Welcome back, 3%. We’ve missed you.
Sovereign Bank, which briefly flirted last summer with the top nationally available CD rates, is the first bank or credit union in months to offer savers throughout the country 3% APY on 5-year CDs.
A bank representative said its 3.00% deal requires a $500 minimum deposit and is available online.
There hasn’t been a nationally available deal on certificates of deposit this good since November, when Melrose Credit Union dropped its rates from 3.03%. Melrose had led our 60-month rankings since June.
Wyomissing, Pa.-based Sovereign is owned by Spanish financial giant Santander. Residents of the eight states where Sovereign has more than 700 branches — Rhode Island, Pennsylvania, Connecticut, Maryland, Massachusetts, New Hampshire, New York and New Jersey — can apply in person.
Any saver may apply online or over the phone at 877-768-2265.
The next best nationally available 60-month CD rates are:
2.93% APY with a $5,000 minimum deposit from Melrose Credit Union, which has a single office in New York City.
2.75% APY with a $500 minimum deposit from Danversbank, which has more than 30 branches in the Boston area.
2.75% APY with a $10,000 minimum deposit from Salem Five Bank, which has 22 branches just north of Boston.
2.75% APY with a $10,000 minimum deposit from Kaiser Federal Bank, which has nine branches in southern California.
2.75% APY with a $500 minimum deposit from Astoria Federal Savings, which has 85 branches in Brooklyn, Queens, Nassau, Suffolk and Westchester counties.
These banks and credit unions qualify for our rankings by imposing no restrictions on who can buy their certificates of deposit, either online or through the mail.
Melrose is one of the few credit unions that qualify for our rankings because its unique charter allows anyone to join for only $1, regardless of where they live or work. (You will also be required to hold at least $25 in a savings account.)
Compare these returns with the best CD rates from scores of banks in our extensive database.