With today’s standard APY fixed at a 1-year CD of 0.99%, finding rates higher than this is like finding a pot of gold at the end of the rainbow – lucky and very rewarding. Specifically created for the benefit of members of the US military, the Pentagon-Federal Credit Union offers an interest rate of 1.50% annually in their certificate of deposit accounts. This offer is among the highest there is today, alongside Doral Bank’s 1.50% and AloStar Bank of Commerce’s 1.030% APY.
The Money Market Certificate
While traditional CD offers compounding your deposits annually at the least, the Pen-Fed offers what is called the Money Market Certificate. Here, your money can be compounded in six months. After this, you can have the option to transfer the amount to another account, or credited at maturity as well.
In order to open a new account, you need to deposit only a minimum of $1,000. Penalty fees are issued when the account is withdrawn before it reaches maturity, however, you may utilize 95% of the initial amount for the certificate to be used as collateral when you loan.
Upon opening an account, you are automatically given free reign over the dividend options of your certificate. You may get to choose any of the following actions:
1. Sum up the dividends to your certificate
2. Have them transferred to your Checking, Sharing, or Money Market Account
3. Sent to you through a check
Upon maturity of the principal amount, you can use any of the aforementioned choices as well.
Unless you inform Pen-Fed of any changes in your decision, automatic renewal of the certificate will ensue.
Truly, the Pen-Fed Credit Union allows those in service to not only save lives, but save their money as well.
For over 77 years, the Pentagon Federal Credit Union has catered to the banking and financial needs of members from the US Army, Air Force, Department of Homeland Security, Coast Guard, Department of Defense, veterans of foreign wars, and other defense-related companies.
With over $15 billion in assets and its strong credibility built from years of experience, the Pen-Fed Credit Union is one of the most stable and trusted companies in the country. Just like its members, the men and women that help protect our nation, the Pen-Fed is well-reputed for its attention to the utmost security of its accounts.