makes the transfer of funds relatively easy. Maturing funds can be distributed by wire ($15 fee) or by cashier’s check to the address on file. When you inform EFCU that you will not be renewing a CD, the maturing funds will automatically be transferred into a Share Savings account following the maturity date. There is a seven day grace period before a CD will renew.
Up to four beneficiaries can be designated, with Social Security numbers required for all named beneficiaries.
Availability
See 8/16/22 update above.
Headquartered in Baton Rouge, Louisiana, EFCU Financial’s field of membership (FOM) includes an easy membership requirement: any U.S. citizen/resident alien is eligible to join through a membership in the EFCU Financial Foundation or the Louisiana Wildlife Foundation.
Individuals who live, work, worship, or attend school in the Louisiana parishes of Ascension, East Baton Rouge, East Feliciana, Iberville, Livingston, Point Coupee, St. Helena, West Baton Rouge, or West Feliciana also qualify for membership.
Immediate family (spouse, parent, grandparent, child, grandchild, and sibling) or household members of current EFCU members are also eligible to join.
According to CSR, joining EFCU and/or opening a CD can be done online or at any of eight Louisiana branches located in Baton Rouge (4), Dedham, Gonzales, Prairieville and Zachary.
Once you become an EFCU Financial member, you remain
a member as long as you keep $5 in your Share Account.
Update 8/9/22: A DA reader informed me that EFCU Financial does a hard pull via Equifax in the membership application process.
In addition to offering members access to the CO-OP Shared Branch and ATM networks, the
EFCU Financial debit card can be used to access your money
nationwide at more than 55,000 ATM's in the Allpoint network.
Credit Union Overview
EFCU Financial has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 1.49% (excellent) based on March 31, 2022 data. In the past year, EFCU has increased its total non-brokered deposits by $98.21 million, an excellent annual growth rate of 18.11%. Please refer to our financial overview of EFCU (NCUA Charter # 13) for more details.
In 1937, more than 175 Stanocola Processing Plant employees formed the Stanocola Processing Employee’s Federal Credit Union, with an initial deposit of $941.70. As the ownership of the Plant changed (ultimately owned by Exxon), so did the Credit Union’s name, with a total of five name changes between 1949 and 1994. There were several mergers in the early 2000s, including the 2003 merger with EXCO FCU, the largest credit union merger in Louisiana history. Following a change to a community charter in 2007, the Credit Union experienced its largest growth spurt. The EFCU (Exxon Federal Credit Union) Financial rebrand occurred 2015 to reflect the new FOM. EFCU is currently Louisiana’s fifth largest credit union, with nearly 57,000 members and assets in excess of $777 million.
How the 60-Month Jumbo CD Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com that are available nationally, no banks or credit unions have a higher rate than currently offered on the EFCU Financial 60-Month Jumbo Certificate, regardless of minimum deposit requirements. The following table compares the 60-Month Jumbo Certificate to the two highest-rate CDs from other credit unions, and the two highest-rate CDs from banks.
How the 60-Month Jumbo IRA CD Compares
When compared to similar length-of-term IRA CDs tracked by DepositAccounts.com that are available nationally, no banks or credit unions have a higher rate than currently offered on the EFCU Financial 60-Month Jumbo CD, regardless of minimum deposit requirements. The following table compares the 60-Month Jumbo IRA CD to the two highest-rate IRA CDs from other credit unions, and the two highest-rate IRA CDs from banks.
How the 12-Month Jumbo CD Compares
When compared to similar length-of-term CDs tracked by DepositAccounts.com that are available nationally, two banks have higher rates than currently offered on the EFCU Financial 12-Month Jumbo CD, regardless of minimum deposit requirements. The following table compares the 12-Month Jumbo 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 8/5/2022.
To look for the best CD rates, either nationwide or state-specific, please refer to our CD Rates Table page.
No, this is wrong. All the penalty is doing from a tax perspective is providing a deduction against the the interest income you already have received from CD. If the penalty wasn't deductible, you would have ended up with taxable phantom income.
All those 5 year, 3% CDs, are now 1 year, 3% CDs, a real good spot to be in. Based on your new (?), Five-Handle Forecast.
Compared to, three years in a sub 2% - and two years in a sub 1% - savings account, waiting for the Handles to become Five.
You are correcting yourself. You are the one that mentioned 3% CDs.
And yes, everyone else bought that Mountain American add-on and the Navy Federal add-on. But, congratulations for your individual accomplishment.
And, you have mentioned your 10% Capped Savings Accounts for Decades.
I can't comprehend why you wait around for Five Handle CDs, when you make 20 times that amount on bankrupt leveraged mortgage reit funds (structured as notes).
BTW, back in the day, I was able to purchase US Savings Bonds & I Bonds with a credit cards that also had a substantial cash rebate as well, but I thought that scenario was long-gone now
https://www.doctorofcredit.com/does-funding-a-bank-account-with-a-credit-card-count-as-a-purchase-or...
"Got lucky in the stock market".... you really need to learn about investing imo.
Btw...SPX 4227 approaching so time to be a little careful.
Bargains to be had everywhere!
May I ask, did anyone try to open a membership account not residing in Lousiana?
If you don't mind, how many days from application to approval? Any kinks in the process?
Thanks
1) affiliate membership fee IS annual.
2) CD funding is wire transfer OR mail. I choose mail as it's easier.
3) Interest is paid monthly and can be sent automatically to your savings account.
4) EFCU will set up an auto ACH transfer to outside financial account for monthly interest if you want.
I have been getting almost instant responses to my email questions , delays have been me thinking over responses.
Savings account and online account are now set up. Took 4 business days, and I caused delays of about 2 days asking ( necessary) questions and pondering my responses. May have taken only 2 business days if no questions were asked. My rep was very efficient, often responding to my emails instantly. I never tried to call in, suspecting long wait times.
Am very happy I chose to fund by snail mail, because EFCU seems to be in the process of raising their rates, which I will be eligible for. Will not even mail in my deposit until new rates are clarified. Come to think of it, I could delay for a while , watching for other 4%+ CDs ! Funding quickly in a time of rapidly raising rates is not so great a benefit.
1) mailed in my check on Monday 8/15, and received by EFCU on Thursday 8/18 ( not bad for the USPS !)
2) deposited by them in my savings account same day (Thursday)
3) they called Thursday with final questions, I did not call back till Friday (today)
4) today (Friday) they set up CD account and sent me the Disclosure statement showing the promised 4% APY rate.
5) My online account already shows the new CD at the proper rate.
So despite their telephone problems, they are incredibly fast when they have the proper info. Maybe I just got lucky with my rep (Shala), but I managed to get their highest rate in the narrow window when they increased their rate, and were taking online applications.
Hard to believe others have been successful! Perhaps time of day, geographical region of applicant,
phase of the moon, etc. are important factors?
First, the online application states a $2500 cap on funding via a form filled out ACH pull. Of course I called them up about this, and a CSR confirmed this. More than that, she said it would require a wire initiated through another FI going to the savings account to fund a certificate. This sounds way off - an ACH push wouldn't work? Either way, though, it looks like some extra handling would be necessary.
I verified that an annual $35 fee is required. ANNUAL. That effectively reduces the 3.75 to 3.68 on a 50K certificate. Of course the less the CD the more the $35 eats into the rate.
Ken says, "Maturing funds can be distributed by wire ($15 fee) or by cashier’s check to the address on file", but the Disclosures say, "All funds transfer will be made according to our security procedures. The security procedures we will use are: (1) wire transfers must be made in person at the Credit Union unless other approved security measures are used". True, not true? ACH pull can't take it out? There's some grey area here now.
Lastly, in the Disclosures, is this little surprising item: under Ownership, Multiple Owner Accounts: "All Multiple Owner Accounts are joint Accounts without rights of survivorship. Upon the death of any Joint Owner, the surviving Joint Owner(s) may continue to access the Account and make withdrawals."
This without rights of survivorship is unique to me, I've never seen rights of survivorship precluded on account options before in dealing with other FI's. If you want a joint account, the impact depends on how much the account is and the probate laws in your state. Or you can bypass with a single account with a POD, but that presents a whole other kettle of fish to deal with.
So this FI has a certain amount of "baggage" let's say, and may not be as clean as others to work with. But the rate is good and the EWP is excellent for a 5 year. As always it's all in the details on the direct CD's. At least this FI has a full Disclosure to look at, some do not. You can sidestep these concerns with a brokered CD in exchange for market risk and, as others have pointed out, a marginally lower rate since interest is not added back to the CD.
$35 annual fee? Is that the donation for account opening? I understood that to be a one time charge.
Here's another reason. New members must join, not donate to, one of two organizations. The first, Louisiana Wildlife Foundation, on their Join LWF page has Monthly or Yearly Membership. The lowest tier for Yearly is "Sustaining", at $35. These terms tend to indicate recurring membership fees. In addition, their is also a link to Renew Your Membership. Why have a link to Renew if it's a one and done charge? Or do you think the one and done is only for new EFCU customers? There is also a separate link for Donate.
The other is the EFCU Financial Foundation. That page has a Donate Now link, but no link to Join. So go figure. Maybe AndrewMorning will let us know what the real deal is a year from now.
There are no isolated or remote communities. The Internet takes care of that.
#52.
If the system is made more efficient deposit rates will be higher AND banks can be more profitable both at the same time. It's a win win. The current structure is outdated and inefficient.
Further research shows this policy is not particular to EFCU, but is particular to the state of Louisiana. "While other states permit probate avoidance designations on investment accounts, like Transfer on Death (TOD) and Joint Tenants With Rights of Survivorship (JTWROS), these designations are not recognized for Louisiana residents and investment companies do not permit their Louisiana customers to make these designations.
A related issue affects Louisiana bank account holders who make a POD (Payable on Death) Designation. Louisiana banking laws simply release banks from liability to heirs or the estate for paying a beneficiary in accordance with the POD Designation. But if the account owner has different heirs pursuant to a Will or Trust, the POD beneficiary may be accountable to those funds they received."
http://www.rabalaisestateplanning.com/blogs/2018/2/18/transfer-on-death-tod-and-joint-tenants-with-rights-of-survivorship-jtwros-designations-not-recognized-in-louisiana
It is important to note that EFCU will allow the surviving joint account holder to control the account. That is critical, and the first most important logistical fact. However, I still stand by my hypothesis, although this is without the benefit of ANY expert advice, that the amount of the account would fall into probate. In California, as of 4/1/22, the "small estate limit" whereby you avoid probate is $184,500. Depending on the probate limits of your state, I would avoid adding an EFCU account that would exceed those limits.
I am not sure I am following you. Are you saying if i have a POD beneficiary on the account and I die, the money would have to go through probate if I live in Ca. This particular credit union wouldn't honor the POD designation?
But it surely seems EFCU will give your joint owner access if you die, and the POD access if both of you die. I guess that's the only thing that really matters and what probate is all about.
From EFCU's terms:
"All Multiple Owner Accounts are joint Accounts without rights of survivorship. Upon the death of any Joint Owner, the surviving Joint Owner(s) may continue to access the Account and make withdrawals. Any Owner of a Multiple Owner Account is authorized and deemed to be the agent of all Owners(s) and may act for the other Owner(s). The Credit Union may accept orders and instructions from any Owner. Each Owner guarantees the signatures of the other Account Owners. Any Account Owner may withdraw all funds in the Account, stop payment on Items drawn on an Account, transfer, or pledge to the Credit Union all or any part of the shares of any Account without the consent of the other Account Owner(s) and the Credit Union shall have no duty in such event to notify any other Account owner(s). Any such pledge shall survive your death and shall be superior to the rights of any other Account Owner(s).
"POD Accounts: A Payable on Death (POD) Account is an instruction to the Credit Union that an Account so designated is payable to the owner(s) during the account owners’ lifetimes, and upon the death of the last account owner, such POD account is payable to any named and surviving POD beneficiary designated on your Account Card. Accounts payable to more than one surviving POD beneficiary are owned jointly by such beneficiaries without rights of survivorship."
She told me that we should wait until tomorrow to open the 60-month jumbo CD, because there will be a rate INCREASE from 3.85% to 4.00%.
All I can say is Hallelujah, 4% has at long last arrived!!
I will say, you are four years late, and 100 basis points away, from your Five Handle.
I still have another year on my 4.27% Achieva 5-year IRA.
You are not good at this.
Btw, you said 5% to 6% but who is keeping track, not you that's for sure....what are you investing with 2 quarters and a nickel...lol
Good memory.
So long ago.
March 5 2018
Comment # 83
https://www.depositaccounts.com/banks/sharonview-fcu/offers/
You talk about this card and that card as ways to invest but I wouldn't be interested in that and I'm not sure many people here invest that way. What are the limits on the accounts, how much can you put in them?
As far as 12% dividend stocks, I wouldn't be interested in those either, it isn't important to me that I get the highest yield or interest rate.
I'm not trying to tell people what to do with their funds, this it what works for my situation... people have to decide what is best for their individual situation.
When someone shows you are factually wrong, the mature response is to apologize.
Considering the amount of time you spend here repeating yourself, over a period of a decade, do understand the irony of you insulting someone for spending ONE minute to show that you are factually wrong, every time you repeat the same claim?
I have never, once, "told" anyone to "lock up CDs."
I have never stated "that we would not get a 4% let alone 5%" CD.
The only comment I have made, is that since 2018, you told people to avoid 4% CDs, and wait for 5-6% CDs. Yet you have the nerve to pretend you didn't.
And, that it is silly you are now claiming victory, for a 4% CD, that you suggested people avoid, in 2018.
You have a serious honesty problem.
Telling you and PD, you are factually wrong, is not an attack. And is the Opposite of passive agressive.
You are so bad at this.
PD and Dr D simply generate so much content, is literally impossible to ignore.
The purpose of this site, is to generate advertising dollars.
As I have explained before, I like to learn from the mistakes of others.
You should try it. You don't have to keep making the same mistakes, as others.
This poster doesn't have a clue what they are talking about. They throw air balls and think they scored a point. It's comical. Best thing to do is just ignore. The readers can figure out the game themselves.
So because you're wrong once in awhile, you can't ever make a prediction again based on a reasonable scenario? Don't engage with them. No one on this site wants to hear them repeat themselves ad nauseam. I know they don't want to hear it, but it's enough, shut up already.
I apologize to everyone for clogging up this page with that I will try to do better in the future.
You're not the one who owes the apology. You are the one who is due the apology.
Just ignore the trolls.
Has anyone from out of state applied? Is there an annual contribution stated in the membership agreement or CD agreement? I somehow doubt it. What's the CU going to do if you have a 5 YR CD and you don't continue to make donations after joining the CU?
I'd like to apply if it's a one time thing, but not if it's an annual commitment.
$35 donation to either organization is a one-time cost.
Lou
Credit unions disclosures routinely states dividends will be paid out of profits.
This site is full of nonsensical bickering, while these types of major issues are completely ignored.
I've been taking RMDs for many years at numerous FIs without a penalty.
3.85% for Jumbo CD; 3.95 for IRA Jumbo Cd.
Due to reaching our deposit cap for members joining via Volunteer Eligibility, we have paused all online membership applications.
If you live, work or worship in one of our nine surrounding parishes in Louisiana and want to apply for membership, you can visit one of our branch locations; or, apply online in a few days when we will have our online application up again.
Please visit our website for a list of membership qualifying parishes.
If you do not live, work or worship in one of our nine surrounding parishes, unfortunately you do not qualify for membership at this time.
Effective 8/16/2022
Now, the Five and Six!!
Onward! Upward!
Some FIs yo-yo their rates (more often banks), some their membership footprints (more often FCUs). Really, they should consider it more of an online game, and charge admission.
The DA participants are arguably the most conservative, risk averse investors on the planet. To be interested in fixed income all these terrible years? and then the first two banks that deliver 4% for a decent length, and some of you can't wait to throw them under the bus. Because principles! And more inflation! Unbelievable.
So... ballast, in other words. Ballast to offset one's more volatile (and over the mid- to long-term, more profitable) holdings.
But still - if ballast can earn its keep in some years instead of only providing a fairly low correlation with stocks, so much the better.