bank rates

CD Rates Leaderboard For May 4, 2012: New Leaders In 6-, 12- And 24-Month CDs

This is a great page to bookmark so you can always find the best nationally available deals on the most popular CD rates.North Carolina’s KeySource Commercial Bank has been at or near the top of our rankings in several terms on our CD Rates Leaderboard since January.

No more.

The single-branch Durham bank cut CD rates this morning, dropping it from the top spot in 6-, 12- and 24-month CDs.

Here are your new leaders:

Ascencia (www.ascenciabank.com), the online division of PBI Bank in Louisville, Ky., pays 0.81% APY on 6-month CDs. It requires a $500 minimum deposit.

KeySource had been paying 0.85% APY; it now pays 0.75% APY.

Doral Bank Direct (www.doralbankdirect.com), the online bank of Doral Bank, the leading community bank in Puerto Rico that also has five branches in northwest Florida and two in New York City, pays 1.15% APY on 12-month CDs. It requires a $1,000 minimum deposit.

KeySource had been paying 1.15% APY, as well; it now pays 0.90% APY.

CIT Bank (www.bankoncit.com), the online consumer bank of CIT Group Inc., which offers financing to small businesses and middle-market companies, pays 1.20% APY on 24-month CDs. It requires a $25,000 minimum deposit.

KeySource had been paying 1.25% APY; it now pays 1.10% APY.

We had considered CIT Bank’s offer a better deal anyway — even though the yield was slightly less — because it allows savers to hedge both against higher and lower future CD rates.

That’s because this 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, these early May rate cuts make us a bit nervous. In the first four days of May we’ve already seen more changes at the top of the Leaderboard than we saw in all of February or March.

Not a good sign.

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.

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Comments (3)
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3 Existing Comments
  1. personal finance deals said:
    on May 4th at 12:11 pm

    Ascencia is a good deal these days, their savings rates are not bad either. Are there any restrictions in terms of where you live to get these CDs?

  2. Mike Cetera said:
    on May 4th at 12:15 pm

    Ascencia, like all the banks on this list, allow savers anywhere to purchase its CDs.

  3. Kathy at Bankaholic said:
    on June 27th at 07:59 am

    Ascencia has raised its 6-month rate to 0.90% APY. And CIT Bank has raised its 24-month Achiever CD rate 1.25% APY.