LOS ANGELES (5/13/14)--Old news is good news for consumers who make credit unions their financial institution of choice. Credit unions continue to have better rates than banks on certificates of deposits, on average--between 1.5 and 1.75 times higher, depending on the term, according to the latest information from GoBankingRates.com.
GoBankingRates surveyed current CD interest rates across six-month, 12-month and 24-month terms, finding that rates have steadied in the last year.
Credit unions offered an annual percentage rate of 0.65% on 24-month CDs, compared with a 0.47% APY for banks on certificates with the same term. On 12-month CDs, credit unions offered an average a 0.42% APY, while banks offered 0.29%. Credit unions on average extend a 0.28% APY on six-month CDs, compared with a 0.18% rate for banks.