Ally Bank CD Rates Lowered
Ally Bank's no penalty 9 month CD has also been lowered - the annual percentage rate is now 2.27 percent, down from 2.47 percent, with a new annual percentage yield of 2.30 percent, down from 2.50 percent.
Depositors who use a certificate of deposit as a safe investment option are going to lose out, not only because Ally Bank has lowered their bank CD rates, now other banks will feel less pressure to raise their CD rates to a level to compete with Ally.
I wonder if the ABA will be satisfied with the lowered rates since Ally Bank is still offering some of the top CD rates around. Their 5-year CD still yields more than one percent over the national average rate for a 5-year CD and their 3-month CD yield is still double the national average.