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3.25% APY for 5-year certificate of deposit with Northwest Federal Credit Union, 1 year Add-on CD at 1.52% APY

Posted on February 14th, 2010

Northwest Federal Credit Union offers consumers their best cd rates for their midterm and long-term certificate of deposits. The most competitive interest rates are offered for their 2-year CD earning 2.12% APY and 5-year CD with 3.25% APY. These require a minimum funding of $2,500 and have a cap of $25,000.

The other money in the bank deals has the following interest rates:

Term           $500 to $2,499     $2,500 to $24,999     $25,000 to $99K
6 months             n/a                   1.21% APY                   1.31% APY
1 year                 1.42% APY          1.47% APY                   1.52% APY
2 years               2.07% APY          2.12% APY                   2.17% APY
3 years               2.43% APY          2.53% APY                   2.58% APY
4 years               2.69% APY          2.79% APY                   2.84% APY
5 years               3.15% APY          3.25% APY                   3.30% APY

These cd interest rates are posted as of February 8 but may change any time. It will be best to visit their website or call the bank for the latest figures.

The credit union is still offering the add-on certificates of deposit. The 1 year add-on CD requires a minimum opening balance requirement of $500 and has a current interest rate of 1.52% APY. The 2-year add-on certificate has a 2.17% APY and also requires $500.

Details about the CD

Upon application for the certificate of deposit, you can fund your account via ACH when you apply online. You can also wire money to your share savings deposit and contact the credit union to open a CD for you. They also have shared branches which can accept your deposits.

The bank imposes early withdrawal penalties amounting to all dividends withdrawn for CD with terms of 6 months or less. CDs with six months or longer maturity dates, the penalty is at least equal to 180 days or less of earnings or all of the dividends of the amount withdrawn. They may also ask you to close the certificate in case you take out an amount and the balance falls below the minimum required of the certificate.

The credit union gives a 10-day grace period upon the maturity of the account. You can call the credit union and instruct them to roll over the funds to the existing cd, deposit the proceeds to a liquid account, or send the earnings to you as check.

Membership

Membership to the Northwest Federal Credit Union is basically via select employee groups. The credit union also accepts members from the American Consumer Council. The ACC does not collect any membership fee when you sign up. When you sign up for Northwest you can opt to join the ACC. The Northwest FCU requires a membership fee of $5. You can also use the website to open accounts like certificates of deposit.

The credit union has offices spread across Virginia. These branches are strategically located in Manassas, Herndon, Vienna, and Chantilly. The shared branches can also help you out with withdrawals, deposits, and other transactions with Northwest FCU.

Northwest Federal Credit Union is covered by the NCUA under the charter number 5500. This credit union is a large organization with assets amounting to about $1.7 billion and close to 100,000 members.

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Tags: Credit Union, Federal Credit, Federal Credit Union, Year
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