MECU Auto-Build CD

MECU Auto-Build CD Review

MECU Auto-Build CD is offered by MECU, a credit union founded in 1936 and based in Baltimore, MD. MECU Auto-Build CD is available in 1 state across the USA.

Key Takeaways

• Small selection of CD account types. MECU auto build CD only offers traditional and IRA CDs.
• Very high APY. This account offers an annual percentage yield of up to 0.55%, which is much higher than the national average for a certificate account.
• Small minimum initial deposit. You only need $25 to open an account.
• Limited selection of CD terms. MECU auto build CD only offers two CD terms. This limits your options when trying to set up a certificate ladder.

Pros & Cons of MECU Auto-Build CD

MECU Auto-Build CD FAQ

Are cd accounts from MECU federally insured?

Yes, your MECU cd accounts are insured up to $250,000 per share owner for each account ownership category. The National Credit Union Administration (NCUA), a federal agency, administers the insurance fund and regulates federally insured credit unions. The fund is backed by the full faith and credit of the U.S. Government.

What types of CDs does MECU offer?

• Traditional CDs. These CDs pay a fixed interest rate i you deposit a fixed amount of money for a specific term. Once the maturity date arrives, you have the option of cashing out or rolling over the CD for another term.
• IRA CDs. An IRA CD is a type of IRA that consists entirely of CDs. In general, you can invest in CDs in any IRA, but MECU auto build CD offers a CD that is specifically for retirement.

What CD rates does MECU offer on its CDs?

MECU auto build CD offers an APY starting at 0.15% and ranging up to 0.55%. APY stands for annual percentage yield and shows the interest rate paid by the CD after taking into account compounding.

What is the minimum deposit to open a CD account with MECU?

MECU auto build CD requires a minimum deposit of $25 to open an account.

What is the grace period for MECU auto build CD?

There is a 7-day grace period for MECU auto build CD. A grace period is a period of time during which you can withdraw the money in your CD without paying an early withdrawal penalty. A grace period starts the day after a CD’s maturity date, or the final day a CD is opened. Standard CDs renew automatically at the same term if you don't withdraw your money after the 7-day grace period. Note that the new CD rates probably won’t be the same as the original.

What types of fees, such as early withdrawal penalties, does MECU auto build CD charge?

Financial institutions don't typically charge many fees on CDs. However, most charge a fee if you choose to withdraw your money before the CD term ends.

MECU does not charge an early withdrawal fee.