Providence Bank is offering two competitive CD specials along with a good deal on a checking account. The CD rates include a 1.70% APY 2-year CD and a 1.40% APY 18-month CD. The shorter term CDs aren't as competitive. Those include a 1.00% APY 1-year CD and a 0.85% APY 6-month CD. Minimum deposit is $1,000. These rates are listed in the bank's rate sheet as of 12/28/2010.
The checking account deal is the bank's E-Checking account which has a 2.00% APY on balances up to $25K. As noted in the bank's rate sheet this is scheduled to last until 3/31/2011. Other details of this account are listed in the checking section of the personal banking page. Some notable ones include:
- $100 minimum amount to open the account
- Free ATM usage anywhere in the world (refunds up to 4 transactions per statement cycle)
- Free initial check order
- Additional basis points on any CD
From the description I wasn't sure if this is a reward checking account. So I called the bank at 252-937-2265 for more details. As I learned, this is not a reward checking account. No debit card usage is required. Here are some of the details that I was told by the bank rep:
- Only requirement is that you receive e-statements
- No monthly fees or minimum balance requirement
- Rate for portion of balance over $25K is the money market rate which is 0.35%
- The CSR didn't know what the rate would be after March
- Branch visit is required to open the account. They do accept deposits from those outside their area.
With the money market rate so low, this e-checking rate does seem like a teaser rate. Nevertheless, it's at least a good short-term deal, and the checking account has some nice features like no monthly fees and worldwide ATM fee refunds.
Branches are located in the North Carolina cities of Rocky Mount and Tarboro. Rocky Mount is about 40 miles east of Raleigh.
It's a small bank with $159 million in assets. The bank has an overall health score at DepositAccounts.com of 4 out of 5 with a Texas Ratio of 12.73% (excellent) based on September 2010 data. Please refer to our financial overview of Providence Bank for more details. It's a new bank that has been an FDIC member since 2006 (FDIC Certificate # 58239).