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Promotional gifts should figure into your APY calculation Today I opened a 6 month CD with Point Breeze Credit Union. They are having a special promotion where they give members a $10 Target gift card and a plastic piggy bank for opening a CD with a minimum value of $500. Their rate is 4.64% compounded daily (4.75% APY).
ING Direct has a better rate (5.00 APY on 6 months), but at the end of 6 months, I will have made $11.73 in interest and have saved $10.00 on my next purchase at Target for a gain of $22.73. I will also have a cute, if worthless, blue plastic pig-shaped bank with my credit union's logo on it to remind me of my fiscal prowess. If I had put the same amount in ING, I would only have made around $12.50.
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