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2.17%$1k-PenFed Credit Union7 Year Money Market Certificate
2.12%$1k-PenFed Credit Union5 Year Money Market Certificate
1.81%$1k-PenFed Credit Union4 Year Money Market Certificate
1.76%$1k-PenFed Credit Union3 Year Money Market Certificate
1.51%$1k-PenFed Credit Union2 Year Money Market Certificate
1.31%$1k-PenFed Credit Union1 Year Money Market Certificate
Accounts mentioned in this post. Rates as of April 23, 2017.

PenFed CD Rate Changes - New Top 2- and 3-Year CD Rates


Pentagon Federal Credit Union (PenFed) changed its certificate rates for December. PenFed had been offering a very competitive 1-year CD rate in November. Unfortunately, that has ended. However, its 2-year and 3-year certificate rates went up and have become even more competitive. Below is the list of the new PenFed CD rates for terms of 1 to 7 years with the noteworthy rates highlighted. I've also listed the old rates in parentheses. These new rates are listed in PenFed's Money Market Certificates page as of 12/3/2012.

  • 2.00% APY 7-year (was 2.02%)
  • 1.80% APY 5-year (was 1.71%)
  • 1.75% APY 4-year (was 1.61%)
  • 1.75% APY 3-year (was 1.61%)
  • 1.50% APY 2-year (was 1.36%)
  • 1.00% APY 1-year (was 1.26%)

PenFed calls their CDs "Money Market Certificates", but they are essentially certificates of deposit (CD) with fixed rates for specific terms.

Minimum deposit is $1,000. The rates are also available in an IRA. Even though PenFed typically maintains CD rates through the month, they no longer guarantee it. For more details about PenFed CDs, please refer to my PenFed CD review.

PenFed Membership

PenFed makes it easy for anyone to join and open accounts online. If you don't qualify based on military, employer or family, you can become eligible by joining the National Military Family Association (one-time $20 fee) or by joining the Voices for America's Troops (one-time $15 fee). Joining one of these organizations and joining PenFed can be done at the same time all online.

To join PenFed, click on the "Join PenFed" link at the top of any PenFed page. This will take you to the start of the online application. That first page asks about eligibility. If you don't qualify via any of the listed options, click "None of the above". A popup informs users that "We can establish your membership eligibility through either National Military Family Association or Voices for America's Troops." When you close the popup, you are then asked to select one of these two organizations.

Branch Locations

Accounts can be opened online, but for those who prefer opening accounts in an office, PenFed has branches in several parts of the country including Washington DC, Maryland, Virginia, New York, North Carolina, Hawaii, Puerto Rico and Texas.

Financial/NCUA Info

PenFed is the third largest credit union in the nation. It has $12 billion in deposits. PenFed has an overall health score at DepositAccounts.com of 5 stars (out of 5) with a Texas Ratio of 3.55% (excellent) based on September 2012 data. Please refer to our financial overview of PenFed for more details. It's federally insured by the NCUA (Charter # 227).

How These New CD Rates Compare

PenFed's new 2-year and 3-year CD rates are now the rate leaders for these terms. The next highest 2-year CD rate that's nationally available is 1.36% APY at Citizens State Bank. This requires a $100K minimum deposit. Another credit union is offering 1.75% APY for a 3-year CD, but this requires an active checking account. This is available at Connexus Credit Union. The best deal with a similar term from an internet bank is a 1.50% APY 30-month CD from Salem Five Direct.

The above rates are accurate as of 12/3/2012.

Searching for the Best CD Rates

To search for the best nationwide rates and the best rates in your state, please refer to the following tables at DepositAccounts.com:

Related Pages: CD rates, IRA rates

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Anonymous   |     |   Comment #1
i noticed this in the bankdeals reviews for Penfed:   'ACH transfers from the savings account to another non Penfed account are limited to $50!!!  So don't expect to move any money around.'

is this true? seems like this would make it difficult to move money out after closing a cd.
Anonymous   |     |   Comment #2
I just opened an account and the rep told me the same thing about the ACH being limited to the $50 a day.  However she said that if I wanted to open a certificate, the money could be pulled straight into the cd from another institution with the limit being $25,000 I believe.  She said the $50 limit would only be in effect for 6 months.  I told her that I thought it was kinda strange to be limiting putting money into the share account.  She said it was to protect them from people transferring money in by ACH and then pulling it out before the money was actually in the account.  I think they could have handle that problem in an entirely different way.