5.00% CDs Continue at National City

National City Bank has updated its CD promotions. The rates have fallen a little compared to what was offered in October, but they're still very competitive. The new rates are scheduled to last through 11/22/2008. Details are provided at this National City CD promotion page. Below are the available rates and terms:

CD Specials for $10K minimum and w/Checking:

• 4.00% APY 12 months
• 4.50% APY 18 and 24 months
• 5.00% APY 36 months

These have the typical National City requirement of an existing checking or savings account or a new checking (except Free checking) with a $1,500 minimum initial deposit. Without the checking account, the CD rates are 25 basis points lower. Also, the rates for a $2,500 minimum deposit are 20 basis points lower.

I have not called to see what other terms are available. According to this Florida National City ad, the 4.50% APY is available for terms from 13 to 29 months and the 5.00% APY is available for terms of 30 months to 54 months.

The small print for the rates that require a checking account stipulates that "offers available for consumer accounts opened at National City locations in IN, IL, KY, MI, MO, OH, PA and WI." A reader in my last post also commented that these rates are only available to those in these states where National City has branches. If you're interested in these CDs, I recommend calling to verify for yourself (800-622-4036). A reader mentioned in my previous post that he was required to have the signature card notarized when he opened the CD by mail. It's definitely easier if you live near a branch. Branches are located in FL, IN, IL, KY, MI, MO, OH, PA and WI.

The PNC acquisition announcement should greatly reduce the chance we'll see a bank failure. Before the announcement there were concerns about National City which had been hit hard by the mortgage crisis. The PNC transaction is not anticipated to close until the end of the year. National City Bank is a member FDIC (FDIC Certificate # 6557).

Tags: Indiana, Illinois, Michigan, Pennsylvania, Kentucky, CD rates, IRA rates, Ohio, Florida