Bank Deals Blog: CD Deals

Oklahoma-based Gateway First Bank (Gateway First) has begun to offer a series of CDs on a limited nationwide basis (38 states). The 12-, 24-, 36-, 48-, and 60-month CDs all earn the APYs: 2.02% ($25k minimum deposit) and 1.92% ($500 minimum deposit). While there is no stated deposit cap, the FAQs state there is a “$500k maximum limit when funding by ACH online.”

It’s been more than two years since I last wrote about Bayer Heritage Federal Credit Union (Bayer Heritage). While Bayer Heritage had been a prolific producer of good long-term CD rates between 2015 and 2017, they were outpaced by the most recent rising rate climate. At the beginning of...

Three of CDs offered by Utah-based Merrick Bank were added to this week’s CD Rates Summary, following recent modest rate increases (5-10 bps). The minimum opening deposit for any Merrick Bank CD is $25k, with a $250k balance cap. Any interest accrued and paid into the CD is exempt from the $250k balance cap.

All of the following quotes come from the very comprehensive...

As you were reading yesterday’s CD Rate Summary, you may have noticed CIT Bank’s 11-month No-Penalty CD (1.70% APY) near the top of the nationally available, under-one-year CD category. The 11-Month No-Penalty CD requires a minimum deposit of $1k, with no stated balance cap.

CIT Bank’s 12-month Term CD currently offers a competitive 1.86% APY, one of the highest rates offered by an internet bank on 12-month CDs. The 18-month Term CD rate is just...

Florida-based Pen Air Federal Credit Union (Pen Air) is offering a 60-month CD with three attributes that make it quite attractive: a good rate (2.40% APY), a mild early withdrawal penalty, and a generous rate-lock time frame. The minimum opening deposit is $500, with no stated balance cap.

All Pen Air CDs are offered as IRA Certificates (Traditional, Roth, SEP, CESA), earning the same APYs with the same funding requirements.

Since my American Express National Bank (American Express) blog post five days ago, the rate on its 60-month CD was lowered by 15 bps. The new 2.00% APY is still near the top for 5-year CDs offered by online banks.

What’s more interesting is that American Express has raised the rate on its 12-month CD to 1.85% APY. The addition of 130 bps has given the 12-month CD its highest APY since DA began...

Even though Kohler Credit Union’s (Kohler CU) 18-month Share Certificate recently experienced a significant drop rate (down 35 bps), its current 2.15% APY is still quite competitive. The minimum deposit is $10k, with no stated balance cap. When I first wrote about the 18-month Share Certificate, an additional 75 bps were available if new money was used. Unfortunately, that option is no longer offered.

The Share Certificate is also...

California-based Spectrum Credit Union (Spectrum) recently added two Special Certificates to its product line: 13-month Special Certificate (2.10% APY) and 24-month Special Step-Up Certificate (2.20% APY). Either Special Certificate can be opened with a $500 minimum deposit, with no stated balance cap.

The Special Certificates are also available as IRA Certificates (Traditional and Roth), earning the same APYs with the same...

After Sunday’s massive Fed rate cut, banks and credit unions will surely be responding quickly with widespread CD rate cuts. Before you decide to apply for an online CD, make sure you understand how the institution will lock the rate in the account opening process. A comment on my Sunday Fed blog post by DA reader, mattp, reminded me of the generous rate lock policy at American Express National Bank (American Express). As mattp noted,

As I was writing this post early this morning, I was wondering how rapidly banks and credit unions will react to yesterday’s emergency Fed rate cut and cut their own rates. Let me state the obvious: CD rates will likely be unstable this week. Any rates should be verified at the financial institution’s website, since rates will probably fall quickly this week. I will be writing posts like this one to...