If you’re stashing away funds in a CD in 2014, it’s likely not a decision you’re too excited with. So far this year we haven’t seen too much movement in shorter term deposit rates (either up or down) on a national level, although we’ve seen a slight uptick in 5 year CD’s.
If you’ve come to the conclusion though that a CD is the only investment you’re interested in, we’d suggest you check out some of the options at your local credit unions. We’ve narrowed in on some of the top rates in Florida just to highlight the differences in rates you can garner when opting for these locally based institutions.
Top Five 12 monthCD Rates in Florida from Local Institutions (as of March 2014):
1. Doral Bank (Pensacola, FL) has a 6 month CD yielding 1.0% APY with a minimum deposit requirement of just $500.
2. South Florida Credit Union (Miami, FL) has a 12 month CD yielding 1.26% APY with a minimum deposit requirement of just $200.
3. Beal Bank (Coral Gables, FL) has a 12 month CD yielding 1.11% APY with a minimum deposit requirement of $1,000.
4. Northrop Grumman Federal Credit Union (Saint Augustine, FL) has a 24 month CD yielding 1.25% APY with a minimum deposit requirement of $2,500.
5. Navy Federal Credit Union (Winter Park, FL) has a 36 month CD yielding 1.45% APY with a minimum deposit requirement of $10,000.
To put the offers above in perspective check out the national averages (as of March 2014) for deposit rates:
- 6 month CD national average 0.53% APY
- 12 month CD national average 0.84% APY
- 36 month CD national average 1.05% APY
Since the FED is likely to slow it’s purchasing of long term treasury bonds, we should see some noteworthy up-tick in rates (especially long term rates such as 5 year CDs or longer), but I still wouldn’t expect too much in the way of short term CD rate hikes until perhaps the last few months of the year.
CD rate shoppers who opt for local institutions, however, will at least be able to snag significantly higher interest rates on shorter term deposits than they would from national banks. In our survey above of local banks and credit unions in Florida you’ll see that you can find 6 months deposits with rates near double that of the national average and these sort of deals do not solely exist in Florida either. Compare local vs. national rates in your area below.