When I last wrote about Premier America Credit Union (Premier America CU) 60-month CD more than seven months ago, its 3.00% APY was a rate leader. While the 60-month CD APY has dropped to 2.20%, it’s still quite competitive: 2% APY has replaced 3% APY as the “good deal rate” for long-term CDs. Unlike Premier America’s other CDs that have four tiered APYs (increments of 5 bps), the 60-month CD earns 2.20% APY on all deposit levels of $1k and above.
The 60-month CD is also offered as an IRA (Traditional, Roth), earning the same APY with the same funding requirements.
As stated in the Truth-in-Savings disclosure, the Early Withdrawal Penalty reads as follows:
A partial withdrawal of the principal is subject to a penalty equal to: (a) 90 days’ dividend if the term is less than one year; (b) 180 days’ dividend if the term is one year or longer, applied to the amount withdrawn.
If a withdrawal brings the principal below the minimum required balance, the penalty will be applied to the entire principal and the Certificate will be cancelled.
The Truth-in-Savings disclosure also states that there is a 7 calendar day grace period (including the maturity date) before the 60-month CD automatically renews.
Funding and Maturing Funds
Funding a CD can be done by ACH, wire transfer, or through a transfer from another Premier America CU account. According to CSR, funding must take place when the CD is opened, whether the CD is opened online or in-person. This immediate funding requirement renders a rate lock moot. CSR also mentioned that Premier America CU participates in the CO-OP Shared Branch network, which can be an easy way to transfer funds.
Live or work away from our branch locations? You can use over 5,000+ shared
branches (CU Service Centers) for account transfers, loan payments, deposits, and more.
Maturing funds will be distributed by cashier’s check or wire, or transferred to an existing Premier America CU checking or savings account.
Beneficiaries can be named (equal shares), with Social Security numbers required.
Headquartered in Chatsworth, California, Premier America Credit Union’s field of membership includes a variety of options that provide a way to join for almost any US citizen or permanent resident with a valid Social Security number.
Easy Membership Requirement: Joining the Alliance for the Arts automatically qualifies you for Premier American CU membership. The last option on the online application reads, "None of the above apply. I want to join Thousand Oaks Alliance for the Arts."
California Residency: Individuals who live, work, worship, or attend school in Los Angeles County or Ventura County are eligible to join.
Texas Residency: Individuals who live, work, worship, or attend school in Harris County also qualify for membership.
Family Relationship: Family members of current Premier America CU members are eligible to join.
Information about membership eligibility is available on the first page of the Credit Union's time-sensitive online application.
Joining Premier America CU and/or opening a CD can be done online. As of April 7, 2020, five of the 19 California branches have been closed temporarily, in response to the COVID-19 emergency. The remaining California and Texas branches are maintaining normal business hours. Premier America CU’s “Branch Updates” page lists any changes in branch hours and/or closings.
Current Premier America CU members are able to open a CD using the Online Banking platform.
Once logged in, select the "Services & Forms" tab, choose "Open
Additional Account" and follow the steps to open the Certificate.
A Regular Savings account is required to establish membership at Premier America CU.
The minimum opening deposit is $5, and the minimum required to earn the APY is $.01.
Credit Union Overview
Premier America Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 7.90% (excellent) based on December 31, 2019 data. In the past year, Premier America CU has increased its total non-brokered deposits by $139.27 million, an excellent annual growth rate of 5.86%. Please refer to our financial overview of Premier America Credit Union (NCUA Certificate # 68428) for more details.
Premier America Credit Union was originally established in 1957 as the Litton Employees Federal Credit Union, serving Litton Industries employees throughout Southern California. (Named after inventor Charles Litton, Sr., Litton Industries was a large defense contractor bought by the Northrop Grumman Corporation in 2001.) In 1963, Litton Industries acquired Western Atlas (a Texas oil and gas company), giving the Credit Union a foothold in Texas. Premier America CU was the last out-of-state credit union to expand into Texas, only days before the state’s credit union commission adopted a rule in 1999 prohibiting such expansion. Currently California’s 20th largest credit union, Premier America Credit Union has more than 116,000 members and assets in excess of $2.8 billion.
How the CD Compares
When compared to 140 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit ($5k or less) and are available nationwide, Premier America Credit Union's 60-month CD APY* currently shares the top spot with PenAir Federal Credit Union’s 60-month CD APY.
The above rates are accurate as of 4/9/2020.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.
*We are continually working to keep our rates up-to-date, but there have been just too many rate cuts for us to process all changes quickly. For the time being, please be aware that the rates listed at DepositAccounts.com may not reflect the latest rates published by the banks and credit unions.