SEATTLE–The average credit union CD rate APY was approximately 17% higher than average bank CD rate APY during June, according to a new report.
CD Valet, a digital marketplace for certificates of deposit, also noted that during June. approximately 42% of CD rate changes were an increase, despite the federal funds rate remaining unchanged.
In its monthly Ratewatcher report, CD Valet said its review of more than 30,000 retail CD rates offered by more than 4,000 banks and credit unions found 734 rate APY increases reported during the month, averaging 35 basis points. There were 1,027 CD rate APY decreases, averaging 23 basis points.
Other Data Points
In addition to the credit union CD pricing advantage outlined above, CD Valet also reported:
- Of the institutions that increased CD rates, approximately 58% were credit unions while approximately 42% were banks.
- Of the top 25 12-month CD rates, 24 of those rates were offered by a credit union, with one being offered by a bank.
- The majority of rate increases (approximately 17%) came from CDs with 12-month terms.
