High(er)-rate CD deals

[CountingDown2014]

I noticed on Fidelity that JPMorgan Chase is offering a 3% 10-Year CD although it doesn't appear that you have the ability to make any early withdrawals prior to maturity. I am considering moving some $ that is currently in a bond fund in my tIRA and Roth IRA to this but wanted to get some feedback from others as to whether this might be jumping the gun since I will be locked into this for 10 years (even though I have no plans of using these funds during that period). Thanks!

[Dave J]

Quote:

Originally Posted by CountingDown2014 I noticed on Fidelity that JPMorgan Chase is offering a 3% 10-Year CD although it doesn't appear that you have the ability to make any early withdrawals prior to maturity. I am considering moving some $ that is currently in a bond fund in my tIRA and Roth IRA to this but wanted to get some feedback from others as to whether this might be jumping the gun since I will be locked into this for 10 years (even though I have no plans of using these funds during that period). Thanks!

Andrews Federal Credit Union has a 7 year cert. earning 3% that has mild early withdrawal fees. It is a little ornery joining but was worth it to me. Rates are rising, and I don't think I'd go 10 years today, and I might even rethink 7 years(but I did mine 6 months ago).

[jazz4cash]

I just saw this for the first time. Not sure if it is new or maybe I just missed it.

https://www.depositaccounts.com/blog...embership.html

[CaliKid]

Ten years is a mighty long time. I do not think I would lock it up for that long.

[audreyh1]

Quote:

Originally Posted by audreyh1 My account is still not open, even though my application was approved several days ago. I don't think I'm going to be able to get funds transferred in time with banks being closed on Monday. This has taken far longer than I expected.

Well, I had given up on Andrews since I got no indication on how to set up my account online, and couldn't reach anybody by phone (>1 hr waits on the phone don't work when you are surrounded by family during the holidays and switching lodging several times). So when they sent me a survey, I expressed my frustration with the process, laid out my plans, and explained that I was out of time to transfer funds to buy the CDs I wanted.

To my great surprise, I got a call from an Andrews FCU branch manager last week who had read my survey comments, and told me I was still eligible to open those CDs I wanted since I had opened my account before 12/31/16 with intent to buy those Holiday Special CDs. He helped me set up online access, and asked me which CD I wanted. I was able to transfer the funds and saw the CD available in the list for me to open. Was able to complete my transactions online.

So, I was able to get the certificates I wanted after all. That was really a nice save for both of us. I was very impressed to get a personal phone call from Andrews FCU and have them set things up for me to correct the problems I encountered.

Oh this is funny! Andrews FCU has just made that 84 month 3% CD available again according to Deposit Accounts. https://www.depositaccounts.com/bank...-union/offers/

Yep - for both IRA and regular accounts. It's no longer a special, but part of their normal lineup.
https://www.andrewsfcu.org/personal/...tificates.html

[Another Reader]

Per depositaccounts.com, the 7 year 3 percent CD's at Andrews CU are still available. Minimum deposit is $1,000.

[jazz4cash]

Audrey
Thanks for the update. Glad to hear AFCU finally came through. It's a good lesson for anyone trying to do business with them. I tried to purchase a second IRA CD online and the process was aggravating so I downloaded the form and converted it to a fillable PDF and went into the branch since I am local. In spite of a bad experience with them on a mortgage application I am satisfied overall so far. I received an invitation to be a secret shopper for them so it appears they are aware that they have some issues.

[CountingDown2014]

Thanks for the responses. It definitely seems like Andrews FCU would be the way to go except that I was trying to avoid having to deal with transferring funds to another institution (I already have CDs at PenFed and NWFCU) and have a few more months before I should transfer $ out of Fidelity as a result of a cash bonus I received last year for transferring additional $ there. I do think I will hold off on the 10-year CDs though. Thanks again for the input.

[audreyh1]

Quote:

Originally Posted by Another Reader Per depositaccounts.com, the 7 year 3 percent CD's at Andrews CU are still available. Minimum deposit is $1,000.

It did disappear for a while after the New Years weekend, and the 84 month certificate had a much lower rate. I know because I checked. I think it just became available as part of the standard offering.

If you read the deposit accounts blog the article announcing the availability is dated today.

[jazz4cash]

The 84 mo CD on the AFCU website has been reduced from 3% to 2.2%. This is very disappointing since I was stalking CD rates in anticipation of higher rates and found the opposite. I am still hoping to find some rate increases after April 1st since I have come to the end of the road on my 4% NFCU CD and need to reinvest.

[almost there]

This one bump 2.75% 5 year CD is a no brainer..........
https://www.macu.com/bump
Not sure what your waiting for?

[Free bird]

If you don't live in Utah macu isn't an option it would seem.

[almost there]

I live in SoCal and put $265k in last week..........
Not a problem..........

[Free bird]

Are you a member of the American Consumer Council? I just found out that qualifies you. I forgot about that.

[VFK57]

Thanks Almost there, I took your advise on MACU and open the 5yr CD

[jazz4cash]

Quote:

Originally Posted by almost there This one bump 2.75% 5 year CD is a no brainer.......... https://www.macu.com/bump Not sure what your waiting for?

Well no point doing anything until it matures in 2 weeks. Gotta milk the last penny outta that 4 per cent rate! That MACU deal is better than anything else I've seen so thanks for the reminder. I hate to open another CU account but I'll do it if they make me.

[imoldernu]

Dunno if this is too dumb a question to ask... OK to ignore...

Why does one buy an extended (more than 6 month) CD in the under 3% rate, when IBonds currently yield 2.78%, and adjust to the CPI? Yes, Bond held under 5 years lose thee months interest when redeemed early.

[Fedup]

I never understand this CD thing.

[VFK57]

Bonds do not have insurance on your investment. That is why for my fixed income part of portfolio I would rather have CD especially when the difference in return is so tiny.

[travelover]

Quote:

Originally Posted by Fedup I never understand this CD thing.

Me, neither. That's why I kept my cassette player.