Quorum offers six different Term Savings accounts, which work like standard certificates of deposit. These terms range from three to 60 months long, creating savings opportunities for both long- and short-term goals. For example, you could open a one-year term to add some cash to your vacation fund. For a bigger future expense, you could open a 60-month (5-year) account instead.
On the whole, Quorum Term Savings have some pretty solid interest rates. There are a few accounts, however, with stand-out rates like the 24-month, 48-month and 60-month terms. These accounts earn at higher rates than some of their counterparts.
If you wanted to take advantage of both these high rates and the variety of terms, you could open multiple accounts at the same time, each with a different maturity date. This is known as a CD ladder, where you open a few different CD accounts at the same time. That way, you can receive a payout when each account ends every few months or so depending on how you build your ladder. Just keep in mind that you’ll need to meet the $1,000 minimum deposit for each account you open.
|Term Savings||Minimum Deposit||APY|
|3 Month||$1,000||0.01%||Apply Now|
|6 Month||$1,000||0.25%||Apply Now|
|12 Month||$1,000||0.40%||Apply Now|
|13 Month (New Money)||$1,000||0.60%||Apply Now|
|18 Month||$1,000||0.40%||Apply Now|
|24 Month||$1,000||0.45%||Apply Now|
|30 Month (New Money)||$1,000||1.00%||Apply Now|
|36 Month||$1,000||0.50%||Apply Now|
|48 Month||$1,000||0.55%||Apply Now|
|60 Month||$1,000||0.65%||Apply Now|
Overview of Quorum Federal Credit Union Term Savings
With 8 Quorum Term Savings accounts available, you have a solid level of personalization available to you. Depending on your financial situation and your savings goals, you could open one account of any length or you could open multiple accounts to stagger their financial benefits. Just keep in mind that each account requires at least $1,000 to open.
Also, keep in mind that these Term Savings operate like certificates of deposit. Once you make your initial deposit of $1,000 or more, you won’t be able to access that money until it reaches maturity. You can benefit from some interest payouts, but you cannot make any withdrawals or additional deposits during the term.
There are penalties if you do need to make an early withdrawal. Quorum will charge all the dividends earned on the account you withdraw from. There is a maximum you can be charged, however, depending on the length of the account. If you make a withdrawal from an account of two to 11 months, the penalty cannot exceed 90 days worth of dividends earned. Accounts of 12 to 60 months will assess a penalty up to 180 days worth of dividends earned.
How Much You Earn With Quorum Federal Credit Term Savings Over Time
Quorum Term Savings accounts offer some pretty solid savings across the board. There are certain accounts and more long-term accounts that yield higher savings than others, though. For example, the three-month account is a pretty short term and has a low rate. This means that if you were to deposit the minimum amount required, you’d only earn $1 over the length of the term. Longer terms and higher deposits will yield bigger savings.
The amounts shown below reflect what your final balance could look like depending on your initial deposit and term length.
|Initial Deposit||3-Month Term||24-Month Term||60-Month Term|
How Quorum Federal Credit Union Term Savings Rates Compare to Other Banks’ CDs
Quorum Term Savings rates are better than the average CD rates you would typically see from a bank. Big banks even have CD rates as low as 0.01%. Luckily, you won’t find that at Quorum. Its rates most closely compete with other credit unions or online banks. Credit unions can provide such great savings due to its structure of membership and community, rather than a hierarchy of owners and customers.
Online banks can offer high rates due to the lack of physical branches and all the costs that come with their upkeep. Online banks Ally and Marcus by Goldman Sachs offer some of the best CD rates in the industry some of which are shown below. These rates come in higher than most Quorum rates below except for the five-year accounts.
Ally does offer a lot more flexibility with its CD accounts. For starters, there is no minimum deposit. So you can open a CD with any amount. You’ll also find accounts that allow you to boost your rate or make early withdrawals without facing a penalty.
|CD Account||Quorum||Ally||Marcus by Goldman Sachs|
Compare Quorum Federal Credit Union to Other Competitive Offers
Should You Get a Quorum Federal Credit Union Term Savings Account?
Since Quorum is a credit union, you’ll need to become a member in order to open its accounts. Membership is reserved for employees of various companies like Kraft Heinz Company and Avon. You’ll have to confer with your employer or with Quorum to check your membership eligibility.
Once you’re a member, you should definitely open a Quorum Term Savings account. If you can afford the minimum deposit more than once, you may even want to create a CD ladder out of multiple accounts. That way, you can really take advantage of the great savings these accounts offer.