bank rates

BofA’s 1-Year CD Rates Still Its Best Offer

The great majority of Bank of America's CD rates are at or below average.When I last wrote about Bank of America, I lamented the poor CD rates that this big bank offers.

Well, they haven’t improved.

Its “featured CD” is still a 12-month CD, but it now only pays 0.55% APY — down, if you can believe it, from 0.60% — with a $10,000 minimum deposit when opened online.

The rate if you walk into a branch remains 0.45% APY with a $1,000 minimum deposit.

True, both beat the average annual yield that large banks and thrifts are offering for 12-month CDs, which is 0.44%.

But before you pat Bank of America on the back, or do something silly like rush over to Bank of America’s website (www.bankofamerica.com) or one of its 5,900 branches to invest your hard-earned money, know this: That’s the lowest that average rate has been since Bankrate began tracking the term in 1983.

If you’re going to rush anywhere, let it be to our CD Rates Leaderboard for the best nationally available rates in every term.

The current 12-month leader there, MetLife, is paying 1.30% with a $25,000 minimum deposit.

Bank of America’s other CD rates featured online also just squeak past average, with the exception of the 24-month rate, which has dropped:

3-month CD rate is 0.28% APY vs. an average rate of 0.17% APY. (Leaderboard leader is 0.81% APY.)

6-month CD rate is 0.30% APY vs. an average rate of 0.26% APY. (Leaderboard leader is 1.12% APY.)

24-month CD rate is 0.60% APY vs. an average rate of 0.67% APY. (Leaderboard leader is 1.55% APY.)

36-month CD rate is 1.01% APY vs. an average rate of 0.99% APY. (Leaderboard leader is 2.10% APY.)

60-month CD rate is 1.75% APY vs. an average rate of 1.64% APY. (Leaderboard leader is 2.85% APY.)

As with any big bank, check with your branch to find out the exact CD rates for your geographic area.

The Bank of America website automatically features rates for Virginia, since that’s the state it uses to open CDs for savers who live in a state without a banking center.

Find better deals if you compare Bank of America’s returns with the best CD rates from scores of other banks in our extensive database.

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  1. Kathy at Bankaholic said:
    on July 11th at 06:01 am

    The featured 12-month CD rate has dropped to 0.45%.