CD Rates Summary January 14, 2020

We are starting to see more CD rate increases as the new year begins. Rate cuts are still common, but rate increases are a positive sign that widespread CD rate cuts are ending.

Due to the holiday break, I’ll review the rate changes from four weeks ago. Noteworthy CD rate changes are included below. I’ve separated them into three groups. The first includes the popular banks. All percentages are APYs.

• Goldman Sachs Bank (5yr up 10 bps to 2.25%, 1yr up 10 bps to 2.15%, 11m up 10 bps to 2.00%)
• Ally Bank (11m No Penalty CD fell 5 bps to 1.85%)
• TIAA Bank (5yr YP fell 5 bps to 2.15%, 1yr YP down 10 bps to 2.00%)
• CIT Bank (11mo down 5 bps to 1.75%)

The second group includes lesser known banks that had been recent rate leaders at some point in the past.

• Live Oak Bank (5yr fell 15 bps to 2.10%, 3yr fell 10 bps to 2.10%)
• Salem Five Direct (18mo up 10 bps to 2.00%)
• Limelight Bank (18mo up 5 bps to 2.15%, 1yr up 5 bps to 2.10%)
• Comenity Direct (5yr fell 10 bps to 2.10%, 1yr fell 10 bps to 2.00%)
• Rising Bank (18m Rising up 10 bps to 2.15%, 1yr up 10 bps to 2.15%)
• Popular Direct (5yr up 11 bps to 2.26%)
• Quontic Bank (5yr fell 5 bps to 2.20%, 1yr fell 5 bps to 2.20%)
• Axos Bank (5yr fell 25 bps to 2.00%)
• DollarSavingsDirect (5yr fell 50 bps to 2.30%)
• Home Loan Investment Bank, FSB (2yr fell 40 bps to 2.10%, 1yr fell 20 bps to 1.80%)
• WauBank (61m fell 5 bps to 2.30%, 13m fell 10 bps to 2.10%)

The third group includes noteworthy CD rate changes at credit unions in the last four weeks.

• Affinity Plus FCU (5yr up 25 bps to 3.00%, 18m up 25 bps to 2.25%)
• Wheelhouse CU (33m fell 20 bps to 2.05%, 22m fell 25 bps to 1.90%)
• Financial Partners CU (5yr Jumbo fell 25 bps to 2.75%)
• Lafayette FCU (5yr fell 51 bps to 2.52%, 2yr fell 25 bps to 2.02%)
• Dover FCU (5yr fell 37 bps to 2.53%, 2yr fell 18 bps to 2.27%)
• USALLIANCE Financial (1yr down 5 bps to 2.15%)
• Justice Federal Credit Union (5yr Jumbo down 51 bps to 2.69%)
• Advancial (5yr Jumbo up 13 bps to 2.83%, 1yr Jumbo down 2 bps to 2.00%)
• CommunityWide (1yr down 15 bps to 2.10%, 6mo down 15 bps to 2.05%)
• Alliant Credit Union (5yr fell 5 bps to 2.05%, 1yr fell 5 bps to 1.90%)

Brokered CD Rates

Rates of long-term brokered CDs with terms from 2-year to 5-year are up from four weeks ago. However, rates of short-term CDs are mostly down by a small amount.

For the non-callable brokered CDs, the top 1-year rate this morning was 1.70% at Fidelity and 1.75% at Vanguard. Four weeks ago, the top rate at both institutions was 1.75%.

Rates are up quite a bit for 5-year CDs. This morning, the top 5-year rate was 2.00% at both Fidelity and Vanguard. Four weeks ago, the top rate was 1.85%.

As has been common, there were no non-callable 10- and 7-year CDs at both Fidelity and Vanguard. Banks tend to offer fewer non-callable long-term brokered CDs when they think rates will fall more. So the lack of non-callable long-term CDs today continues to be a worrisome sign.

The callable feature gives the bank the right to redeem a CD early. That can save the bank money when interest rates fall. However, the CD holder loses out if rates fall and the CD is called early.

Brokered CD rates tend to lead direct CD rates. Since brokered CD rates are quite a bit lower than the top direct CD rates, that would suggest that we could see direct CD rates continue to fall.

Falling brokered CD rates was a trend that began in November 2018 when the top 5-year rates reached as high as 3.60%.

Direct CD Rates and Deals

For nationally available CDs, there were four credit unions that have raised their CD rates to noteworthy levels.

Affinity Plus Federal Credit Union increased rates by 25 bps on three of its CDs: 5-year (3.00% APY), 30-month (2.50% APY), and 18-month (2.25% APY). Minimum deposit is only $500. The 5-year CD is currently the only 5-year CD with at least a 3% APY. People from any state can join via a foundation membership. I have more details in this Affinity Plus CD review.

Advancial Credit Union raised many of its CD rates in January. Its 3-year Jumbo (2.58% APY) and 4-year Jumbo (2.68% APY) rates are now rate leaders for their respective terms. Minimum deposit for these Jumbo CDs is $50k. People from any state are eligible to join Advancial by joining an association.

XCEL Federal Credit Union came out with a Winter 24-month CD promo with a 2.50% APY. The promo is scheduled to last through January. Minimum deposit is $500. Two associations can be joined by people in any state to qualify for XCEL membership. I have more details in this XCEL Federal Credit Union CD review.

SRP Federal Credit Union came out with a January 9-month CD special with a 2.50% APY. Minimum deposit is $500. People from any state are eligible to join SRP by joining an association. I have more details in this SRP Federal Credit Union CD review.

CD Specials and Top CDs That Are Still Available

There are a few top CDs with rates that have been steady for awhile. These have grown more competitive as rates have fallen at other institutions.

NASA Federal Credit Union continues to offer three special CD rates that began at the start of November. These include terms of 49 months (2.60% APY), 15 months (2.50% APY), and 9 months (2.35% APY). Minimum deposit is $10k. An association membership enables people in any state to qualify for credit union membership.

Navy Federal Credit Union continues to offer a 37-month IRA CD Special with a 3.00% APY. Unfortunately, it’s only available as an IRA or ESA Certificate. It’s also has an added benefit of being an add-on CD. Additional deposits are allowed throughout the term, subject to the $150k balance cap. Navy Federal requires a military relationship for membership, but for those who haven’t served, you may be able to qualify via a family member. I have more details in my Navy Federal IRA CD review.

Nationally Available 3% CDs

We now have only three credit unions offering nationally available CDs with yields of at least 3%. One of those three (Navy Federal) is only offering the CD inside of an IRA (37-month IRA CD, 3.00% APY). Affinity Plus Federal Credit Union is the second one with its 5-year CD (3.00% APY). The third is the 7-year CD that has long been offered by Andrews Federal Credit Union (3.05% APY).

Top CD Rates at Banks

DollarSavingsDirect had long been the CD rate leader for banks, but this ended in late December when its 5-year CD yield dropped from 2.80% to 2.30%.

The new bank rate leader is Home Loan Investment Bank which has been offering a 5-year e-CD since August with a 2.60% APY.

Savings and Money Market Accounts

The top rate for a liquid bank account is now 2.25% APY. This is only offered by Customers Bank. Its Ascent Money Market Savings continues to earn 2.25% APY with a $25k minimum balance. Also, this rate is guaranteed to last until 6/30/2020. I have more details in this Customers Bank Money Market Savings review.

BrioDirect (online division of Sterling National Bank) is currently the rate leader for a low-minimum savings account. Its High-Yield Savings account earns 2.10% APY with a minimum balance of only $25.

Federal Reserve and Interest Rate Summary

The Fed and economy review is now split off on a separate blog post. My weekly summaries will now be focused entirely on deposit rates and deals. Please keep all discussion about the Fed, the economy and politics to my Fed/Economy review blog post.

Here's the link to last week's savings/checking account summary. You can always get the latest rates for savings/checking accounts and CDs by using our rate tables, available via the navigational menu on top.

Yields Accurate as of January 14, 2020

Under 1-Year CD Rates

Noteworthy Local Deals - Under 1-Year CDs

1-Year CD Rates

Noteworthy Local Deals - 1-Year CDs

18-month CD Rates

Noteworthy Local Deals - 18-Month CDs

2-Year CD Rates

Noteworthy Local Deals - 2-Year CDs

3-Year CD Rates

Noteworthy Local Deals - 3-Year CDs

4-Year CD Rates

Noteworthy Local Deals - 4-Year CDs

5-Year CD Rates

Noteworthy Local Deals - 5-Year CDs

Over 5-Year CD Rates

Noteworthy Local Deals - Over 5-year CDs

*BGSB (Bangor Savings Bank), BotW (Bank of the West), CBRI (Citizens Bank NA RI), CSBFL (CenterStateBank FL), FFBFL (First Federal Bank FL), GSB (Goldman Sachs Bank), LBS&L (Luther Burbank Savings & Loan), MIZU (Mizuho Bank USA), PUB (Peoples United Bank), PWB (Pacific Western Bank), SBoI (State Bank of India), SBoIIL (State Bank of India IL), WFB (Wells Fargo Bank), WFBW (Wells Fargo Bank NB West)

**New To Summary

CDs Removed Due To Low Rates Or Expired Specials

CDs Removed, No Longer Available - Nationwide

CDs Removed, No Longer Available - Local

CDs Removed, Rate Too Low - National

CDs Removed, Rate Too Low - Local

Post Publication Edits

1/15/2020: Keesler Federal Credit Union 30-month Jumbo Step Certificate moved to nationally available category.