IndyMac Bank is offering a 7 month 5.15% APY internet CD (Certificate of Deposit) and discontinued it’s old 4 month 5.25% APY CD by lowering the APY to 4.10%. With the economy weakening, the bank responded quickly by dropping rates all across the board for CDs and savings account.
Certificate of Deposit rates above 5.00% APY might be history in the very near future.
Like CountryWide Bank, IndyMac is also running into mortgage home loan problems, losing more than $200 million in the third quarter. Moody Investors said IndyMac’s mortgage lender’s business and portfolio rating is much similar to the constantly lowering mortgage debts from the market. With it’s portfolio already dented, please try to stay under the FDIC limits of $100,000 for this 7 month CD.