I wouldn’t call it a large wave, but there has been a small wave of institutions raising their long-term CD rates over the last month after the large rise in Treasury yields. The latest one is OmniAmerican Bank. Yesterday it increased its 5-year CD yield and IRA CD yield from 1.60% to 2.00%. An additional 10 bps is available for customers rate with Relationship Checking with Interest account. Minimum deposit is $1,000. The early withdrawal penalty is 365 days interest. This CD rate is listed in the bank’s rate schedule as of 8/6/2013. The CD details are listed in the bank’s CD page.
The bank also has a CD rate match special where they’ll match a local competitor’s CD rate. Here’s the small print of this special:
If you find a better rate from another bank with a physical branch in the DFW area where we have a branch, bring in a copy of the published Annual Percentage Yield (APY) and we’ll match it! This offer is only available for a limited time. $10,000 new money required. The APY for the same or closest terms and conditions offered by OmniAmerican will be matched. Offer is subject to change without notice.
It appears that a branch visit is required to open an account. OmniAmerican Bank branches are located throughout the Dallas/Forth Worth metro area.
One thing that's unique about OmniAmerican Bank is that it used to be a credit union. According to the bank's About page, OmniAmerican Credit Union members voted to become a mutual savings bank in 2005. It's also interesting to note the latest change at the bank:
In January 2010, the depositors of OmniAmerican Bank approved a plan of conversion from a mutual to stock form. As part of the conversion, OmniAmerican Bank became a wholly-owned subsidiary of OmniAmerican Bancorp and, as of January 21, 2010, was listed on the NASDAQ Exchange as OABC.
The bank has an overall health score at DepositAccounts.com of 5 stars (out of 5) with a Texas ratio of 6.62% (excellent) based on March 2013 data. Please refer to the financial overview of OmniAmerican Bank for more details. The bank has been a FDIC member since 2006 (FDIC Certificate # 58050).
How This CD Rate Compares
The highest 5-year CD rate that’s nationally available is 2.06% APY at EverBank as of 8/6/2013.
To search for nationwide CD rates and CD rates in your state, please refer to the best CD rates section of DepositAccounts.com.