Capital One continues to offers competitive CD rates on a variety of terms with the best CD rates coming on the longer term certificates marketed by the bank.  Capital One offers CDs in terms ranging from 6 months to 10 years with a minimum deposit of $5,000.00.

Bank CDs tend to have higher interest rates on longer maturities because the account holder commits to a fixed interest rate for a longer period of term.  Capital One CDs have recently been reflecting just that position, with the shorter term CDs yielding fairly low rates and the longer term CDs competing with some of the best national CD rates.

With Capital One CDs, there is no cost to open or maintain the CDs.  As long as the account holder doesn’t withdraw money from the account before the term of the CD expires, there are no fees.

Interest earned on the Capital One CDs accrues daily and can be paid out monthly, quarterly, semi-annually or annually, at the account holder’s discretion except on the short term bank CDs.  The certificates of deposit with maturities of less than six months will pay the interest earned at maturity only.

Current bank CD interest rates currently offered by Capital One include:

6 month CD rate of 0.25%
1 year CD interest rate is 0.50%
18 month CD rate 0.91%
2 year bank CD rate 1.25%
30 months Capital One CD rate is 0.75%
3 year CD rate from Capital One is 1.90%
4 year CD rate is 2.50%
5 year bank rate is 2.96%
7 year bank CD interest rate is 3.25%
10 year rate is 3.25%

CD rates are current as of May 3, 2010 but are subject to change.  Capital One Bank CD rates are believed to be accurate but cannot be guaranteed.  A penalty will be imposed for early withdrawal from the bank CD accounts.

To open a Capital One CD, new accounts can be opened by filling out an online application with the bank or calling the toll free number at 1-866-871-7932.

Capital One Direct Banking also offers competitive rates on their online savings account and money market account.  The Capital One online savings account has an interest rate of 1.35% for deposits in excess of $2,500.00 and the money market account offers an interest rate of 1.10% on balances of only $1.00 or more.

Capital One offers jumbo CD rates as well.  These CDs require a minimum $100,000 deposit; most of the current jumbo CD rates are the same as their standard Capital One CD rates.  For current jumbo CD rates from Capital One visit the following page regarding jumbo CD rates at SelectCDrates.com.

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