ESL Federal Credit Union's Savings Products
ESL Federal Credit Union does not currently offer a product specifically branded as a "high yield savings account." Instead, ESL offers several savings accounts with different interest rates depending on the account type and your balance. The rates change regularly, so the current APY (annual percentage yield) for any ESL savings product may be different from what you see quoted elsewhere.
ESL is a credit union based in New York that serves members in several states. Like most credit unions, ESL structures its savings products differently than banks do. Rather than a single high-yield savings account, ESL members can choose from regular savings accounts, money market accounts, and certificates of deposit (CDs), each with its own rate.
If you are looking for the highest rate ESL currently offers on savings that you can access without a time commitment, a money market account is usually the option to compare. Money market accounts typically pay more than regular savings but require a higher opening balance.
Key Takeaways
- ESL Federal Credit Union offers savings accounts and money market accounts, but not a product called a high yield savings account.
- ESL's interest rates vary by account type and change regularly, so you should check the current rates directly with ESL before deciding.
- Money market accounts at ESL usually pay higher rates than regular savings accounts but require a larger opening deposit.
- CDs at ESL lock your money for a set time period but often pay the highest rates the credit union offers.
How ESL's Money Market Account Compares
ESL's money market account is the closest product to what other banks call a high yield savings account. Money market accounts let you withdraw money whenever you need it (though there are limits on how many withdrawals you can make per month), and the rate is usually higher than a regular savings account.
The tradeoff is that money market accounts typically require a higher opening balance than regular savings — often $2,500 or more, though this varies. If you have that amount to deposit, the higher rate may be worth it. If you do not, a regular ESL savings account is still an option, though the rate will be lower.
To find out whether ESL's current money market rate is competitive with other banks' high yield savings accounts, you would need to compare the APY ESL is offering right now against what other institutions are offering. Rates change frequently, so a rate that is high one month may not be the highest available the next month.
ESL's Certificate of Deposit (CD) Rates
If you have money you will not need for a set period of time, ESL's CDs often pay the highest rates the credit union offers. A CD is an account where you agree to leave your money untouched for a specific term — typically three months, six months, one year, or longer. In exchange, the credit union pays you a higher interest rate than it would for a regular savings account.
The catch is that if you withdraw the money before the term ends, you pay an early withdrawal penalty. The penalty amount depends on the CD term and ESL's current policy, so you should ask about the penalty before you open a CD. For some people, the higher rate is worth the restriction; for others, the flexibility of a money market account makes more sense.
Who Can Join ESL and Open an Account
ESL Federal Credit Union is not open to everyone. To become a member, you must live, work, or study in one of the states ESL serves, or have a family member who is already an ESL member. The states and may be able to access rules change, so you should check ESL's website or call them directly to see whether you can join.
If you cannot join ESL, you would need to look at high yield savings accounts from banks or other credit unions that serve your area. Many online banks offer high yield savings accounts with no membership requirements and rates that change based on the broader interest rate environment.
How to Check ESL's Current Rates
Interest rates at credit unions and banks change frequently — sometimes weekly. The rates shown on ESL's website or in marketing materials may not be the same as the rates available when you actually open an account. Before you decide whether to open an account with ESL, you should contact ESL directly to ask for the current APY on the specific account type you are interested in.
You can reach ESL by phone, through their website, or by visiting a branch if you are near one. When you call or visit, ask for the current APY on their money market account and any regular savings accounts, and ask whether there are any promotional rates available for new members. Some credit unions offer higher rates for a limited time to attract new members.
Comparing ESL to Other Options
If you are shopping for the highest savings rate available, ESL is one option, but not the only one. Online banks often offer high yield savings accounts with rates that are competitive with or higher than credit union rates, and they typically have no membership requirements or geographic restrictions. However, online banks may not offer the same personal service or local branch access that a credit union does.
The best choice depends on what matters most to you: the highest possible rate, the ability to speak with someone in person, membership in a credit union community, or some combination of these. If you value the credit union model and ESL serves your area, it is worth comparing their current rates against online banks before you decide.
Frequently Asked Questions
What is the minimum balance to open an ESL savings account?
ESL's minimum opening balance varies by account type. Regular savings accounts typically have a lower minimum than money market accounts. You should contact ESL directly to ask about current minimums, as these can change.
Can I access my money in an ESL money market account anytime?
Yes, you can withdraw money from a money market account anytime, but federal rules limit you to six withdrawals per month (though this rule has been relaxed at some institutions). Check with ESL about their specific withdrawal policy.
Do I have to be a New York resident to join ESL?
No. ESL serves members in several states beyond New York, and you may be able to join if you work or study in one of those states, or if you have a family member who is already a member. Check ESL's website for the current list of states they serve.
How often do ESL's interest rates change?
Credit union rates can change weekly or monthly depending on broader economic conditions. ESL will notify you of rate changes, but you should check their website or call before opening an account to confirm the current rate.
What happens if I withdraw money from an ESL CD early?
You will pay an early withdrawal penalty. The penalty amount depends on the CD term and ESL's policy. Ask ESL what the penalty is before you open a CD so you can decide whether the higher rate is worth the restriction.