Dedicated to Deposits: Deals, Data, and Discussion

4.06% 12-month CD at EverBank - Available Nationwide


Update 7/1/08: CD rates have changed. Please check EverBank's website for the latest rates.

EverBank has made some large rate increases on its Yield Pledge CDs. It now has the best nationwide deal on a 12-month CD with a 4.06% APY. Other competitive rates include a 3.73% APY 9-month CD and a 4.51% APY 30-month CD. The minimum deposit is $1,500. The yields of all the terms are shown below:

Certificate of Deposit Rates as of 6/20/08:

Term APY
3-month 3.07%
6-month 3.49%
9-month 3.73%
1-year 4.06%
1.5-year 4.00%
2-year 4.13%
2.5-year 4.51%
3-year 4.51%
4-year 4.70%
5-year 4.83%

Early Withdrawal Penalties

The early withdrawal penalties for the long terms are more severe than average, but the penalty for the short terms are not too bad. Here's the list of penalties from the Truth-In-Savings disclosure (pdf):

CD Term Penalty in days of simple interest
13 week 90 days
26 week 90 days
52 week 180 days
2 year 360 days
3 year 540 days
5 year 900 days

Other Types of CD Accounts

One nice thing about EverBank is that it offers many different account types. CDs with these rates are available in the following accounts: Individual, Joint with Rights of Survivorship, Trust, IRA, Custodial, Sole Proprietor/Non-Profit, and Business/LLC.

FDIC Insured CDs for Balances Up to $50M

For those with very large balances, EverBank also offers a CD similar to CDARS. It's called Insured Advantage Certificate of Deposit. This provides FDIC insurance to balances up to $50 million. As with CDARS, the main problem is that the rates are lower than the standard CDs. The one year yield is only 3.72% APY.

EverBank's World Currency CDs

For those who are very worried about inflation and the weakening dollar, you may want to look into EverBank's World Currency CDs. Note, you can lose money in these due to risks associated with currency fluctuations. For more details on these World Currency CDs, please refer to my World Currency CD post.

Application Process

One downside with EverBank is its antiquated application process. I haven't looked into the application process since October 2007 when I did this EverBank review post, but there doesn't appear to be any changes since then. After you fill out the online application, you then have to print and mail it. Nothing gets submitted online. When applying for the checking account, readers have mentioned that this process has taken up to 3 weeks.

Even though the application has to be mailed in, you should be able to lock in the posted rate based on the postmark day of your mailed application. This is what the CSR told me last year in regards to the checking account and its 3-month rate promo. For more details about the application process, please refer to my EverBank review post.

Hard Credit Inquiry

One other note regarding opening EverBank accounts, it has been reported that EverBank does a hard credit pull. EverBank has a detailed description of their credit inquiry in the online application. Here's an excerpt:

What kind of inquiry does EverBank obtain and how will it affect my credit score?

EverBank obtains a credit inquiry for the purposes of opening an account. While such an inquiry will show on your credit report, it's coded differently than an inquiry for a loan and would have less of an impact on your credit score.

Your EverBank application will result in a single inquiry, even if you apply for several products at the same time.

If you want to understand more of the issue of hard and soft credit pulls, their details provide the full explanation.

EverBank's Checking Account Promotion

If you are interested in the EverBank CD, you may want to consider opening the checking account first so you can take advantage of the 4.01% 3-month promotion. I've been told several times by EverBank's customer service that you have to be a new EverBank customer to qualify for this intro rate. So once you open an EverBank CD, you would no longer be eligible for this promo. EverBank's FreeNet Checking account doesn't have any minimum balance requirements or monthly fees (There's a potential monthly fee if you use their online bill pay). For more details of this checking account and this 4.01% promotion, please refer to my EverBank review post.

EverBank Overview

EverBank has been FDIC insured since 1998 (Certificate # 34775). It's one of the larger internet banks with $5.9 billion in assets. The bank has a 3 star rating (performing) at based on 12/31/07 data. This is down from 4 stars from 6/30/07 data. BauerFinancial gives them 3.5 stars (good) based on 3/31/08 data.

  Tags: CD rates, EverBank

Related Posts

Comment #1 by Christian (anonymous) posted on
Careful: Everbank World Markets is a SCAM! See:

Comment #2 by Anonymous posted on
EverBank's World Currency CDs have more risk than one can imagine- the risk that Everbank will convert them without informing the depositor AND at rates that may be far from the market rates.
- burnt Everbank customer (I had ISK CDs)

Comment #3 by Anonymous posted on
I have to say that Everbank is the worst bank I have ever considered using. I deeply regret the choice to open an Everbank account. The high interest rate was definitely the drawing point. But after filling out the application online, I had to PRINT it and MAIL it in. That should have set off alarms for me. Unfortunately, it didn't. I paid $8.00 to get a CASHIERS CHECK for $25500.00 which then sent OVERNIGHT to the tune of $19.00. So far this cost me $27.00.
After a FULL WEEK, I FINALLY received notification that my account had been opened and that I would receive my account materials in ABOUT another week. OK, NOW ALARMS were going off. I emailed Everbank only to be told that I had to call to get my account number. Everbank "Doesn't email account numbers because it's not secure." So, I phoned per the instructions. The response I got was "Everbank doesn't give the account numbers out over the phone but you can request an email with the account number." I still had the email from the first rep, so I read it to the second. After being put on hold to get approval, I finally got my account number so that I could set up online access.
I immediately logged in to set up online access, only to fine that ALL EFT transfers would take a MINIMUM of 4 BUSINESS DAYS!!!!! When you request the transfer, Everbank takes the money out of your account and holds it for 2 business days so that you can't earn money but they have 2 days to keep using it. Then, on the 3rd day they initiate the transfer. So, either the 4th day or perhaps later, you will finally receive your money. ABSOLUTELY UNACCEPTABLE!!!!!!!!! But I'm not done.
Online bill pay is PAPER CHECKS CUT AND SENT. NOT EFT!!! As if this wasn't enough, my $25500.00 CASHIERS CHECK was held for a total of 3 weeks!!!!!!!!!!!!!!!!!!!!!!!!! CASHIERS CHECKS ARE CASH. So, needless to say I immediately removed my money as soon as the hold was finally released. I've only told you the major points and I strongly recommend that you avoid Everbank like the plague. I guarantee you nothing but aggravation, fury, loss of money, and everything else. In the instant, electronic society that we live in, this antiquated bank needs to give it up and go out of business. Please help me spread the word and put them out of our misery. I opened a YIELD PLEDGE MONEY MARKET Account.