Flagstar Bank if offering a competitive 48 month (4 year) CD paying 4.50% APY. The rate may vary by location. BankDeals is reporting that the rate is good in TX, CA, FL and NY. I also tried MA and got the 4.5% APY rate also. Ironically, the rate is only 4.24% APY in Flaglar's market area of GA, MI, IN.

The rate is very competitive. According to the BestCashCow rate tables, the top 3 year CD rate is 3.8% APY while the top 5 year cd rate is 4.06% APY.

Bauer Financial provides a 2 Star rating for Flagstar (out of 5 stars) for safety and soundness, reflecting the bank's problems with delinquent mortgages and foreclosures. According to the Detroil Free Press, the bank has approval to receive $266 million from the $700 billion TARP. The deal is dependent on Flagstar raising $250 from MatlinPatterson Global Advisers LLC, a New York private equity firm specializing in distressed companies.

As always, be sure to stay within FDIC limits when making a deposit or opening an account.

Thanks to BankDeals for finding this offer.

EBSB Direct is offering a 10-month CD that pays 1.77% APY with a minimum deposit of $1,000. That rate is competitive, putting it above the best 6-month cd rates and just below the best 12-month cd rates.

The rate is available nationally and the account can be opened online. The rate locks once the application is submitted. Funding can be done via an ACH electronic transfer from another account. Beneficiaries can be added on the application.

EBSB Direct is a division of East Boston Savings Bank. The bank has been in existence for 160 years and has assets in excess of $1 billion. In 2006, East Boston Savings Bank, the parent of EBSB Direct went public, using the holding company name Meridian Interstate Bancorp. The company trades on the Nasdaq under the symbol EBSB.

In addition to CDs, the bank also offers a high yield savings account.

One West Bank, formerly Indymac Bank, is offering a 10-month CD that pays 2.15% APY. That compares very favorably to the top 12-month CD rate of 2.20% APY.

One West Bank is the entity that emerged from the collapse of Indymac. The bank was purchased by several private equity investors who along with the FDIC recapitalized the bank and renamed it One West Bank.

Like its predecessor, One West Bank has competitive savings and CD rates. The bank also has a relatively easy online application and makes its rates available nationally. In fact, many of its best rates, like the 10-month CD are only available online.