bank rates

It’s Just Crazy To Buy Wells Fargo CDs

Only one special on 58-month CDs offers better than average returns.
Week after week, I lament the CD rates at big banks like Wells Fargo.

If you’re as tired of these posts as I am, you probably wonder why Bankaholic.com keeps featuring them.

It’s because we know savers continue to choose convenience over value when it comes to certificates of deposit, reaping little benefit for investing at the big banks where they already have checking or other accounts.

Please, please stop.

This week reveals that Wells Fargo has once again cut its 58-month special – the most widespread offering at this big bank with more than 6,000 branches – to 0.70% APY in most major markets.

That’s down a tenth of a percentage point since the beginning of October and more than a third of a percentage point since August.

(I found that rate in Boston, Chicago, Detroit and Los Angeles. It remains 0.80% APY in Miami and New York City.)

A $5,000 minimum deposit is required for that “special” CD rate, which doesn’t come close to beating the average annual yield large banks and thrifts are paying for the 60-month term.

That’s still a record-low 0.93%.

A quick hop over to the CD Rates Leaderboard reveals that the top nationally available 60-month CD rate is 1.80% APY.

And the two banks paying that rate, CIT Bank and Nationwide Bank, both allow you to easily open CD accounts online.

Talk about convenient.

Since Wells Fargo’s CD rates, or odd-term specials, aren’t consistently available across the country, you have to enter your ZIP code on the website to get specific rates for your area.

To be honest, that’s too much work.

Learn more about Wells Fargo at www.wellsfargo.com or call 800-869-3557.

There are definitely better deals out there, and you’ll find them if you compare Wells Fargo’s returns with the best CD rates from scores of other 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 (2 votes, average: 5.00 out of 5)
Loading...
No Existing Comments

Comments are closed.