UPDATE 2/7/2017: No longer available.
Deal Summary: 3-year Special Share Certificate, 2.51% APY, $1k minimum, $100k maximum.
Just like last year, Transportation Federal Credit Union (TFCU) started February by offering a 3-year Special Share Certificate (2.51% APY). The minimum deposit is $1k, with a $100k balance cap per member.
Last year’s offering was marketed as a limited-time offer that lasted about two weeks. The current listing on TFCU’s website makes no mention of “limited-time,” but I would be surprised to see this rate be offered for any length of time.
Note: Last year, several DA readers reported that they were able to join TFCU and open the Special Share Certificate without too much difficulty.
According to a CSR, the Early Withdrawal Penalty (EWP) is based on a formula, with the time left until maturity a determining factor. CSR also stated that the EWP would not exceed 180 days interest.
Thanks to DA reader, ChasR, for his Forum post about this deal.
Headquartered in Alexandria, Virginia, Transportation Federal Credit Union offers membership to active and retired employees, military personnel, contractors, and other related occupational groups affiliated with the U.S. Department of Transportation and the Federal Aviation Administration (Washington, D.C.). The two largest groups included are the Department of Homeland Security and the TSA, no matter where the employee or retiree lives.
In the Washington, D.C. area there are more than 55 governmental agencies, businesses, and associations that qualify for membership. There are also eight Boston area governmental agencies (including the First Coast Guard District) and businesses that also qualify.
Immediate family members and household members of individuals who are eligible for membership can also qualify. Complete details are available on TFCU’s "Join Us" page.
Easy membership: Although the American Consumer Council (ACC) is listed under "In Washington, D.C. and surrounding areas" on the "Join Us" page, according to the CSR, anyone, regardless of where they live, can qualify for Transportation FCU membership by joining the ACC.
Joining TFCU can be done by downloading the Membership Application and returning it to any of two Washington, D.C. branches or the Boston branch or by mail. (Note: TFCU requires two government-issued forms of photo identification to complete the application process.)
A Share Certificate can be opened online if you are already a member, but new members must open a CD at a branch location, or by sending an email request, or by phone.
Credit Union Overview
Transportation Federal Credit Union has an overall health grade of "A" at DepositAccounts.com, with a Texas ratio of 1.30% (excellent) based on September 30, 2016 data. In the past year, TFCU increased its total non-brokered deposits by $24.22k, an excellent annual growth rate of 13.97%. Please refer to our financial overview of Transportation Federal Credit Union (NCUA Charter # 3140) for more details.
Transportation Federal Credit Union was founded as the Civil and Aeronautics Federal Credit Union in 1939 by twelve employees of the Civil Aeronautics Board, the first governmental agency that regulated aviation services. More than 75 years later, TFCU has expanded its field of membership and grown to more than 19,600 members, with assets in excess of $221 million.
How the Share Certificate Compares
Given that Transportation FCU’s field of membership is based on employment (nationwide) and association affiliation (District of Columbia and surrounding areas; Boston and surrounding areas), limiting the comparisons by a geographic variable made no sense. A nationwide comparison seemed to be a better option, but just to be certain, I selected "Any CD."
When compared to all the 4,525 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit, Transportation FCU’s 3-Year CD currently ranks first.
When compared to the 188 similar length-of-term CDs tracked by DepositAccounts.com, requiring a similar minimum deposit and available nationwide, Transportation FCU’s 3-Year CD clearly ranks first.