Seems Like CD Rates ARE creeping up.

[brewer12345]

Thanks, Brewer
I found it and plan to put at least $500 in it to lock in the rate and maybe add more later. I guess they don't want this offer to get to popular. I guess I'll need to check that "other" tab more frequently.

The rep I talked to said it was popular before the crash and people were very happy with the max half percent drop during the period of zero rates. I will probably put some money in this product this year.

 

[njhowie]

I saw an interesting CD structure today. A 3 year CD... first year is 1.50%, second year is 2.25% and third year is 4.00%... APY was 2.62%... EWP is last 12 months .... $25k minimum.

Step coupon CDs like this are rarely advantageous to the purchaser. However, many get enticed seeing the higher yield(s) in the latter year(s).

In this case, what is the draw for the purchaser? Accepting significantly below market rates for the first two years? APY through maturity of 2.62% when the market is currently offering 2.9% and 2.95% for the full term?

Pass.