The Library of Congress Federal Credit Union (LCFCU), based in Washington D.C., is currently presenting a highly competitive array of Share Certificates (SCs) AVAILABLE NATIONWIDE.
Membership to LCFCU is open to virtually all U.S. citizens and resident aliens through an easy membership requirement
These certificates come in various term lengths, with APYs (Annual Percentage Yields) that are leading the market or close to the top.
The terms and corresponding APYs are as follows: 12-17 months at 5.61%, 18-23 months at 5.20%, 24-35 months at 5.25%, and 36-47 months at 5.30%, all requiring a minimum opening deposit of $500.
Rates were last updated on January 26, 2024.
READ MORE: SEE THE BEST CD RATES HERE
Library of Congress FCU CD Promotion
The standout features of these Share Certificates include their high APYs, especially the 12-17 month (5.61% APY) and 36-47 month (5.30% APY) options, which offer some of the best rates compared to CDs of similar term lengths. Furthermore, these SCs are also available as IRA Share Certificates (Traditional, Roth, SEP, CESA) with slightly higher APYs (5.67% for 12-17 months and 5.35% for 36-47 months) and a $1,000 minimum opening deposit. The rates for these offerings are as of January 25, 2024.
It’s important to note that early withdrawals from these Share Certificates are subject to penalties.
Specifically, for accounts with an original maturity of 180 days or more, the penalty is equivalent to 180 days of dividends on the amount withdrawn.
Partial withdrawals are permitted, but any withdrawal within the first 180 days of account opening will reduce the principal.
Additional Details of the Offer
Membership to LCFCU is open to virtually all U.S. citizens and resident aliens through an easy membership requirement. Joining the American Library Association (ALA) with a $73 fee qualifies for LCFCU membership.
Other eligible members include employees of the Library of Congress, its volunteers, researchers, scholars, and individuals employed by nearly 40 metro Washington D.C. SEGs. Family and household members, as well as domestic partners, roommates, and other family members, sharing an economic unit with an eligible member can also join.
Account opening can be done online, by phone, or in person at the Washington, D.C. branch.
A $5 one-time fee and a $5 minimum deposit in a Share Savings account are required to establish LCFCU membership.
Share Certificates can be opened with funds already deposited in LCFCU or in person at the branch.
Funding options include ACH, wire transfer, Shared Branch transactions, or cashier’s check.
About Library of Congress Federal Credit Union
Established in 1935 by twelve Library of Congress employees, LCFCU has grown into a significant financial institution.
As of 2023, it is the sixth largest credit union in Washington, D.C., with nearly 10,000 members and assets exceeding $300 million.
The credit union was founded with the principle of providing financial services to Library of Congress employees and has since expanded its membership base and service offerings.
Comparative Analysis of CD Rates
LCFCU’s Share Certificates stand out in the market when compared to CDs from other institutions.
For instance, the 12-17 month Share Certificate at 5.61% APY is more favorable than the highest-rate 18-month CDs from other banks and credit unions with nationwide reach.
Similarly, the 36-47 month Share Certificate at 5.30% APY surpasses other 3-year and 4-year CD offerings in the market.
READ MORE: SEE MORE MONEY TRANSFER PROMOTIONS.
Our Take on the Bank Offer
The Library of Congress Federal Credit Union’s Share Certificate offer appears to be a compelling choice for savers seeking high-yield, short to medium-term investment options.
With APYs like 5.61% for a 12-17 month term and easy membership accessibility nationwide, it stands as a strong contender in the current market.
The addition of IRA Share Certificate options further enhances its appeal to a broader range of savers.
READ MORE: SEE THE BEST CD RATES HERE
Frequently Asked Questions
Q: What is the minimum deposit required to open a Share Certificate?
A: The minimum deposit required to open a standard Share Certificate is $500. For IRA Share Certificates, the minimum opening deposit is $1,000.
Q: Are the Share Certificates available nationwide?
A: Yes, the Share Certificates offered by Library of Congress Federal Credit Union are available to members nationwide.
Q: How can I become a member of the Library of Congress Federal Credit Union?
A: Membership is open to U.S. citizens and resident aliens through easy membership options, such as joining the American Library Association (ALA) for a $73 fee. Employees of the Library of Congress, their volunteers, and individuals employed by certain organizations in the Washington D.C. area are also eligible. Family and household members of eligible individuals can join too.
Q: What are the penalties for early withdrawal from a Share Certificate?
A: The penalty for early withdrawal from accounts with an original maturity of 180 days or more is equivalent to 180 days of dividends on the amount withdrawn. Withdrawals within the first 180 days of account opening will reduce the principal.
Q: Can I open an account online?
A: Yes, accounts can be opened online, as well as by phone or in person at the Washington, D.C. branch of LCFCU.
Q: Are there any benefits to choosing an IRA Share Certificate over a standard Share Certificate?
A: IRA Share Certificates offer slightly higher APYs compared to standard Share Certificates and provide a tax-advantaged way to save for retirement. However, they require a higher minimum deposit of $1,000.
Q: How do LCFCU’s Share Certificate rates compare to other banks and credit unions?
A: LCFCU’s Share Certificate rates are highly competitive, often leading or near the top of the market when compared to similar offerings from other banks and credit unions nationwide.
Q: What happens to my funds when a Share Certificate matures?
A: Upon maturity, funds from a Share Certificate are automatically transferred to an LCFCU Share Savings account, unless otherwise directed.
Q: Can I add beneficiaries to my Share Certificate?
A: Yes, you can designate unlimited beneficiaries to receive equal shares of all accounts. Beneficiaries are attached to the membership account, not to individual accounts, and a Social Security number is required for each beneficiary.
Q: Does LCFCU offer options for reinvesting dividends?
A: Yes, members have the option to have dividends paid to them or to another account every month, quarter, or at maturity, instead of having them credited to the account. Dividends are compounded and credited quarterly.