CD Interest Rates

Michigan headquartered Northpointe Bank offers in all states their 13-month certificate of deposit special with top cd rates at 2.35% APY. To enjoy this best cd rates, a consumer can open an account for a minimum of $5000.

There are also longer term certificate of deposits with the following current cd rates fixed at 2.10% APY (12-17 months), 2.35% APY (18-23 months), 2.60% APY (24-29 months).

The certificate of deposit special offer is only posted on the main page of the bank and not on the rates table. According to the customer service representative, the interest rates printed on the site’s front page is still accurate. Like before, it will be best to call them to verify the interest rates since they can be updated any time.

Accounts can be opened via mail for consumers from any state. Interested individuals can call their service line so the bank can send you the application forms via email. Consumers are given 1.5 weeks to completely fill out the forms and send in the check so they can lock the current cd rates.

American First National Bank has a CD promotion with a 2.64% APY for terms of 6, 9 and 12 months. Minimum deposit is $1,500. There’s also a Jumbo CD rate of 2.75% APY for the same terms. Minimum deposit is $100,000. In addition, their IRA CD has a 3.50% APY for 12 and 18 month terms. These rates are current as of 5/15/09.

It appears a branch visit is required to open accounts. Branches are located in Houston, Dallas and their suburbs.

The bank has decent ratings for safety and soundness: 3.5 stars (good) at BauerFinancial and 4 stars (sound) at Bankrate. Both ratings are based on 12/31/08 financial data. The bank is FDIC insured.

ING Direct raised the yield on its 18-month CD today to 4.50% APY. The rates for all the other terms remain the same. 4.50% APY is a very competitive yield for an 18-month CD. For those with an ING Direct CD about to mature, you may be able to get an additional 0.10% for renewing.

It’s rare when ING Direct offers a top yield. ING Direct customers typically are willing to sacrifice a little less yield in return for a better online account process. This time you don’t have to sacrifice. ING Direct offers is an easy CD account opening process that’s all electronic. Managing the CD is also easy. When the CD matures, you can log in and immediately transfer it back to the funding account or your ING savings account.

Some of the ING Direct’s certificate of deposit details include:

• No minimum deposit requirement
• Early withdrawal penalty for terms of over 12 months is 6 months interest.
• Grace period at maturity is 10 calendar days
• You can receive interest disbursements on a monthly basis deposited to your Electric Orange, your Orange Savings or a verified external account
• Joint accounts and Living Trust accounts can be opened.
• The following accounts are not available: business, power of attorney, beneficiary or individual retirement accounts.

ING Direct is also a good choice for those looking for a strong bank. However, its ratings have recently gone down at both BauerFinancial and Bankrate. It’s currently rated 3 stars (performing) at Bankrate.com and 3.5 stars (good) at BauerFinancial based on 6/30/08 data.

East Coast Community Bank is offering a special 4.30% APY 10-month CD. The minimum deposit is $1,000, and the maximum is $100,000. This CD was advertised in yesterday’s Daytona Beach News Journal. The ad is available online here.

It appears that a branch visit may be required to open an account. Branches are located in Ormond Beach and Port Orange, FL.

The bank’s financial ratings are mixed: 2 star rating (below peer group) at Bankrate.com and 4 star rating (excellent) at BauerFinancial. Both are based on 3/31/08 data.

Imperial Capital Bank (ICB) increased its CD rates. The most competitive is the 9-month CD with a 4.00% APY. Other competitive rates include a 3.65% APY 6-month CD and a 3.95% APY 12-month CD. Minimum deposit is $2,000.

Accounts can be opened online or by mail. According to the online application, you can fund accounts by mailing a check, wire transfer or a transfer from another ICB account.

The early withdrawal penalty for the 9-month term is a little severe: 181 days of interest. The wire transfer fees are $12 for incoming and $25 for outgoing.

E-LOAN increased the rates on most of its CD terms. The largest increase was on its 60-month term. That rate increased from 4.30% to 4.60% APY.

Here are some of the details on ELOAN CDs:

• Individual, Joint and Living Trust Accounts can be opened.
• Beneficiary can be added in the application
• $10,000 minimum deposit
• No early withdrawal permitted during the first 90 days
• Eary withdrawal penalty: 3 months interest for 1 year or shorter term and 6 months for over 1 year term
• Grace period: 10 calendar days
• No interest is paid past the maturity date on accounts closed during the grace period
• Interest is compounded daily and credited monthly (same as savings)
• CD is opened like savings account with one linked checking/savings account which will fund the CD
• Linked account can be your E-LOAN savings account
• Option is available to transfer interest monthly by ACH from CD to linked account
• At maturity, you can instruct E-LOAN via the secure message system to close CD and transfer money back to your linked account

US Bank has increased the rate on its CD specials. The new 59-month CD yield is 4.65% APY, and the 43-month CD yield is 4.10% APY. The shorter term yields are much lower: 3.50% APY for a 23-month CD and 2.80% APY for a 11-month CD.

One important detail regarding this CD is a severe early withdrawal penalty. According to the CD disclosure, the penalty for the 59 month CD would be over 29.5 months of interest on the amount withdrawn.

US Bank does have an online application. However, you can only open the CD online if you already have a checking account with them and you use the checking account to fund the CD. Otherwise, you have to come into one of their branches. They do not accept checks by mail to fund a CD.

US Bank has branches in 26 states. It’s a large bank with $232.8 billion in assets.

Since the Federal Reserve started cutting its short-term interest-rate target last fall, yields across certificates of deposit, savings accounts and money-market accounts have plummeted. But recently, yields on long term CDs have been rising, in part because of a rise in longer-term Treasury yields this month and investors’ expectations for higher inflation.

Some banks are already responding. While average CD rates have been relatively flat in April, a handful of banks offering high-yield CDs — such as Capital One Financial Corp, Advanta Bank and E*Trade Financial Corp. — have recently bumped up yields on some of their CDs stretching out three to five years.

KeyDirect recently raised rates on its longer-term CDs by 0.25 percentage point to 4.75% and 5% for its 60- and 84-month CDs, respectively. GMAC Bank raised the rates last week on its four- and five-year CDs to 4.35% from 4% and 4.15%, respectively. Bank of America has also increased rates on a variety of CDs stretching out as many as 47 months.

Some banks are also raising some of their short-term CD rates. Earlier this month, for example, ING Direct raised the rates on its six-, nine- and 12-month CDs to 3.3%, from 2.75%, 2.5% and 2.5%, respectively. Meanwhile, IndyMac Bank is offering special one-year CDs online with a yield of 4.15%.

American First Credit Union is offering a competitive rate on its 6 and 12-month share certificates. For a Jumbo certificate the yield is 4.03% APY. This requires a $100,000 minimum deposit. A yield of 3.77% APY is available with only a $1,000 minimum. These rates are also available in an IRA.

Membership is open to anyone who lives, works, worships or attends school in Orange County or 16 additional cities throughout the Greater Los Angeles area. You can also be eligible via select employer groups. Membership requires a $5 fee and a minimum initial deposit of $50 in the savings account.

Branches are located in the cities of La Habra, Buena Park, Tustin, Placentia and Orange. The credit union is federally insured by the NCUA.

With the recent Fed rate cuts, Wells Fargo has lowered their rates on their online CD special to 3.50% APY. Minimum balance on this certificate is $5,000, and the term to maturity is 5 months.

Aside from this special, Wells Fargo CD rates are a bit low, ranging from 1.50% to 3.00% APY.

At maturity, CD will automatically renew for the Renewal Term stated above, at the interest rate and APY in effect for CDs not subject to a Special Rate, unless the Bank has notified you otherwise.

This CD is only available online and not through brick and mortar Wells Fargo Banks.