This rate move causes AloStar to take the lead over Sallie Mae Bank who offers a rate of 1.20% APY with no minimum balance.

To get the 1.21% rate from AloStar Bank of Commerce, you will need to deposit a minimum of $1,000.

Since the middle of August there have been multiple rate changes, most of them have been cuts. Even AloStar had cut its interest rate on their 12 month CD by a tenth of a percentage point but now has increased their rate back to the top of the list.

Here are the next best 12 month CDs being offered:

• Sallie Mae Bank is the online bank of the student loan company pays 1.20% APY with no minimum deposit.
• MainStreet Bank, based out of Virginia but sells its CDs nationally through their (www.airbanking.com) website pays 1.16% APY with a minimum deposit of $500.
• Virtual Bank, the online bank of Sabadell United Bank out of Miami Florida offers 1.16% APY with a minimum deposit of $10,000.

So far interest rates have continued their overall downward fall, but for how long? No one really knows when interest rates will increase. If you keep watching, some banks offer promotions which come and go as quickly as interest rates have been decreasing. Last year we watched iGoBanking offer some of the best interest rates on CDs and their promotions would only last 2-3 days at a time.

Our CD rate table offers a look at some of the better CD rates on the market today. Be sure to check back often as rates can change at a moments notice.

Melrose Credit Union still holds 3 of the top spots with the best rates on the 12 month, 36 month and 60 month CDs.  Melrose has consistently held the top spot for multiple CD terms for many months and their $1 joining fee makes it a very enticing investment.

Be sure to check out our top CD rates from our CD rates board.

Not only do both of these financial institutions hold the top spot for many CDs, but they blow away the national average (0.59% APY – 1 year CD) for any certificate of deposit on the market today. In a struggling economy it’s difficult to find a decent rate of any kind, unless if you are planning on refinancing your mortgage or buying a house. Mortgage rates are falling to all time lows, which are good for people in the home buying market, but rates in the savings market are dismal.

The next best CD rates for the 1 year term are as follows:

• 1.48% APY from Bank of Internet, with a minimum deposit of $1,000.
• 1.45% APY from MetLife Bank, with a minimum deposit of $25,000.
• 1.40% APY from Ascencia, with a minimum deposit of $500.

As the economy strengthens and interest rates increase, so should CD rates. All eyes are on what will happen next year and whether CD rates will increase in 2011, only time will tell.

These rates continue to hold steady for the week of July 26, 2010. To find all of the current CD Rates, be sure to view our CD Rate tables.

• Fort Knox Federal Credit Union in Radcliff, KY is offering a 3 Month CD at 1.40% APY with a required minimum deposit of $500.
• Fort Knox Federal Credit Union is also offering the best 6 Month CD at 1.40% APY with a minimum deposit of $500.
• Melrose Credit Union located in Queens, New York is offering a 12 Month CD at 1.76% APY with a minimum deposit of $5,000.
• Melrose Credit Union is also offering the best 24 Month CD rate at 2.02% APY, the best 36 Month CD rate of 2.52% APY and the best 60 Month CD rate of 3.29% APY all with a minimum deposit of $5,000.

You have to become a member with both of these credit unions before you can gain access to their top CD rates. Both credit unions have a low joining fee, which may start to eat into your earnings if you plan on only investing a small amount of money.

Your deposit at Fort Knox and Melrose Credit Union are insured by the National Credit Union Administration (NCUA), which is like the FDIC for banks.

You can always compare the best CD Rates from many banks and credit unions in our database.

A 6 month CD at 1.15% is a great deal with little risk. If rates increase in the next 6 months you will be out of this CD and ready for the next best CD. Interest rates are expected to increase later this year and into early next year so if you plan on investing long term into a CD, it would be best to wait until rates increase. Another option is to get into an Ally CD with the option of a one time rate increase. We are seeing more and more banks give this option, which allows you to lock in a higher rate while being locked into a long term CD. Without a one time option to increase your rate, you would have to get out of the CD (certificate of deposit), pay an early termination penalty and then lock into the higher rate.

Colorado Federal Savings Bank is also offering a 12 month CD at 1.45% APY and a 24 month CD at 1.95% APY, which are both higher than the national averages of 0.83% and 1.30% respectively.

They are also offering 36 month CD rates at 2.30% APY and 60 month CD rates at 2.80% APY.

For the most current rates from Colorado Federal Savings Bank, visit their CD Rates page here.

You can find more information by visiting Umbrella Bank’s home page. One of the great benefits of Umbrella Bank is that they make it easy to open a new CD account with their online application and initial funding via an ACH transfer.

Be sure to check with the bank to make sure they are federally insured. A Financial Health Notice: On May 15th, 2009 the Office of Thrift Supervision released a cease and desist order to the parent bank, New South Federal Savings Bank, Irondale, Alabama, which can be reviewed here. Because of this the Bauer Financial currently has the bank at a safety and soundness rating of 0 stars out of 5.