Navy Federal Credit Union provides money-saving products for military members and their families including competitive CD rates, money market accounts, and savings accounts. In this guide, we’ll compare Navy Fed’s interest rates to CD, checking, and savings account rates from the top banks in the USA.
Let’s take a look!
Earn The Highest Interest Rates On Savings Today
Fixed annuities are almost identical to Certificates of Deposit (CDs) accounts and provide higher interest rates and penalty-free withdrawals for income. Why settle for less than 1% on your money when you can earn 3% and liquidity?
| Term | Insurance Company | Interest Rate |
|---|---|---|
| 24 Months | Oceanview Annuity | 2.85% |
| 36 Months | Canvas Annuity | 3.80% |
| 48 Months | Oceanview Annuity | 3.35% |
| 60 Months | Athene Annuity | 3.85% |
| 72 Months | Oceanview | 4.30% |
Disclaimer: This is a review. The Annuity Expert is not associated with a bank or credit union. However, fixed annuities are sold at most financial institutions. Our goal is to help you find the highest interest rates for your retirement savings.
About Navy Federal Credit Union
Navy Federal Credit Union was founded in 1933. It is a not-for-profit organization that is owned by its members. Navy Federal Credit Union has over 300 branches and more than 30,000 ATM locations nationwide. It offers its members a wide range of financial products and services, including checking and savings accounts, loans, mortgages, and credit cards.
To become a member, you must be a current or former member of the United States military or an immediate family member of someone who is. You can open an account online, by phone, or in-person at a branch location. There is no minimum balance required to open an account. Navy Federal Credit Union offers a variety of checking and savings account options, as well as loans, mortgages, and credit cards.
Navy Federal’s products and services are designed to meet the unique needs of military members and their families. The credit union offers special benefits such as waived fees, low-interest rates, and no-cost financial counseling. Contact Navy Federal Credit Unions at 1-(888)-842-6328.
NFCU Checking Account Rates
This account lets you do everything for free. You can pay your bills, make deposits, split bills or pay for rides. In order to use this account, you need to have a qualifying direct deposit.
| Minimum Deposit | Term | APY |
|---|---|---|
| $0.00 to $9,999 | None | 0.35% |
| $10,000 to $24,999 | None | 0.40% |
| $25,000 & over | None | 0.45% |
Savings Account Rates
Navy Federal’s primary savings account is its share savings account. This account offers a competitive interest rate and requires a minimum deposit of just $5. Share savings accounts can be used for a variety of purposes, including saving for a rainy day, a future purchase, or retirement.
| Type | Minimum Deposit | APY |
|---|---|---|
| SaveFirst Account | $5.00 | 0.40% |
Money Market Rates
Navy Federal Credit Union also offers several money market account options. Money market accounts typically offer higher interest rates than savings accounts, making them a good choice for those who are looking to earn more on their deposited funds. Navy Federal’s money market account rates are tiered, so the more you deposit, the higher your interest rate will be.
| Minimum Balance | APY |
|---|---|
| $2,500.00 | 0.40% |
| $10,000.00 | 0.45% |
| $25,000.00 | 0.45% |
Navy Federal Credit Union CD Rates
Navy Federal Credit Union share certificates offer some of the highest rates available, making them a great option for those who are looking to grow their money. Share certificates require a minimum deposit of $1,000 and have terms ranging from six to 60 months.
| Term | APY (Up To) |
|---|---|
| 3 Month | 0.40% |
| 6 Month | 0.45% |
| 12 Month | 0.70% |
| 24 Month | 0.80% |
| 3 Year | 0.85% |
| 5 Year | 1.00% |
Certificates of Deposit vs. Fixed Annuity
The Top Fixed Annuities
Fixed annuities offer a guaranteed return for a set amount of years, similar to a CD. Guaranteed crediting rates for the terms below:
- 2-YEAR TERM: 2.85%
- 3-YEAR TERM: 3.80%
- 4-YEAR TERM: 3.70%
- 5-YEAR TERM: 3.85%
- 6-YEAR TERM: 4.30%
- 7-YEAR TERM: 4.10%
- Grow your money as fast as possible
- Principal protection
- The interest rate is locked for the term you select
- Tax-deferred growth
- Withdraw annually without penalty
- Lump-sum death benefits
- Accepts cash, 401(k), and IRA Funds
What’s The Difference Between a Fixed Annuity and a CD?
| Feature | Fixed Annuity | CD |
|---|---|---|
| Who Offers | Insurance Company | Banks |
| Premium Amounts | $2,500 to $1 Million | $500 – No Maximum |
| Terms | 2 Years to 20 Years | 3 Months to 7 Years |
| Guaranteed Interest Rates | Up to 3.25% | Up to 1.25% |
| Triple Compounding | Yes | No |
| Principal Protection | Yes | Yes |
| Can Lose Money? | No | No |
| Liquid After Term | 100% | 100% |
| How Are Gains Taxed? | Tax-Deferred | Taxed Annually |
| Annual Liquidity | Up to 10% Annually | No Liquidity |
| Who Protects My Money? | Insurance Company/SGA | FDIC |
| Accepts IRA | Yes | No |
| Accepts 401(k) | Yes | No |
| Death Benefit | Lump-Sum | Lump-Sum |
Are Annuities FDIC Insured?
Fixed annuities are not FDIC insured, but they have similar protections for your money. An annuity is an insurance policy guaranteed by the insurance company’s claims-paying ability. The insurance companies are members of the state insurance guarantee associations in each state where they do business. Each state insurance guarantee association protects consumers in the unlikely event that their insurance company fails and defaults on their obligations to their consumers (limits vary per state).
For example, Georgia insures up to $250,000 of the annuity’s cash value per insured life if the insurance company becomes insolvent and can not fulfill its obligations to the insured.
Navy Federal vs.
The Best CD Rates Today
3 Month CD Rates
| Best 3-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Spectrum Federal Credit Union | 0.50% APY | 3 Months | $500.00 |
| Navy Federal Credit Union | 0.40% APY | 3 Months | $1,000.00 |
| Chevron Federal Credit Union | 0.50% APY | 3 Months | $500.00 |
6 Month CD Rates
| Best 6-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| CommunityWide FCU | 0.80% APY | 6 Months | $500.00 |
| Edward Jones | 0.75% APY | 6 Months | $1,000.00 |
| Charles Schwab | 0.80% APY | 6 Months | $1,000.00 |
1 Year CD Rates
| Best 12 Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| CommunityWide FCU | 0.90% APY | 12 Months | $1,000.00 |
| Edward Jones | 1.20% APY | 12 Months | $1,000.00 |
| Charles Schwab | 1.40% APY | 12 Months | $1,000.00 |
2 Year CD Rates
| Best 2-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Amarillo National Bank | 1.75% APY | 24 Months | $1,000.00 |
| Edward Jones | 2.20% APY | 24 Months | $1,000.00 |
| Oceanview Fixed Annuity | 2.85% APY | 24 Months | $80,000.00 |
3 Year CD Rates
| Best 3-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Edward Jones | 2.55% APY | 36 Months | $1,000.00 |
| Canvas Annuity | 3.80% APY | 36 Months | $2,500.00 |
4 Year CD Rates
| Best 4-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Edward Jones | 2.60% APY | 48 Months | $1,000.00 |
| Guggenheim | 3.05% APY | 48 Months | $5,000.00 |
5 Year CD Rates
| Best 5-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Edward Jones | 2.30% APY | 60 Months | $1,000.00 |
| Canvas Annuity | 3.80% APY | 60 Months | $2,500.00 |
The Best Fixed Annuity Rates Today
| Company | Term | Rate | Withdrawals |
|---|---|---|---|
| Oceanview | 2 Years | 2.85% | 10% Annually |
| Canvas | 3 Years | 3.35% | 10% Annually |
| Oceanview | 4 Years | 3.35% | 10% Annually |
| Canvas | 5 Years | 3.35% | 10% Annually |
| Oceanview | 6 Years | 3.65% | 10% Annually |
| Canvas | 7 Years | 3.35% | 10% Annually |
Key Takeaway – Retirement Income Planning
Consider a deferred annuity with a lifetime income rider if you’re spending the interest from a CD or a fixed annuity to supplement your retirement income. These annuities would offer a guaranteed income for life (even if the annuity ran out of money), removing the concern of making your money last in retirement and running out of money.
Some lifetime income riders offer a retirement income that increases to keep up with inflation, help pay for long-term care expenses, and offer an enhanced death benefit to help your beneficiaries.
Learn the differences and benefits between Fixed Annuities and Certificate of Deposits (CD).
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