Dedicated to Deposits: Deals, Data, and Discussion

4.70% 60-Month / 3.60% 20-Month CD at M&I Bank


Update 5/24/08: The CD rates have fallen. The new APYs are: 4.70% 60-month, 4.00% 40-month, and 3.60% 20-month. The title has been modified to reflect this change.

M&I Bank has new high rates on its Smart Savers CDs. The 60-month CD has a competitive yield of 5.00% APY. The minimum deposit is $2,500. There are two other CD specials which also have competitive rates: a 4.50% APY 40-month CD and a 4.00% APY 20-month CD. These rates are quite a bit higher than the rates when I last reported on these Smart Savers CDs in April.

These special CDs allow you to make a one-time rate change after the account has been open for 6 months. When you make the rate change, you can also make an additional deposit to the CD. Note, these bump-up feature is often not useful since it's easy for the bank to keep future rates low on special terms. It would be better if it only had the additional deposit feature. As it is defined, you can only add to the CD if rates go up.

Update 5/19/08: I just called, and I was told that you must live in a state where they have branches to be able to open the CD. Other things I learned from the CSR include:
  • Early withdrawal penalty equals 6-months of interest
  • 10 calendar-day grace period when CD matures
  • Allows funding CD by ACH transfer or by mailing a check
  • At maturity, they can mail you a check or you can call and instruct them to transfer the money into your M&I checking or savings account

Branches are located in Arizona, Florida, Illinois, Indiana, Kansas, Minnesota, Missouri, Nevada and Wisconsin. It's a large bank with $53.7 billion in assets. The bank has a 3 out of 5 rating (performing) at based on 12/31/07 data. The bank has been FDIC insured since 1934 (FDIC Certificate 1020).

Other 5-percent CD rates

Five percent CDs are slowly starting to come back. I've listed a few in my weekly rates update from yesterday. Unfortunately, there aren't any short term 5% CDs. All of these 5% ones are long term CDs.

Related Pages: Minnesota, Indiana, Kansas, Nevada, Illinois, Arizona, Wisconsin, CD rates, Missouri, Florida

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Comment #1 by Anonymous posted on
Anyone know what the early withdrawal penalty is on these?