NEFCU (Long Island) Adds 25-Month CD

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Deal Summary: 25-month Certificate, 2.75% APY, $1k minimum deposit.

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

Earlier this month, NEFCU (formerly known as Nassau Educators Federal Credit Union) added a 25-month Certificate, earning 2.75% APY. The minimum deposit is $1k, with no stated balance cap. Unlike the rest of NEFCU’s certificates, a companion IRA is not offered for the 25-month.

The 25-month Certificate’s stated APR is 2.676%, a rate that doesn’t seem like it would result in a 2.75% APY. This is not a new concern for NEFCU certificates. As DA reader, barry_NY, commented on this in response to 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.

If you do the math, using barry_NY’s formula, the 2.676% rate works out to an APY of 2.75%. Once again, thank you, barry_NY!

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

If your account had an original maturity of one year to less than three years
at account opening or account renewal: The penalty we may impose will
equal 180 days dividends on the amount withdrawn that is subject to penalty.

There is a seven calendar day grace period before the 25-month Certificate automatically renews to a 2-year Certificate.

18-month Certificate

DA readers may remember NEFCU’s 18-month Penalty Free Certificate (1.85% APY), which was offered in February. While the 18-month Certificate has experienced a substantial rate hike to 2.30% APY, the Penalty Free feature was removed in early March.

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 and/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.

NEFCU’s Membership Eligibility page not only lists who may join, but also which portions of Long Island do not qualify for membership.

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 5.17% (excellent), based on March 31, 2018 data. In the past year, NEFCU increased its total non-brokered deposit by $288.09 million, an excellent annual growth rate of 12.15%. 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 nearly 185,000 members, with deposits in excess of $2.6 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 25-month Certificate APY currently ranks fourth.

Interest RateCD Length of TermCredit Union/Bank
2.90% APY24-Month Share CertificateCommunityWide FCU
2.85% APY25-Month CDUSALLIANCE Financial
2.80% APY23-Month CDGreenwood Credit Union
2.75% APY25-Month CertificateNEFCU

The above rates are accurate as of 6/25/2018.

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, 1-year CD rates, 5-year CD rates

Comments
barry_NY
barry_NY   |     |   Comment #1
NEFCU offered me an early, no-penalty, renewal of my 18 month 1.75% CD to this 25 month 2.75% CD. Once again, doing the math, I found that converting my 18 month CD to a 25 month CD, about 6 months early, was the equivalent of renewing my 1.75% CD, at term, for an about 19 month CD at 3.04%. Math is fun.
Carpline
Carpline   |     |   Comment #2
When I have a math question, I'm asking you!
NEFCU (Long Island) Hikes 3-Year CD Rate
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...

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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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