A few local banks and credit unions in Massachusetts are offering extremely high yields on their 5 year deposits when compared to today’s national average.
Highest Yielding 5 Year CD Rates in Massachusetts (May 2012):
1) Institution for Savings In Newburyport (Newburyport, MA) – 5 year CDs yielding 2.50% APY requiring a minimum deposit of $500. This bank was founded in 1820 by 34 well-to-do businessmen in Massachusetts and today controls roughly $1.3 billion in assets. Contact them at InstitutionForSavings.com or (978) 462-3106.
2) Merrimack Valley Federal Credit Union (North Andover, MA) – 5 year CDs yielding 2.30% APY requiring a minimum deposit of $500. Like many credit unions this one is a tad exclusive when it comes to membership. Unless you live, work, or attend school in the Merrimack Valley region of Massachusetts, you wont be eligible to join. Merrimack Valley Federal Credit Union has grown from just $1 million in assets in 1955 to just over $100 million as of 2012.
3) American Airlines Federal Credit Union (Boston, MA) – 5 year CD yielding 2.27% APY requiring a minimum deposit of $10,000. AAFCU has been covered a number of times on BankVibe.com over the years with their generally high standard on savings rates. Our only complaint with AAFCU is that they require a significantly larger minimum deposit than most local and regionally based banks and credit unions. To join this credit union you’ll need to have someone in your immediate family who works in the airline industry.
Putting the rates (above) in perspective: Today’s national average for 5 year CDs sits at roughly 1.50% APY and the highest yielding 5 year deposit from our database of banks accepting deposits nationwide is just 1.77% APY (from Intervest National Bank).