It seems that certificates of deposit rates have been holding steady for the past several months. When you check the CD rate leader board, you see the same banks with the same rates. Currently, the highest CD rate from banks on a 1 year CD is from CIT Bank, this has been so since October. However, it’s good to know that a higher rate is being offered by Digital Credit Union, which is 1.35% on a 12 month CD.

CD Rates from Digital Credit Union

3-5 months – 0.75%
6-11 months – 1.10%
12-23 months – 1.25%
24-35 months – 1.35%
36-47 months – 1.76%
48-59 months – 2.25%
60 months – 2.76%

How These Rates Compare

Other great rates from Digital Credit Union is their 3-5 month rate which currently beats the highest CD rate from banks which is Virtual Bank at 0.60%. And if their short term CDs are competitive, the long term CDs also boast of a better rate than the highest nationally available from banks which is Intervest Bank’s 1.97% Rate.

However, it is common knowledge that credit unions are expected to offer higher rates than banks. So how do these rates compare to other share certificates offered by credit unions? At this point, Navy Federal Credit Union is offering a higher 1 year CD with a 3.00% rate, First American Credit Union also has a slightly higher advantage with a 1 year rate of 1.76%. It goes to show that although Digital Credit Union’s rates can appear stronger than what banks have to offer, other credit unions may have better offers.

Digital Credit Union Membership

Credit Unions are usually restrictive in their membership. In this case however, it appears that anyone can join DCU by becoming a member in one of their participating organizations. For example, Reach Out For Schools is an organization that helps raise money to donate to primary and community schools. Membership starts at only $10. Another organization is American Association of People with Disabilities with a membership of $15. Just pay your membership dues and you are now eligible to join DCU. Of course there are other ways to become a member, membership eligibility can be found in their website.

The fact that DCU can open its doors to just about anyone is also a factor to consider since credit unions such as Navy Federal Credit Union are restrictive in membership. If you want to start growing your savings now, DCU may be the place to start.

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