I preface this by saying that I am not an expert on fixed annuities. But I compared this offering with those on the Fidelity website. Compare Deferred Fixed Annuities | Fidelity
The terms of this Gainbridge product looks favorable. The yields also look better. The main negative in the comparison is that it only has A.M. Best rating of B++. But if this product is covered under the state’s insurance guaranty and you are probably ok if you only buy under that coverage limit.
Extended again!
Yes, wonderful PSECU… My funds are all placed at this time.
I have one more CD with Navy FCU that matures 10/25/19. That will hold me over until 2020. Only time will tell with future CD rates. We may have to go to Savings rates. Some are not to bad right now.
PSECU rates on deposits are good thru Nov 1. Just got a letter in mail advertising these rates for 24 and 36 months terms.
Wow!!
Sure hope you’re right about PSECU rates holding. If true I’ll be set on my CD that matures 10/25. 
Posting here with a good measure of hesitation since you all might already be aware of this. If so, I apologize.
It’s really important to give proper credit. This is NOT my idea. All credit goes to a poster named mgiannetto who posts over on Ken’s website. I have not seen Ken himself post this.
I am unable to link directly to the pivotal post by mgiannetto. I will provide you a link to the general location, then I will copy and paste the actual post, below:
Go here then find post by mgiannetto dated October 8
The post by mgiannetto is in response to another poster, Murr9506. Here is a copy and paste of the post:
Murr9506,
Here is my understanding. I have been told by two CS rep’s at PSECU that they publicly advertised these rates as being effective through Nov 1.
So what I would do in your shoes is open the CD somewhere in the 4th week in October - let’s call it Oct 28th for the purposes of this example. Fund with the minimum amount (or whatever available cash you have access to). Then within 30 days after you open the CD, call in and have them add the add-on feature. Let’s call that Nov 22nd. Have the add-on begin ~30 days after that date (Dec 20th) with monthly deposits equal to the amount of the CD you have maturing. Sometime after you make that Dec funding, call in and tell them you do not want to make additional deposits.
This should allow you to open the CD this month (while the deal is still being offered) and set it up so you can move the funds coming due on your existing CD into this new CD once it matures in Dec.
I’d suggest you set up the share account now - in case it takes a while to get that done. Then on Oct 28th you simply open the CD online with the token amount (at least $500) or whatever amount you are comfortable putting in. Then follow my suggested path forward.
I am doing something very similar with the 24 and 36 CD’s I opened earlier this month.
What this is about is a way to take advantage, in future, of PSECU’s high interest rate on their 24 and (especially) 36 month CDs. As you know, the current high rates are promised only through the end of October.
Q: Shin, what if a person follows through on mgiannetto’s plan and then it turns out PSECU continues to hold their high interest rate even after the end of this month?
It’s no bigee if that happens. As suggested by mgiannetto, you only are making a $500 commitment this month. Nobody says you have to follow up on the plan if PSECU does not lower their rate. You would simply keep your $500 account, leave it alone, and do a new $500 account next month, in November.
Like I wrote earlier, maybe I was the last one to stumble across this approach and everyone else already is on board. Regardless, I think this is pretty innovative and I for certain plan to move on this personally prior to month’s end.
Incidentally, mgiannetto has added more posts to that page, below the post I copied and pasted. You might want to look at those.
ETA
To see the posts by mgiannetto, first click on the link I provided, above. Then scroll down and find the heading saying: Attractive CD Rates
Next, open the comments for that heading by clicking on “Comments”
The posts by mgiannetto lie within that comment section.
Thanks for sharing the information. But that person has some misunderstanding. If say you open the CD on 10/31, the latest date you can have for the first transfer is 11/30 (or maybe 12/1). Calling in late in Nov to start the addon will not delay the start of the transfer. The latest start date is determined by the CD opening date, not when you call in.
EDIT: The information regarding how long the first transfer can be delayed could be wrong.
I received a mailer from PSECU. It did indicate that the CD Specials will last until 11/1/19 (but still subject to change at any time).
Thank you, scanchain.
This is a difficult one, at least for me, to understand fully and well. I suspect it also is somewhat opaque for most of the reps at PSECU, with misinformation possibly being dispensed liberally. I am cautioned by reflecting that when something seems too good to be true . . . it quite likely is not true.
Nevertheless, I plan to open a new account for $500 between now and month’s end . . . then to play things by ear going forward from there. If I fail to act in October I cannot lock the rate at 3.25%, and right now that is an absolutely splendid interest rate not to be cast aside or taken lightly. This especially considering the Fed is likely to lower rates once again next week.
I did go back & read all the messages. Very good insight.
But, I’m not going to go for the “add-on method”. I’ll take a chance on the original write-up & wait for the “effective through Nov 1”.
As I said earlier, my Navy CD matures 10/25. If for some reason we have bad info, then my money will end up in Grow Promo.
This is further to what I posted, above. I have now gone back and reviewed all the comments in the string which includes mgiannetto’s comment of October 8, copied and pasted above in my post earlier today.
I found a comment by Sylvia dated October 11. Sylvia is a frequent poster over on Ken’s website and she is a smart, and highly reliable, woman. Here is what Sylvia posted on October 11, with my bolding:
murr9506, in answer to your question of October 8 about a 60-day interval for add-on’s, monthly is the longest available. I added feature recently, just as I was getting close to my 1 month anniversary on opening of CD. Date of first transfer must be no later than 30 days from when you added feature. There’s no formal disclosure for this feature. Ditto for formal confirmation of your selection. You’ll know it’s in place by the regularly scheduled transfer that appears in online banking with no end date.
Sylvia’s post would appear to offer independent confirmation of mgiannetto’s original thesis.
Hmm. I guess my information could be wrong. The rep did tell me it has to be started within 30 days – but I never did clarify the terms exactly since it wasn’t my intention to delay the transfers.
When you first open the CD at PSECU online, you are presented with the Contribution Options (Addon). One of the question is
Which date would you like the transfers to start?
The list of dates available is within a 30-day timeframe. For example, the list available today (10/21) ranges from 10/22 to 11/20.
What is unclear though, is that if you were to call in several days to request an addon, would the list of dates available to the rep be the same list or a different list (with later dates)?
It could be. But I would not bet on it.
Exactly. This is one of those things which will only become known with precision in the fullness of time.
In my own case, serious money will not be available to me until early February when a large CD matures. I had thought I would stick that dough into GTE. But if I can finagle something at PSECU it would be to my advantage, leaving room at GTE for money from CDs maturing still later.
I can relax now because I got the leaflet in the mail from PSECU. It states Special Certificate rates 3.25% 36 mo CD are good until November 1, 2019.
shinobi, I hope you manage to get the add-on CD’s for your money that comes in later .
Thanks. Hope everything works out for you as well. Sounds to me like you’re in great shape.
Pursuant to the above PSECU add-on discussion:
Continuing to research this matter over at Boggleheads where there is significant amount of posting on this topic.
Am finding there additional confirmation of the viability of the “30-30” scheme I outlined earlier. Specifically, you trigger the add-on feature within thirty days of initial funding, scheduling same to commence an additional thirty days from that date. Hence, you enjoy circa 60 days from account open before you actually are required to cough up add-on funding.
To be clear, this is not intended to help people who have funds available when CD is opened. Instead, this scheme is for persons having CDs maturing later and much later.
One person at Boggleheads mentioned he needed a spreadsheet to work everything out. I certainly can understand how and why that might be of great assistance despite requiring extra effort.
Here is a link to discussion I found over at Boggleheads on this topic. It is very lengthy and not all comments there are on the topic of PSECU add-ons . . . but many are:
This PSECU deal is rapidly becoming one of very few viable games in town for CD aficionados, and I would be hard pressed to name the others.
Hence, some new information in the wake of my telephone call this afternoon with PSECU:
The high rate two and three year CD deals have been extended. The deals are now good through the end of November. This information was double checked with the PSECU CD department within the last half hour.
In addition I offer this observation and cautionary word:
I think it was on Boggleheads that I read PSECU’s policy limiting membership to PA residents was changed only very recently, in August. Prior it was PA people only.
Ken continues, on his website, to cite the old rule, although posters there are making clear there was a change. Still, Ken’s word is the “official” word . . . and it is wrong.
My worry is that, should Ken get up to speed and update his “official” information, thousands more people all across the country will turn attention to PSECU and see the obvious benefit of opening CDs there, including the add-on feature and even just the 3.25% APY interest rate itself on that three year CD.
This could lead to, if PSECU becomes swamped with new money, recission of the deal prior to the (newly) promised date of November’s end.
Being able to hold off and not be forced to open a new CD until after Thanksgiving would be a significant help to those of us who will not have our funds until next year. Just be careful and watchful. If Ken does an updated PSECU blog post this all could evaporate really quickly.
https://www.depositaccounts.com/banks/blue-federal-credit-union/offers/
The key to getting the 2.75% APY is “new money” w/minimum 100K deposit. Easy membership requirement. Joining the Blue Foundation ($5 donation) qualifies for Blue FCU membership, regardless of employment or residency status.
2.25% APY – $2k minimum
2.30% APY – $10k minimum
2.375% APY – $25k minimum
2.50% APY – $50k minimum
2.625% APY – $75k minimum
2.75% APY – $100k minimum
OK, guys, couple of news items related to PSECU:
First, mgiannetto on the thread I referenced above over at Ken’s has confirmed what I wrote couple of posts back. He apparently was also talking to the PSECU CD department today and was told the deal has been extended to November thirtieth. From what I understand the decision to extend was only made yesterday (Tuesday) so many people might remain unaware of what has happened. It’s still early.
However, there is a wrinkle:
A check of the calendar will tell you that thirtieth of November is the Saturday following Thanksgiving. You might decide to try it. But for me I’m not so certain I want to mess around trying to open a new account on Black Friday or, for that matter, on the thirtieth either. Might be better to wrap things up a day or two before the holiday weekend and just enjoy your turkey and shopping. Sure it’s an individual decision. Maybe I’ll change my mind as the deadline looms closer. I dunno. Just be aware the new PSECU CD deal closing date falls during the Thanksgiving holiday weekend.