Dedicated to Deposits: Deals, Data, and Discussion

Update on First National Bank Southwest's 5.75% 6-Month CD


First National Bank Southwest continues to offer a special 5.75% APY 6-month certificate of deposit. I first reported about this on November 8th. It's still being advertised in the Dallas Morning News. The latest ad is available online here. The ad lists a minimum and maximum deposit of $500 and $250,000.

The ad now specifically states that this offer is only available for residents of Collin, Denton and Dallas counties in Texas. To verify this, I called the bank this morning, and the CSR confirmed this, and also said they require a branch visit. Soon after my first post on this CD, several readers mentioned being told by the bank that they could open the CD by mail. The bank then changed their minds, but at least allowed those who had already applied by mail to open the CD. But for those who haven't yet applied, it looks like the mail option is over.

Another note regarding this CD special is that you may be able to receive an extra 50 basis points if you open a checking account with direct deposit. A reader in my last post mentioned this yesterday in the comments. I wasn't able to confirm this with the CSR this morning. If you do go to a branch to open this CD, you might as well ask about this.

Branches are located in the Texas cities of Plano and Frisco which are located just north of Dallas. First National Bank Southwest is part First National Bank of Omaha (the parent of FNBO Direct). First National Bank of Omaha is FDIC insured (FDIC Certificate # 5452).

Thanks to all those who commented on their experiences with this bank.

  Tags: CD rates, Texas

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Comment #1 by Anonymous posted on
They told me I didn't have to be a resident of Collin, Denton or Dallas counties.

Comment #2 by Anonymous posted on
An email I received last week:

" As for the rate in the 6 month CD it is a special local rate. Our rates do change every Thursday."

Comment #3 by Anonymous posted on
Unfortunately, after opening this promo CD account and free checking over the phone ten days ago, I was told yesterday that all of a sudden neither were available.
This is after 3-4 conversations with a bank customer service rep confirming the promo rate, and being asked to mail the funding check ($60K) to 4500 Preston Rd. in Frisco Tx.
I went ballastic and demanded to speak with a branch manager and was referred to the Frisco Tx branch President (Mary Ballantine) who then magically approved my application.
While "all's well that ends well" may apply here, this was a thoroughly frustrating, costly and time wasting experience that was totally due to a phone customer service group and website that is not ready for prime time.


Comment #4 by Saagar (anonymous) posted on
Its confirmed. First National considers transfer from Capital One MMA as Direct Deposit and bumps your rate by 0.5% to make it 6.25%