NEFCU (Long Island) 3-Year CD Jumps To 3.00% APY

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Deal Summary: 3-year Certificate, 3.00% APY, $1k minimum deposit

Availability: Residents of most of Nassau and Suffolk Counties, New York.

First the bad news: toward the end of February, I wrote about NEFCU’s 18-month Penalty Free CD (1.85% APY). Sometime in the past two weeks, the Penalty Free CD was withdrawn.

The good news is that NEFCU (the former Nassau Educators Federal Credit Union) started this week by raising the rate on its 3-year Certificate to 3.00% APY. The minimum deposit is $1k, with no stated balance cap.

APYMINMAXINSTITUTIONPRODUCTDETAILS
2.60%$1k-NEFCU3 Year Certificate
2.60%$500-NEFCU3 Year IRA (Traditional, Roth)
Rates as of April 22, 2018.

The 3-year Certificate’s APR is 2.916% and, at first glance, it seemed a bit off. DA reader, barry_NY, commented about this issue on my NEFCU February blog post.

I had this APY issue before with NEFCU. Their calculation is a bit ****y, but it works.
Its based on a 360 day calendar, compounded on a 365 day year. (1+R/360)^365.

I did the math: using barry_NY’s formula, the 2.916% rate works out to an APY of 3.00%. Thank you, barry_NY!

The Certificate is also available as an IRA (Traditional and Roth) earning the same APY, but only requires a $500 minimum opening deposit.

In the past year, the 3-year Certificate has had four rate increases, adding a total of 165 bps. This latest 3.00% APY is the highest rate since DA started tracking the 3-year Certificate in late 2009.

As stated in the Important Account Information brochure, the Early Withdrawal Penalty reads as follows:

If the term of the Certificate is 3 years or greater,
the penalty is 270 days dividends on the amount withdrawn.

Availability

Headquartered in Westbury, New York, NEFCU’s field of membership (FOM) is residency based, with individuals who live, work, or attend school in Nassau County or Suffolk County (Long Island) eligible to join.

Any existing NEFCU member can sponsor an immediate family member (parent, child, grandparent, or sibling) or any household member for NEFCU membership.

While many credit unions include an "eligible for membership" list on their website, NEFCU has a "NOT eligible for membership" list.

Membership is not open to the following areas on Long Island:
East Hampton, Southhampton and Shelter Island.

Joining NEFCU and/or opening a Certificate can be done online or at any of twelve Long Island branches, located in Commack, Franklin Square, Greenvale, Huntington Station, Massapequa, New Hyde Park, Plainview, Rockville Centre, Syosset, Valley Stream, Wantagh, and Westbury.

Credit Union Overview

NEFCU has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 5.51% (excellent), based on December 31, 2017 data. In the past year, NEFCU increased its total non-brokered deposit by $237.02 million, an excellent annual growth rate of 10.28%. Please refer to our financial overview of NEFCU (NCUA Charter # 2760) for more details.

NEFCU was founded in 1938 as the Valley Stream Teachers Federal Credit Union with 10 members and $50 in assets. The initial FOM included employees of Nassau County schools, colleges and universities, public libraries, and other affiliated groups. The name was changed to NEFCU in 1981, to better reflect the growth and expansion of the credit union. In 2010, NEFCU was granted a community charter, allowing for an ever greater broadening of the FOM in Nassau and Suffolk Counties. Currently, NEFCU serves more than 181,400 members and holds assets in excess of $2.8 billion.

How the Certificate Compares

When compared to the similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available within the FOM, NEFCU’s 3-year Certificate APY currently ranks first.

Interest RateCD Length of TermCredit Union/Bank
3.00% APY3-Year CertificateNEFCU
2.65% APY36-41 Month CDNational Bank of New York City
2.60% APY3-Year CDLive Oak Bank

The above rates are accurate as of 3/28/2018.

To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.

Related Pages: New York CD rates, 5-year CD rates

Comments
highrate
highrate   |     |   Comment #1
I never should have moved from Long Island
rateseeker
rateseeker   |     |   Comment #2
Is there a backdoor way to join the credit union?
#3 - This comment has been removed for violating our comment policy.
Marcus Ulpius Trajan
Marcus Ulpius Trajan   |     |   Comment #4
A back door? Only possibly the obvious one . . . "attends school". The key question:

You would have to ask the credit union's compliance officer whether a prospective member is required to be in physical attendance, or whether mere enrollment is sufficient. In the latter instance you go online, find a school in their territory with online classes, and sign up. Sometimes this approach works, other times it does not work.

Only the compliance officer can tell you with certainty if this approach is viable. Anyone else at the credit union, trying to answer the key question, is likely to guess at the answer or provide you an answer colored by their own personal opinion.
NEFCU (Long Island) Adds 18-Month Penalty Free CD, 1.85% APY
Deal Summary: 18-Month Penalty Free Certificate, 1.85% APY, $1k minimum deposit, unlimited withdrawals.

Availability: Residents of most of Nassau and Suffolk Counties, New York.

NEFCU (formerly known as the Nassau Educators Federal Credit Union) is currently offering an 18-month Penalty Free Certificate (1.85% APY). The minimum deposit is $1k, with no stated balance cap. NEFCU’s website is a little light on the details, but according to the CSR Supervisor, “You can basically do whatever you want to,” with this Penalty Free Certificate. That translates into unlimited...

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NEFCU (NY) Hikes 18-Month CD Rate
Deal Summary: 18-Month Certificate, 1.75% APY, $1k minimum

Availability: Residents of portions of Nassau and Suffolk Counties, New York.

NEFCU (formerly known as the Nassau Educators Federal Credit Union) has just raised the rate on its 18-month Certificate (1.75% APY). The Certificate requires a minimum deposit of $1k, with no stated balance cap.

The 18-month Certificate has been part of the product line for less than two years. During that time there were four rate changes, but for more than a year the APY was stuck at 1.15%....

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NEFCU's (NY) 5-Year Certificate's APY Hits Five Year High

Deal Summary: 5-Year Certificate, 2.35% APY, $1k minimum

Availability: Residents of portions of Nassau and Suffolk Counties, New York.

Last week, NEFCU (formerly known as the Nassau Educators Federal Credit Union) raised the rate on its 5-year Certificate (2.35% APY). The Certificate requires a minimum deposit of $1k, with no stated balance cap.

In the past five years, there have been nine rates changes, with this most recent increase resulting in the highest APY in more than five years.

The 5-year Certificate is also available as an...

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NEFCU (NY) Adds Holiday Special 13- and 18-month CDs
Availability: Residents of Nassau and Suffolk Counties, New York

Long Island's NEFCU (formerly known as the Nassau Educators Federal Credit Union) has just announced a variety of holiday promotions, including a 13-month CD Special (1.25% APY) and 18-month CD Special (1.35% APY). Both CDs require a minimum deposit of $1K, with no balance caps.

As stated on NEFCU’s FAQ page, the Early Withdrawal Penalty reads as follows:

If the term of the Certificate is 1 year to less than 3 years, the penalty is 180 days...

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NEFCU (NY) Introduces New Highly Competitive 13-month CD - New Money

UPDATE 11/24/2014: No longer available.

Last week, Long Island's Nassau Educators Federal Credit Union (NEFCU) added a new 13-month CD (1.50% APY) to its product line. The minimum opening deposit is $1K, with no maximum balance cap, but it does require new money to open.

As stated on NEFCU’s FAQ page, the Early Withdrawal Penalty is as follows:

Many thanks to the DA member who emailed me about this new deal.

Availability

Not a Teacher? Not a problem!

You don’t have to be a teacher to join Nassau Educators...

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