Bank of America is offering a competitive 48-Month CD paying 3.01% APY. The bank is also offering a 12-Month High Yield CD special at 2.5% APY and a 9 Month Risk Free CD paying 2.5% APY.
Bank of America is offering a competitive 48-Month CD paying 3.01% APY. That's a top 48-month CD rate according to the BestCashCow rate tables. Unfortunately, Bank of America does not offer one rate for the entire country. I checked a few states and the rate was available in MA, TX, FL but not in NY and CA. The minimum balance to get this rate is $10,000.
Bank of America is offering a 2.5% APY 12-Month High Yield CD special in select states. That's also a competitive 2 year CD rate. The minimum balance to get this rate is $5,000.
BankDeals also reported today that Bank of America is offering a 9 Month Risk Free CD paying 2.5% APY. The base rate is 2.25% APY and the bank gives you an extra .25% return if you fund the CD with new money. As a comparison, the top 6 month CD rate is 2.60% APY and the top 12 month CD rate is 2.95% APY. The minimum balance to get this rate is $5,000.
The risk free CD allows you to withdraw the money penalty free any time you want, as many times as you want as long as the balance does not go below $1,000. It's actually a pretty compelling offer because it allows you to lock in a competitive rate and then withdraw most of the funds if rates go up or you need the cash.
As the big bank CD comparison rate chart shows, Bank of America is currently the most rate aggressive of the big three banks (Chase, Wells Fargo, Bank of America).
Out of the big three banks covered on BestCashCow, Chase seems to have the most competitive rates and has dropped the least over the last month.
In general, the big banks do not have as competitive savings rates, certificate of deposit rates, or money market rates as the Internet banks or the regional banks that frequently top the BestCashCow rate tables. They have a different model. Instead of top rates, they offer the convenience of a branch on every corner with human interaction and an extensive ATM network. The cost to maintain these branch and ATM networks is significant and comes out of the yield you could earn on your accounts.
But some people prefer the convenience of walking into a branch and like having an ATM at every corner. For those that do, we cover three of the big banks and look at how their rates differ. Obviously, not everyone will have access to these banks but a comparison provides some idea of how the big three - Chase, Bank of America, and Wells Fargo compare across various CD terms.
First, how much yield are you giving up depositing money at one of these banks? If we compare 12 month (1 year) Certificate of deposit rates we see the amount can be substantial. Below shows you the difference:
Current BestCashCow 12 month CD rate leader: GMAC 3.75% APY
Chase rates have also dropped the least of the big banks. There 1 year 2.25% APY rate hasn't moved at all and while the 60 month (5 year) CD dropped by 1 percentage point, it is dropped from the leading rate down to the third leading rate.
Chase is considered the most financially sound of the big banks, having largely avoided the mortgage problems that brought down many of its peers. It used its financial strength to purchase WaMu in September '08. It now appears to be using that financial muscle to grow its deposit base and take market share from its weakened big bank competitors.
NOVA Bank of Pennsylvania is offering an 18 month CD for 4.25% APY, a leading rate for that term.
NOVA Bank of Pennsylvania is offering an 18 month CD for 4.25% APY, a top rate for an 18 month cd according to the BestCashCow rate table. The CD can be opened online or via the phone. The bank's application process requires you to mail back a signature card along with two forms of indentification, one of them being a valid driver's license.
The minimum deposit amount is $500 and the maximum is $1,000,000. Like all CDs there is a penalty for early withdrawal which in this case is 180 days of interest.
NOVA Bank is a Pennsylvania chartered bank with approximately $519 million in assets. It has 3.5 star out of 5 soundness rating from Bauer Financial.
BestCashCow is the most comprehensive bank rate site on the Internet. Since 2005, we have monitored savings account, money market account and Certificate of Deposit rates from over 8,000 banks and 7,700 credit unions to find and display the best offers for those looking to earn and save more. You can learn more about the company here.
BestCashCow is the most comprehensive bank rate site on the Internet. Since 2005, we have monitored savings account, money market account and Certificate of Deposit rates from over 8,000 banks and 7,700 credit unions to find and display the best offers for those looking to earn and save more. You can learn more about the company here.
