Ranked as the world’s largest credit union, Navy Federal Credit Union has much to offer its members. Along with an extensive network of Navy Federal locations and ATMs — as well as 24/7 access to mobile and online banking services — NFCU boasts a number of financial products and services, including loans, credit and certificates of deposit.
About Navy Federal Credit Union CD Rates
Navy Federal offers a variety of CDs — from special options to standard certificates — to suit your financial needs. For standard CDs, minimum deposits start at $1,000. Terms range from three months to seven years.
To give you an idea of the rates that NFCU offers, a six-month standard CD under $100,000 earns 1.90% APY, whereas a one-year standard CD under $100,000 earns 2.25% APY. For the highest rate on a standard CD that NFCU offers, you would need to open a five-year CD, which carries a 3.50% APY.
NFCU also offers special CD rates in 12-month, 18-month, three-year or five-year terms. The 12-month Special EasyStart certificate only requires a $50 minimum deposit and carries a 3.50% APY. The 18-month certificate requires a minimum deposit of $1,000 and offers a 2.35% APY. The three-year variable certificate requires a minimum deposit of $500 with a 2.65% APY, and the five-year CD requires a minimum deposit of $1,000 but carries a higher rate of 3.50% APY.
|Navy Federal Credit Union Standard CD Rates|
|CD Term||6-month CD||12-month CD||60-month CD|
|Rates accurate as of July 9, 2018|
How Navy Federal Credit Union Rates Compare
To help you decide whether Navy Federal’s five-year CD rate of 3.00% APY is competitive or not, consider that the same product at Capital One has a 2.90% APY, Barclays has a 3.05% APY and Ally Bank has a 3.10% APY.
On a twelve-month CD, however, Capital One’s 2.50% APY beats NFCU’s standard rate of 2.25% APY. The same goes for Barclays’ 2.70% APY and Ally Bank’s 2.40% APY.
Find Out: How Often Do CD Rates Change?
Advantages of Navy Federal Credit Union CDs
Navy Federal Credit Union offers competitive rates on its CDs. Here are some of the other advantages:
- Rate will not decrease more than 0.50 percent during term
- 21-day grace period after maturity to change renewal options
- Dividends compounded daily and credited monthly
- Manage CDs with Navy Federal Credit Union app
Disadvantages of Navy Federal Credit Union CDs
Before deciding to invest in a financial product, it helps to consider the disadvantages. Here are a few you should be aware of:
- Withdrawal of funds on a CD of one year or less forfeits 90 days of interest
- Withdrawal of funds on a CD of more than one year forfeits 180 days of interest
- Withdrawal of funds on a CD of five years forfeits one year of interest
Are Navy Federal Credit Union CDs a Good Deal?
Although you might be able to find a better deal on short-term CDs elsewhere, Navy Federal Credit Union’s standard five-year CD offers a very competitive rate of 3.50% APY. For those new to investing, the one-year Special EasyStart certificate also offers a competitive 3.00% APY. If you are just getting started in investing or you don’t mind tying up your funds for five years, an NFCU CD could be a good deal.
Click through to read about why it’s smart to ladder your CD accounts.
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