bank rates

Highest CD Rates Roundup For Sept. 7

Bringing you the very best CD rates from credit unions and local banks.Today’s jobs report was, to put it charitably, not good.

The country added just 96,000 jobs in August, according to the Labor Department, which is considerably lower than what economists had estimated.

While this was greeted as potentially good news for the stock market, for the very same reason it could be bad news for savers.

That’s because the Federal Reserve Open Market Committee is meeting next week.

Prior to each of its last several meetings, we’ve worried that the Fed’s rate-setting committee would do something to further erode interest rates in the name of propping up the economy. At each of those meetings, the Fed has done nothing.

But this jobs report will only make the drumbeat louder.

“It seems the report started to fan the flames we’ll have some announcement about a stimulus next week,” Gene McGillian, an analyist and broker at Tradition Energy in Stamford, Conn., told Bloomberg.

Still, initial reaction on what might happen is mixed.

Some prognosticators say this latest report — which included downward revisions on job creation for the previous two months, as well — will prompt Ben Bernanke & Co. to act, if only to push the timeline out further for when short-term interest rates might increase.

Others say they believe the Fed will do nothing prior to the presidential election.

Stay tuned.

Since we track all the highest CD rates in the country, we know it’s getting harder to find certificates of deposit that pay 2% or more.

If the Fed acts, expect the bar for the top rate to be lowered.

With a rate cut from U.S. Senate Federal Credit Union, the highest nationally available 5-year CD pays just 2%. Connexus Credit Union offers that deal, but you’ll need to open a checking account to be eligible. The best bank deal on our CD Rates Leaderboard pays 1.86% APY.

This week, we added one local bank and one local credit union to our list of deals:

  • Bay Bank (www.baybankmd.com) pays 2.02% APY on 5-year CDs and 1.51% APY on 3-year CDs with a $1,000 minimum deposit. You must be a Maryland resident to purchase these certificates, and you must do so in person at its branch in Lutherville or in Salsbury.
  • Mississippi Telco Federal Credit Union (www.mstelco.org) pays 2.27% APY on 5-year CDs, 1.51% APY on 30-month CDs and 1.31% APY on 2-year CDs with a $1,000 minimum deposit. Credit union membership is open to those who live, work, worship, attend school or volunteer in certain areas of Pearl, Miss., as well as employees and their families and household members of affiliated select employee groups.

Besides the rate cut from U.S. Senate Federal Credit Union — which fell off our list — we have just one other rate change to report: Houston Police Federal Credit Union, which monkeys with rates every week, changed its 6-month CD to 1.07% APY from 1.06% APY and its 15-month CD to 1.49% APY from 1.48% APY.

You’ll find all the top-paying deals clearly marked on our highest CD rates page, showing where they are available, with a quick link back to the original post, which includes more information on the institution and its requirements.

We’ll update this page weekly, so you’ll always know what great deals are out there from credit unions and local banks.

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Comments (2)
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  1. SeniorSaver said:
    on September 7th at 02:27 pm

    It looks like the Bernanke wind-up doll has been readied by Wall Street and will squawk “quantitative easing” on schedule next week.

  2. Sr. Saver II said:
    on September 7th at 02:48 pm

    Hello Ben,

    Remember us? The seniors who saved and saved for a lifetime and now you are sinking us.