Barclays has increased its 5-year and 4-year CD rates yesterday (8/28/2013). The APY went up from 1.65% to 1.90%. The 4-year CD APY went up from 1.45% to 1.55%. All the shorter-term CD rates and the savings account rate held steady.
Online Savings Account
Barclays also has a good deal on its online savings account. It has a competitive rate of 0.90%. The online savings account has several features such as no minimum balance requirement and no monthly fees. Barclays also has a nice ACH transfer system.
The Barclays internet bank is part of Barclays Bank Delaware which is a FDIC member (FDIC Certificate # 57203). The bank is best known in the U.S. for partnering with companies in offering co-branded credit cards. It’s part of the U.S. division of Barclays, a British multinational megabank. The bank has been a FDIC member since 2001.
Compares to 5-Year CD Rate
This rate hike wasn’t enough for Barclays to take the top spot for nationally available 5-year CDs. The best deal is at iGObanking.com which offers a 2.05% APY 5-year CD. Salem Five Direct offers a 2.00% APY 5-year CD. It’s also important to take the early withdrawal penalty into consideration.