Dedicated to Deposits: Deals, Data, and Discussion

2.60% 12-Month CD and Other High Rates at Mirae Bank in California - Local Only


Update 6/26/09: The bank was closed by regulators. Please refer to this post for more details.

Mirae Bank is offering a 2.60% APY 12-month CD and a 2.16% APY 6-month CD. Minimum deposit is $1,000. This rate is listed at the bank's CD page as of 6/16/09.

They have an online application. However, at the bottom of the first page of the application, it states that you must visit a local Mirae branch within 10 business days from the date you submit your online application. Branches are located in Los Angeles, Torrance and Rowland Heights.

As is common for Korean-American banks, Mirae Bank offers an installment savings account with rates that range from 3.82% APY for a 12-month term to 4.86% APY for a 60-month term. These rates require a checking account transfer. They're listed at the bank's installment account page as of 6/16/09.

Mirae Bank hasn't been doing too well financially. The FDIC recently issued a cease-and-desist order. Here's what was described in this LA Times article:
Regulators criticized Mirae Bank of Koreatown, which has $481 million in assets, for having too many poor loans and too little capital and reserves for losses. The bank was ordered to raise $30 million in new capital within 60 days and to reduce deposits brought in by brokers.

As you would expect, their ratings for safety and soundness are weak: 0 star (lowest) at BauerFinancial (based on 3/31/09 data) and 1 star (lowest) at (based on 12/31/08 data). As I recommend with any bank, it's best to stay under the FDIC limits. Deposits at Mirae Bank are FDIC insured (FDIC Certificate # 57332).

Other Top CDs and Installment Savings Accounts

Other Korean-American Banks in Southern California that also have installment savings accounts and competitive CD rates include Hanmi Bank (see post) and Wilshire State Bank (see post). Wilshire State Bank also offers their deposit products nationwide.

  Tags: California, CD rates

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