Last week, we learned a few new things about some of the biggest U.S. banks. Over the weekend news hit that Bank of America, at last check the 2nd largest bank by asset size, will postpone plans to raise fees on checking accounts, a welcome announcement for thousands of consumers. Secondly, we found out that Wells Fargo finally expanded its mobile check deposit capabilities to mobile banking customers across the country.
These developments are all well and good for big bank customers, but unfortunately these banks still fall short in terms of savings and CD rates. Currently, the highest CD yield offered at BofA (for a 5 year CD) is an abysmal 0.35%. Wells Fargo’s offerings are just a bit better, with a special 58 month CD at 0.70% APY, but still well below the national average. Consumers are better seeking higher yields through online banks, community banks or a credit union.
|Length of Term (months)||Average Promo APY||Average Reg. APY|
CD rates that beat the average
|APCO Employees CU||AL||6 months||1.01%||Min $2,500|
|SouthWest Community CU||AZ,NV,UT||6 months||1.00%||Min $500|
|URW Community FCU||VA||6 months||1.00%||Min $500|
1-2 year CDs
|PATELCO CU||CA||12 months||5.00%||SPEC: New members only; Min/Max $1,000|
|Gulf Coast FCU||TX||2 years||1.85%||Min $500|
|Northwoods CU||MN||2 years||1.51%||Min $1,000|
3+ year CDs
|Progressive CU||NY||5 years||2.32%||—|
|Menominee County FCU||MI||5 years||2.29%||Min $10,000|
|American Airlines FCU||TX||5 years||2.27%||Min $10,000|
Banking image via shutterstock