MidFirst Direct is offering a five (5) year high yield online CD at 1.80%APY with $1,000 minimum opening deposit. This is by far the highest offer for a CD term of five years. For example, Discover Bank offers 2.10%APY for a 10-year term IRA CD. But, no matter what type of CD or IRA investment you choose, the fact is the rate difference and the length of the CD term is something to think about, which, in this comparison, is 0.30%APY.
Please note that this rate is only available online. In other words, you cannot avail of this offer at a branch office of MidFirst Direct as this rate only applies to CDs opened through the MidFirst Direct website.
If you forget to renew, no need to worry as this high yield online CD automatically renews. However, you should be mindful that when it renews at maturity, it is for the same term and at the current interest rate. You have the option to pick a different term if you think 5 years waiting time is too long, but you must do so within ten (10) days after the maturity period of your CD.
The online bank also charges early withdrawal fees so you should try to avoid it unless, of course, there is an urgent need for cash.
This high yield online CD is covered by FDIC insurance.