CD Interest Rates, Mortgage Rates and Savings Rates July 18, 2011

July 17th, 2011 Brock Hailes Leave a comment Go to comments

Bank rates moved lower across the board for the week ending July 15, 2011. Big rate changes for the week were seen in the most liquid markets including mortgage rates and Treasury rates. CD rates were also lower but by a very, very slim margin as were bank savings account rates. Credit card rates did t move lower for the but the rate changes were not large enough to move the national credit card rate.

Debt worries in Europe and to a lesser extent in the U.S continue to be worries that are hanging over the capital markets. These concerns have made investors queasy about their investment choices resulting in fund flows out of higher risk equities and into lower risk investments of highly rated bonds. The resulting impact is lower stock market prices and higher bond prices which in turn lead to lower interest rates. As would be expected, Treasury bond prices and mortgage bond prices increased and the interest rates on these bonds dropped. Along with the government debt concerns of the U.S. and the Europe, bank rates remain low due to low bank loan demand and a sluggish economy.

The Selectcdrates.com comprehensive bank rate survey completed on July 15, 2011 displayed the following interest rates and weekly changes for bank mortgage rates, CD interest rates, credit card rates, money market rates, savings account rates and Treasury rates:

CD interest rates:
Composite CD interest rate index 1.355 percent (down .001 percent)
3 month CD rates 0.633 percent (unchanged)
6 month CD rates 1.021 percent (up .025 percent)
1 year CD rates 1.241 percent (up .004 percent)
2 year bank CD rates 1.467 percent (down .004 percent)
5 year CD rates 2.412 percent (down .033 percent)

Money market and savings account rates:
Bank money market rates and savings account rates 1.105 percent (down .011 percent)

Mortgage rates:
30 year mortgage rate 4.615 percent (down .08 percent)
15 year mortgage rate 3.742 percent (down .081 percent)
20 year mortgage rate 4.363 percent (down .10 percent)
30 year jumbo mortgage rate 4.874 percent (down .114 percent)
30 year FHA mortgage rate 4.425 percent (down .10 percent)

Credit card rates:
Credit card rates for new credit card offers 13.73 percent (unchanged)

Treasury rates:
Six month Treasury rate 0.05 percent (down .02 percent)
Two year Treasury rate 0.37 percent (down .03 percent)
Five year Treasury rate 1.46 percent (down .11 percent)
Ten year Treasury rate 2.94 percent (down .09 percent)

CD interest rates were for all intents and purposes, unchanged on the week. The CD rate composite index of the top 3 month CDs, six month CDs, one year CDs, two year CDs and five year CDs compiled by Selectcdrates.com had a drop of only 1/1000ths of a percent on the week. The CD rate index started the week at 1.356 percent and closed at 1.355 percent.

The top performing three month CD rates ended yet another week unchanged with an average interest rate of 0.633 percent. Six month CD rates experienced an uptick in rates this week. The average rate for the top ten highest six month CD rates came in at 1.021 percent or just over three basis points higher than the previous week’s figure of 0.999 percent.

One year CD rates also pushed higher this past week. The best one year CD rates gained just under one basis point to close out the week at 1.241 percent after dipping to 1.237 percent in the preceding survey. The best two year term bank CDs moved in the other direction and gave up some yield. The two year CD rate average for the top ten highest two year CD rates ended at 1.467 percent, down from last week’s rate of 1.471 percent. Five year CD rates also lost ground during this survey period. The top ten best five year CD rate dipped to 2.412 from 2.445 percent in the previous week.

Savings account rates and money market rates in the survey were lower by a tad over one basis point. The average rate on the top ten highest savings accounts rates and bank money market account rates slipped to 1.105 percent after making a small increase last week to 1.116 percent.

Mortgage rates were the big movers in the category of bank rates this week. The average 30 year mortgage rate stepped down to 4.615 or an eight basis point rate reduction. The average 15 year mortgage rate from the top ten bank mortgage lenders also dropped eight basis points, falling to 3.742 percent.

The 20 year mortgage rates picked up the pace and moved lower by ten basis points. The average 20 year mortgage rates ended the week at 4.363 percent from 4.463 percent the week earlier. The average rate for FHA home loans matched the rate reduction of the 20 year conventional mortgages and pushed lower by ten basis points moving from an average rate of 4.525 percent to 4.425 percent. The average rate on jumbo mortgages kept the momentum going and slumped down by 11 basis points to an average rate of 4.874percent.

Credit card rates hunkered down again this week. The average rate on new credit card offers remained in check at 13.73 percent. Covering the national average credit card rate has become as exciting as watching the corn grow in Illinois. All the activity in credit card rates and credit card promotions continued to be in the new credit card rewards programs and the rate and length of time credit card companies are placing on introductory credit card promotions.

Treasury rates along with the mortgage rates were the center of activity this week. With the exception of the ultra short, one month T-bill, all Treasury maturities had lower rates at the end of the week. The six month T-bills dipped down by two basis points to 0.05 percent. One year Treasury rates were also lower by two basis points at 0.15 percent. Two year Treasury rates gave up three basis points to 0.37 percent. Five year Treasury rates slid to 1.46 percent, an 11 basis points drop. The ten year Treasury rate shed not quite as many basis points as the five year, losing just nine basis points to end the week at 2.943 percent.

All bank savings rates and lending rates are based on surveys conducted by Selectcdrates.com at the close of July 15, 2011 with all of the interest rates obtained directly from the banks within the Selectcdrates.com survey. Treasury rates are obtained directly from the Department of the Treasury.

Additional bank rate resources can be found at; 3 month CD rates, 6 month CD rates, 1 year CD rates, 2 year CD rates and 5 year CD rates, 30 year mortgage rates, 15 year mortgage rates, FHA mortgage rates, 20 year mortgage rates, 10 year mortgage rates, jumbo mortgage rates, CD rates California, Best Interest Checking Accounts, Best Rates on CDs and Best Credit Card Rates.

USA Banks News