| Title: | DCU |
| Notice: | 1996 BoD Election results in 1004 |
| Moderator: | CPEEDY::BRADLEY |
| Created: | Sat Feb 07 1987 |
| Last Modified: | Fri Jun 06 1997 |
| Last Successful Update: | Fri Jun 06 1997 |
| Number of topics: | 1041 |
| Total number of notes: | 18759 |
There has been discussions in this notes file about how DCU's
rates are no longer competitive. Just to check on this, I called
DCU's Hotline and the RateLine for Nashua Federal Savings to compare
the rates on CDs. (To eliminate having too many numbers, I'm listing
only the "yields" percent, not the base rate.)
Item DCU <5K DCU >5K NFS <15K NFS >15K
(100 min) (500 min)
-----------------------------------------------------------------------
3 month 7.14 7.12 7.32
6 month 7.14 7.52 8.03 8.30
1 year 7.79 8.14 8.41
2 year 7.79 8.19 8.46
3 year 7.79 8.46 8.73
4 year 7.79
5 year 7.79 8.46 8.73
6 year 7.79
Money market account 6.40 (RSVP) 5.75
IRA 6 month 7.68 8.14 8.41
IRA 1 year 7.68 8.25 8.52
IRA 2 year 7.68 8.57 8.84
Notes:
1) Both sets of data were "for the week ending February 19th".
2) NFS has a version of the 1 year CD called the "TaxSaver"
that yields the same interest rate, but is paid in one lump sum
at the maturity date instead of being compounded daily. This way,
the interest earned on it is taxed entirely in the 1989 calander
year (assuming buying the CD today).
3) The NFS 1, 2, 3 and 5 year CDs have a "bump-up" clause.
Once during the life of the CD (but not during the first six months
of the CD), you can bump its interest rate up to the current rates
if interest rates have risen. If interest rates go down, your interest
rate stays the same.
Conclusion:
In only two instances, a 3 month CD of between $5K and $15K
and the money market fund, Nashua Federal Savings offers substantially
better rates than DCU.
-craig
| T.R | Title | User | Personal Name | Date | Lines |
|---|---|---|---|---|---|
| 84.1 | Conclusion bacKwards? | BAGELS::LEVY | A graph > An infinite # of #'s | Tue Jan 19 1988 12:28 | 16 |
re: < Note 84.0 by CRAIG::YANKES >
> In only two instances, a 3 month CD of between $5K and $15K
> and the money market fund, Nashua Federal Savings offers substantially
> better rates than DCU.
Isn't NFS better than the DCU on every account _except_ the two you
cite?
> Item DCU <5K DCU >5K NFS <15K NFS >15K
> (100 min) (500 min)
> -----------------------------------------------------------------------
> 3 month 7.14 7.12 7.32
7.14 is not substantially better than 7.12
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| 84.2 | Yikes! Accidently *quite* backwards... | CRAIG::YANKES | Tue Jan 19 1988 12:59 | 14 | |
Re: .1
Whoops! I meant to say "with the exception of only two
instances...". Yes, most definitely, NFS is better than DCU.
>7.14 is not substantially better than 7.12
True, but I didn't want to look like I was dumping on DCU too
hard. :-) DCU was higher in that case, but, as you pointed out, not
by a large margin by any stretch of the imagination! Really, DCU's
only nice account is the RSVP account in this comparison.
-c
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