bank rates

Big Rate Hike Yields New 5-Year CD Leader

Big Rate Hike Yields New 5-Year CD LeaderFor the fourth time in April, we have a new top nationally available 60-month CD, this time thanks to a huge rate boost.

VirtualBank, the Florida-based online division of Sabadell United Bank, today raised the yield on its 5-year CD by nearly three-tenths of a percentage point.

That’s enough of a rate hike to push this bank’s eCD to the top of our CD Rates Leaderboard.

With a $10,000 minimum deposit, VirtualBank pays 2.31% APY on its 5-year CD, up from 2.02% APY.

This is the first time VirtualBank has led this term under the ownership of Sabadell United Bank, which has 23 branches in Florida. VirtualBank’s former owner, Lydian Private Bank, failed in 2011 and Sabadell acquired its deposits.

Sabadell United is owned by Banco Sabadell, Spain’s fourth-largest bank.

VirtualBank now just edges out former term leader GE Capital Retail Bank, which this week increased its offer from 2.25% APY to 2.30% APY. GE Capital Retail Bank (www.gecrb.com) is one of two online banks operated by the financial services unit of General Electric.

It’s not all good news from VirtualBank, though. It also cut 12- and 24-month CD rates today – two terms in which it had topped our Leaderboard. Update (May 1): VirtualBank raised its 12- and 24-month CD rates back to where they were earlier this week. It now again leads these two terms as well.

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

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

Don't miss out on the next bank deal. Get the newest deals delivered straight to your inbox!

Comments (0)
1 Star2 Stars3 Stars4 Stars5 Stars (4 votes, average: 4.75 out of 5)
Loading...
No Existing Comments

Comments are closed.