LOS ANGELES (10/29/14)--Across the board, credit unions nationwide offer higher rates on certificates of deposit (CD) than banks. Period.
GoBankingRates.com recently compiled a state-by-state list of the best CDs in the United States, and at the top of each list--for six-month, one-year, two-year and five-year CD rates--credit unions dominated (GOBankingRates.com Oct. 27).
Only for the six-month rate did a credit union not rank No. 1.
For one-year CD rates, the top five spots belonged to credit unions, with Hanscom FCU, Hanscom Air Force Base, Mass., with $1 billion in assets, topping the list at a 3% annual percentage yield (APY).
For two-year rates, where seven out of the top 10 were credit unions, Kauai Government Employees FCU, Lihue, Hawaii, with $105 million in assets, led the way with a 1.75% APY.
Four credit unions topped the five-year rate category, with Chartway FCU, Virginia Beach, Va., with $1.9 billion in assets, at the top, offering a 2.52% APY.
And while one bank is offering an abnormally high rate for the six-month CD, credit unions make up the majority of the spots in the top 10, with Service CU, Portsmouth, N.H., with $2.4 billion in assets, coming in at No. 2 at a 1.35% APY.
Additional findings from the GOBankingRates.com survey:
The study was completed by compiling rates from GOBankingRates and Informa Research Services databases. The rates are accurate as of Oct. 10.