bank rates

CD Rates Leaderboard For May 25, 2012: Rate Increase Puts Barclays On Top

This is a great page to bookmark so you can always find the best nationally available deals on the most popular CD rates.Barclays, the big British bank that began offering U.S. online deposit accounts this spring, has just boosted all of its CD rates.

The rate hikes make all of the terms it offers more competitive and, in one case, gives Barclays a share of the lead on our CD Rates Leaderboard.

On 24-month CDs, it now offers 1.25% APY with no minimum deposit.

That’s good enough to tie the deal offered by CIT Bank, the online consumer bank of CIT Group Inc., which offers financing to small businesses and middle-market companies.

We think the CIT deal is a bit more attractive, even though it has a hefty $25,000 minimum deposit.

That’s because CIT Bank’s Achiever CD allows you to add money to your account once (good if rates continue to fall) and bump up the rate once (good if rates increase) during the term.

Still, it’s nice to report about rate hikes in this low interest rate environment.

Barclays ( raised rates on all of its certificates of deposit by as much as a tenth of a percentage point.

Those increases put it near the top of the 36- and 60-month terms.

It now pays 1.80% APY on 60-month CDs, just one one-hundredth of a percentage point behind the term leader.

On 36-month CDs, it pays 1.45%, a tenth of a percentage point behind the term leader.

Banks qualify for our Leaderboard rankings by accepting deposits from all savers, regardless of where they live, either online or through the mail.

We don’t include credit unions because of the restrictions they place in order to open an account.

That doesn’t necessarily make these deals any less valuable (although there are sometimes fees to join); it just means you have to jump through a few more hoops.

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

Have you ever purchased a CD from Barclays? Share your experience below by making a comment.

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Comments (2)
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2 Existing Comments
  1. SeniorSaver said:
    on May 25th at 02:04 pm

    I haven’t purchased a Barclays CD. The reason is that the FAQs say I can’t withdraw interest. That’s a bummer for seniors–not to mention people who like to pay taxes out of cash flows. I do applaud Barclays, however, for its rate leadership.

  2. Kathy at Bankaholic said:
    on June 22nd at 12:37 pm

    Barclays is still paying these rates.