PENFED Rates Change 6%
- Thread starter OAG
- Start date
OP
OP
OAG
Thinks s/he gets paid by the post
Sounds pretty good as APR 4.88% is APY of 5.00%. Have to wait to see the spread as it applies to the different terms.
mountaintosea
Full time employment: Posting here.
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- Aug 6, 2006
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- 564
I called Pen Fed and then the cc company, yes cash advance. I've never used my CC for cash advance. Wow $10 on $25 is really expensive. I didn't know it would be a cash advance either. CC is from my credit union. Maybe I should call my credit union and ask why the high price!
FWIW:
I live in So Cal. I joined Ped Fed Credit Union via the internet on Thurs Oct 4th and faxed them the application to purchase a 3-yr IRA CD at 6% interest. I also mailed them the original documents. On Tues, the 9th, I called them and confirmed that they had all the paperwork AND that they had forwarded my request to Vanguard. On Thurs Oct 11th, the money was deducted from my IRA at Vanguard, but apparently it was mailed from Vanguard to Ped Fed on Oct 11th. The 6% deal ended at Pen Fed on Friday Oct 12th, with Ped Fed not having received any money from Vanguard. Pen Fed did not receive the funds from Vanguard until this past Tuesday, yet they still gave me the 6% deal.
Unfortunately, when I logged on to Ped Fed on Tuesday, it showed my IRA money OK, except that it was a 7 year IRA, not the 3 yr IRA that I had requested. I called Pen Fed again. OK, today, finally, my account is correct, I got the 6% CD for the proper time period, 3 years.
See, originally, I called on Wed, Oct 3rd, and the lady was nice, but kinda negatively influenced me by telling me that the Vanguard transfer could take ten days to complete AND that the 6% offer would likely not last very long. Was she trying to disuade me? or trying to be helpful? I'm not sure, but I took the plunge and it worked out for me.
I am happy with Pen Fed..........mostly
I live in So Cal. I joined Ped Fed Credit Union via the internet on Thurs Oct 4th and faxed them the application to purchase a 3-yr IRA CD at 6% interest. I also mailed them the original documents. On Tues, the 9th, I called them and confirmed that they had all the paperwork AND that they had forwarded my request to Vanguard. On Thurs Oct 11th, the money was deducted from my IRA at Vanguard, but apparently it was mailed from Vanguard to Ped Fed on Oct 11th. The 6% deal ended at Pen Fed on Friday Oct 12th, with Ped Fed not having received any money from Vanguard. Pen Fed did not receive the funds from Vanguard until this past Tuesday, yet they still gave me the 6% deal.
Unfortunately, when I logged on to Ped Fed on Tuesday, it showed my IRA money OK, except that it was a 7 year IRA, not the 3 yr IRA that I had requested. I called Pen Fed again. OK, today, finally, my account is correct, I got the 6% CD for the proper time period, 3 years.
See, originally, I called on Wed, Oct 3rd, and the lady was nice, but kinda negatively influenced me by telling me that the Vanguard transfer could take ten days to complete AND that the 6% offer would likely not last very long. Was she trying to disuade me? or trying to be helpful? I'm not sure, but I took the plunge and it worked out for me.
I am happy with Pen Fed..........mostly
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Recycles dryer sheets
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- Aug 9, 2005
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I already had a 5.75% APY CD at Penfed from early 2006. I learned of the latest 6% APY offer and wanted to buy a second CD.
The Penfed telephone representative created a new CD over the phone. She interviewd me and electronically transferred ("pulled" in Penfed lingo) funds for a new CD from my checking account at a local bank.
I would have bought a larger CD, but I generally keep less than $200K at any one CU or bank to stay under the federal insurance limit for joint accounts.
The Penfed telephone representative created a new CD over the phone. She interviewd me and electronically transferred ("pulled" in Penfed lingo) funds for a new CD from my checking account at a local bank.
I would have bought a larger CD, but I generally keep less than $200K at any one CU or bank to stay under the federal insurance limit for joint accounts.
FinanceDude
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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- Aug 3, 2006
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- 12,483
They need money to smooth out their portfolio. They'll make a nice spread when all is said and done........
OP
OP
OAG
Thinks s/he gets paid by the post
Template: If you are married you can have up to $400,000 in non-IRA accounts at a single institution and have full coverage via FDIC or NCUA insurance. Joint with wife $100K. Wife Joint with you $100K. Individual ownership: YOU $100K. Individual ownership: HER $100K. (Could have up to another $500K in IRA with full coverage. Her $250K you $250K=total in single institution possible $900K).
We finally got our 6% certificates today. We were transferring IRA funds from T. Rowe, and we knew from prior experience that it would take a while for all the paper work to be processed. We sent in our request before they changed the ending date for the 6% rate. We called them and were told that they had marked our request and would honor the rate. Our funds arrived at PFCU on Oct. 19. We called them yesterday when the certificate purchase was not shown, and they told us that they had so many purchases backlogged, that it might take a couple of more days to get them done, but that they would backdate to the 19th. They are now posted to our account as of that date.
We were very happy that they honored the 6% amount, because they certainly didn't have to do that.
We were very happy that they honored the 6% amount, because they certainly didn't have to do that.
jazz4cash
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Gosh.....I funded my CD with leftover money from the 5.99% home equity loan Pen Fed funded in June......I was just trying to figure out what to do with these extra funds which arn't needed until two years from now (kids tuition) when the board advised me of this offer.They need money to smooth out their portfolio. They'll make a nice spread when all is said and done........
calmloki
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Thought those were 3 year CDs? you going to take a big hit breaking them for kid's tuition in 2 years? or have the first year tuition all banked already?
jazz4cash
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Yeah...they are 3yr. I had to rationalize the extra year. Not sure how I'll cover that.....something will come along. It seems the penalty is 6 months dividend, so it's not too harsh if I go at least 2.5 yrs, but I'm thinking more of a low rate credit card loan or 401k loan. I have 1 kid in college now and will have two in college at the same time in 2009-2011, so thats the timeframe when the double tuition hits.
OP
OP
OAG
Thinks s/he gets paid by the post
You can always get a CD Loan. PFCU will loan you 90% of the value of the CD and the interest rate will be 2% over the APR you are now getting on the CD. Payments are optional during the term of the loan. Try that with a Bank CD!
jazz4cash
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Oh yeah....I forgot about that option....it sounds very good....THANKS!
cute fuzzy bunny
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Now we need to look for some .2% penfed cd's to get a nice 2.2% loan...
OP
OP
OAG
Thinks s/he gets paid by the post
I just got one the other day (to purchase a 6% CD). The rate is 6.16% since the CD that backs the loan was an older one for 4.16%. The way I figured it a 6% APY on an increasing balance versus a 6.16% rate on a decreasing balance was the better option. BTW no payments are required on the loan but I will pay it down at anyways.
