Over the weekend, Patelco Credit Union (Patelco) raised the rate on its 24-35 months Certificate (2.25% APY). The minimum opening deposit is $1k, with no stated balance cap. The 100 bps increase was its largest rate change ever, and the new 2.25% APY is the highest since DA began tracking it in 2009.
|2.25%||$1k||-||Patelco Credit Union||24 - 35 Month CD|
|2.25%||$500||-||Patelco Credit Union||24 - 35 Month IRA (Traditional, Roth, CESA)|
The 24-35 months Certificate is also offered as an IRA (Traditional, Roth, CESA) earning the same APY, but with an opening deposit of only $500.
As stated in Patelco CU’s Ask A Question page, the Early Withdrawal Penalty reads as follows:
The penalty for early withdrawal on a CD is 90 days loss of interest, or less if the CD has been open for less than 90 days. Certificates that are 48 months or more are subject to a 180 day penalty.
Patelco has a history of offering competitive CD specials. Last March, Patelco came out with a 60-Month Certificate that earned 2.75% APY. The special lasted just under two months. At that time, Mountain America Credit Union was also offering 2.75% APY on its 60-month CD while the highest nationally-available 2-year CD rates were around 1.70%. As you can see, rates on 2-year CDs have risen much more than 5-year CD rates. However, as I reported yesterday, that may be starting to change.
Headquartered in Pleasanton, California, Patelco Credit Union’s field of membership (FOM) is primarily residency and employment based.
DA readers may remember that in the past membership in Patelco CU was open to virtually anyone, but that changed more than two years ago. Every time I check out Patelco CU’s website, I hope I will see an easy membership requirement. While that hasn’t happened yet, Patelco has added six more California counties since I last wrote about them.
Counties: Individuals who live, work, worship, or attend school in the northern California counties of Alameda, Contra Costa, El Dorado, Marin, Merced, Napa, Placer, Sacramento, San Francisco, San Joaquin, San Mateo, Santa Clara, Solano, Sonoma, Stanislaus, or Yolo are eligible to join.
Cities: Individuals who live, work, worship, or attend school in the California cities of Bakersfield, Eureka, McKinleyville, or Santa Cruz also qualify.
Employment: Employees and pensioner of any of 1,100+ associations, trade groups, chambers of commerce, or federal government agencies (including AT&T and Walgreens) also qualifying for membership.
Education: Students attending University of California Berkeley, San Francisco State University, and California State University East Bay are eligible to join. Members of the San Francisco State University Association or the California State University East Bay Alumni Association also qualify.
Relationship: Family members or roommates of current Patelco members are eligible to join, as are minor children or surviving spouses of a deceased employee/pensioner eligible for membership.
Joining Patelco and/or opening a Certificate can be done online, or by visiting any of 37 California branches located in Berkeley, Brentwood, Campbell, Castro Valley, Citrus Heights, Concord, Daly City, Danville, Dublin, Elk Grove, Fairfield, Folsom, Fremont, Hayward, Lafayette, Livermore, Milpitas, Novato, Oakland (2), Pleasanton (2), Redwood City, Rohnert Park, Roseville, Sacramento, San Bruno, San Francisco, (2) San Jose, San Leandro, San Mateo, San Ramon (2), Santa Clara, Santa Rosa, and Walnut Creek.
Credit Union Overview
Patelco Credit Union has an overall health grade of "A+" at DepositAccounts.com, with a Texas Ratio of 2.69% (excellent) based on September 30, 2017 data. In the past year, Patelco has increased its total non-brokered deposits by $532.54 million, an excellent annual growth rate of 11.47%. Please refer to our financial overview of Patelco Credit Union (NCUA Certificate # 68579) for more details.
Patelco Credit Union was established in 1936 with only $500 in assets. The Credit Union’s name is derived from its original members: employees of Pacific Telephone and Telegraph Company (now part of AT&T). Patelco Credit Union has grown to become California’s sixth largest credit union, with more than 321,400 member and assets in excess of $5.9 billion.
How the Certificate Compares
When compared to the 259 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available within the FOM, Patelco Credit Union’s 24-35 months Certificate APY currently ranks third.
These rates are accurate as of 1/14/2018.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.