If you’ve read through my devotion to Ally Bank CDs, you might have seen me mention about Ally Bank’s loyalty reward. I think they’ve finally posted up some official terms online. You can read it here.
Basically, if you renew any of your maturing Ally Bank CD, they’ll offer you an additional 0.25% interest rate boost to whatever is the current interest rate of a new CD. So for example, if you have a 1 year CD maturing on Dec 1, you can roll the CD into another 1 year CD at 0.98%+0.25%=1.23% interest rate. That’s probably one of the few higher CD interest rates out there already.
And don’t forget, once your CD matures, you can add more funds to the CD within the 10 day grace period AND change your CD into a different term. So for the 1 year CD mentioned above, you can roll it into a 5 year CD and make it 1.60% +0.25% = 1.85% interest rate.
I’ve had my CDs matured and renewed with this loyalty reward for the last 2 quarters of my CD ladder, but according to the information on Ally Bank’s website, this loyalty reward offer will end by 12/31/2013. If you have any existing Ally Bank CDs maturing by the end of the year, you might want to take this into consideration when deciding if you want to renew or roll your funds out of a CD.