3.50% 12-Month CD at First Bank in New Jersey

Update 3/30/09: The CD rates and the money market rates have fallen. Please check the bank's website for the latest rates.

First Bank is offering several competitive CD rates. These include a 3% APY 9-month CD and a 3.50% APY 12-month CD. The 3.50% APY also applies to terms from 24 to 60 months. Minimum deposit is $500. These rates are listed at the bank's rate table as of 3/1/09.

A reader who emailed me news of these rates mentioned that he saw a flier from this bank advertising a 1-year CD with a 7% APY. As you might expect, it has a low maximum deposit of $1,000. Minimum deposit is also $1,000. Limit 1 per family.

The bank is also advertising a competitive money market account with an APY of 3.00% for balances over $50K (2.75% for $10K to $50K). These rates are listed on the bottom of the bank's front page as of 3/01/09.

It appears a branch visit is required to open accounts. Branches are located in Williamstown and Lawrenceville, New Jersey.

It's a new bank that was established in 2007. Consequently, it doesn't have a rating for soundness at BauerFinancial (It's labeled as a Start-up). Bankrate.com gives the bank a 3-star rating (performing) based on 9/30/08 financial data. The bank is a member FDIC (FDIC Certificate # 58481).

Thanks to the reader who emailed me news of this bank.

Tags: CD rates, New Jersey, First Bank