Last week, Quabbin Online Credit Union (Quabbin Online) raised the rate on its 24-month High-Yield CD (2.07% APY). The minimum opening deposit is $5k of new money, with a balance cap of $250k. There is also a deposit limit of $500k per household.
The fine print on Quabbin Online’s Rates page has not yet been updated (as of October 26, 2017) and contains a confusing statement that says the offer is valid through September 30, 2017. According to CSR, the September 30 end-date no longer applies to either the 24-month High-Yield CD or the 6-month High-Yield CD Special (1.29% APY), and just hasn’t been removed from the website. While both CDs are technically limited-time offers, no end-date has been established. As CSR said, “they’re available until they no longer are.”
According to CSR, the Early Withdrawal Penalty for the 24-month High-Yield CD is only three months interest.
Quabbin Online Credit Union is a division of Athol Credit Union (ACU) and is subject to ACU’s field of membership (FOM), which is residency based. Individuals (and their “direct relatives) who live, work, or attend school in 71 named towns in the Massachusetts counties of Franklin, Hampshire, and Worcester are eligible to join.
Joining Quabbin Online and/or opening a High-Yield CD must be done online.
Quabbin Online also has a referral program that pays $50 for each new member.
For every new eligible family member or friend you refer that opens a Quabbin Online
Credit Union Savings Account, we’ll pay you $50. And the referrals are unlimited.
Credit Union Overview
As an internet division of Athol Credit Union, Quabbin Online Credit Union operates under ACU’s NCUA Charter and shares ACU financial history.
ACU/Quabbin Online Credit Union has an overall health grade of "B" at DepositAccounts.com, with a Texas Ratio of 16.95% (above average) based on June 30, 2017 data. In the past year, the Credit Union has increased its total non-brokered deposits by $2.82 million, an excellent annual growth rate of 5.3%. Please refer to our financial overview of ACU/Quabbin Credit Union (NCUA Charter # 66819) for more details.
Established in 2011, Quabbin Online Credit Union is a rare entity: an internet division of a credit union. DA readers are familiar with online divisions of several banks (Salem Five Direct, EBSB Direct, iGObanking), but an internet division of a credit union is almost unknown. In a March 2013 blog post about Quabbin Online, I noted that,
It's interesting to see such a small credit union with an online division. Total assets are just under $85 million. The online division with top rates doesn’t seem to be helping a lot to grow deposits. Over the last year, the credit union has gained just $1.5 million deposits. Total deposits are currently $58.5 million.
Since I wrote that four years ago, ACU/Quabbin Online’s deposits haven’t grown all that much. Total deposits are currently $64.6 million, which is an increase of slightly more than 10.4% since March 2013.
How the High-Yield CD Compares
When compared to the 378 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available within the FOM, Quabbin Online Credit Union's 24-month High-Yield CD APY currently ranks second.
The above rates are accurate as of 10/27/2017.
To look for the best CD rates, both nationwide and state specific, please refer to our CD rates table or our new Rates Map page.