UPDATE 8/18/2015: As of the end of business August 14, 2015, this CD is no longer available.
Justice Federal Credit Union (Justice FCU) is celebrating 80 years of service with a rather unique, blended-rate Special Anniversary Share Certificate (CD). The first 80 days of the Special Anniversary CD earn 8.00% APY; starting on Day 81, and for the following 24 months, the APY is 1.35%.
The blended rate works out to approximately 2.00% APY for a 27-month Special Anniversary CD (minus about a week).
The minimum opening deposit is $500, with a maximum deposit of $25K per member. The Special Anniversary CD requires new money, and is also available as an IRA (Traditional and Roth) at the same rate, with the same funding requirements. Unlike many of Justice FCU’s other CDs, no relationship rate bumps are allowed on the Special Anniversary CD.
Even though the total length of term is almost 27 months, the fine print surprisingly reads,
Certificate is subject to 12-month dividend early withdrawal penalty
As stated on Justice FCU’s Certificate page, the Early Withdrawal Penalty reads as follows:
A certificate with a term of 12 months or less will lose 90 days of dividends for early withdrawal; a certificate with a term of 13 months or more will lose 180 days of dividends for early withdrawal..
Many thanks to the DA reader who informed me about this interesting deal.
Headquartered in Chantilly, Virginia, Justice FCU bills itself as the "premier provider of financial services to the Justice, Homeland Security and Law Enforcement Community." Employees of the Department of Justice, Homeland Security, State and Federal Courts, and the Georgia Department of Public Safety are the largest groups eligible for membership.
Members of certain Law Enforcement Associations, and Retirees and Contractors of specific government organizations are also eligible.
For a complete list of membership qualifications, please refer to Justice FCU’s membership page.While the field of membership appears to be somewhat narrowly defined, membership eligibility is open to the general public through the National Sheriffs’ Association (NSA) and the National Native American Law Enforcement Association (NNALEA).
The NSA has a "Citizens Sustaining Membership" ($15) that is open to anyone, regardless of employment status. According to NNALEA’s website,
Membership is open to both Native and Non-Native Americans. Members do not have to be law enforcement officers. The National membership fee is $15.
Joining Justice FCU and/or opening a CD can be done online, or at any of 26 branches located in California (2), Georgia (2), Illinois, New York (2), Texas (2), Virginia (5), West Virginia (4), and the District of Columbia (8). The membership application can also be downloaded to facilitate joining.
Credit Union Overview
Justice Federal Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas ratio of 3.03% (excellent) based on March 31, 2015 data. In the past year, Justice FCU increased its total deposits by $9.65 Million, an above average annual growth rate of 1.87%. Please refer to our financial overview of Justice Federal Credit Union for more details.
The history of Justice FCU (NCUA Charter # 151) is a classic example of a successful workplace credit union that began with a group of employees trying to help each other financially.
MARCH 2, 1935 – Twelve Department of Justice employees organize to form a credit union offering employee access to low cost loans and savings accounts. With only $137 in assets and 41 charter members, The Department of Justice Federal Credit Union (DOJFCU) is founded.
Fast forward to today’s Justice FCU, which has become the 102nd largest credit union in the nation, with almost 55,000 members, branch locations in seven state and the District of Columbia, a diverse field of membership, and assets in excess of $654 Million. For a more detailed historical timeline, please refer to Justice FCU’s "About Us" page.
How the CD Compares
When compared to other similar length of term CDs tracked by DepositAccounts.com, requiring a similar minimum deposit and available nationally, the blended APY on Justice Federal Credit Union’s Special Anniversary Share Certificate is a standout.
The above rates are accurate as of 6/4/2015.
To search for nationwide CD rates and CD rates in your state, please refer to the CD rates section of DepositAccounts.com.