bank rates

5-Year CDs A 2013 Bright Spot

woman holding cash in both handsWithout a doubt, 60-month CD rates have won the year.

Although this term remains miles away from respectable, 5-year CDs easily have been the best performers on our CD Rates Leaderboard in 2013.

The term is on track to end December just over three-tenths of a percentage point higher than where it began in January.

No other term we track came close, and two terms — 3-month CDs and 24-month CDs — are poised to end 2013 with lower top nationally available rates than they began.

The success of the 60-month term is partially thanks to two increases this month from EverBank.

The Florida bank hiked its rate to 2.11% APY on Dec. 6, and then inched up to 2.12% APY on Dec. 13.

The average annual yield offered by large banks and thrifts for the 60-month term hasn’t fared nearly as well. It was 0.90% APY on Jan. 2, but now sits at 0.78% APY – only a single basis point (or one-one hundredth of a percentage point) higher than the record low set July 31.

Chart showing the top and average 60-month CD rates

EverBank (, which is primarily an online bank with 14 branches in Florida, requires a $1,500 minimum deposit.

The New York branch of the State Bank of India (, the FDIC-insured New York branch of India’s largest bank, which operates independently of other U.S. branches, continues to pay the 2.05% APY it once led this term with and requires a $5,000 minimum deposit.

Virtual Bank (, the online division of Sabadell United Bank, which has 23 branches in Florida and is owned by Banco Sabadell, Spain’s fourth-largest bank, has the third-highest rate of 2.02% APY and requires a $10,000 minimum deposit.

GE Capital Bank (, one of two online banks, each with its own FDIC insurance, that are subsidiaries of GE Capital Corp., the financial services unit of the manufacturing giant, pays 2.01% APY and requires a $500 minimum deposit.

Five banks pay 2.00% APY:

Barclays (, which is the online American operation of the worldwide British bank with more than $2 trillion in assets, has no minimum balance requirement.

BBVA Compass (, which has 688 branches in the Sunbelt region, requires a $500 minimum deposit.

GE Capital Retail Bank (, the other bank that’s a subsidiary of GE Capital Corp., requires a $25,000 minimum deposit.

iGObanking (, which is the online division of Flushing Savings Bank, which has 17 locations in New York, requires a $1,000 minimum deposit.

Salem Five Direct (, the online division of Salem Five Bank, which has 23 branches just north of Boston, requires a $10,000 minimum deposit.

These banks qualify for our rankings by imposing no restrictions on who can buy their certificates of deposit, either online or through the mail.

You can compare these returns with the best CD rates from scores of banks in our extensive database.

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Comments (1)
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One Existing Comment
  1. Mike Cetera said:
    on December 15th at 10:06 am

    More good news — iGObanking has raised its rates to 2.15% APY.