Update 1/13/2011: The CD rate tables for California are no longer listed at the bank's website. Please contact the bank for the latest rates.
Habib American Bank is again offering several very competitive CD and IRA CD rates. The highest rates are currently available at the bank's California branches in Los Angeles and Artesia. These include a 1.50% APY 9-month CD, a 2.00% APY 2-year CD and a 2.75% APY 5-year CD. IRA CD rates are 25 basis points higher. In New York and New Jersey, the rates are around 25 basis points lower. A checking account is required for non-IRA CDs. Minimum deposit is $1,500. A branch visit is required.
Below is a summary of the best CD rates as shown on the bank's rates page as of 1/11/2011:
California CD and IRA Rates as of 1/11/2011:
- 2.75% APY 5-year CD (3.00% IRA)
- 2.50% APY 4-year CD (2.75% IRA)
- 2.25% APY 3-year CD (2.50% IRA)
- 2.00% APY 2-year CD
- 1.80% APY 18-month CD (2.05% IRA)
- 1.50% APY 1-year CD (1.75% IRA)
- 1.50% APY 9-month CD (1.75% IRA)
New York & New Jersey CD & IRA Rates as of 1/11/2011:
- 2.50% APY 5-year CD (2.75% IRA)
- 2.25% APY 4-year CD (2.50% IRA)
- 2.00% APY 3-year CD (2.25% IRA)
- 1.75% APY 2-year CD (2.00% IRA)
- 1.50% APY 18-month CD (1.75% IRA)
- 1.30% APY 1-year CD (1.55% IRA)
My last review of this bank was in June 2010. They had offered several top CD rates during that time, but after the summer ended, the rates fell. When I last checked with the bank in June, I was told that there's only a 3-month early withdrawal penalty.
Branches are located in New York City and Hicksville, New York; Edison, New Jersey; and Los Angeles and Artesia, California.
Habib American Bank Overview
Habib American Bank appears to be similar to State Bank of India. It's an American bank that's a subsidiary of a large foreign bank. Instead of India, Habib American Bank's parent is headquartered in Pakistan. According to Wikipedia:
Habib Bank Limited commonly referred to as "HBL" and head-quartered in Habib Bank Plaza, Karachi, Pakistan, is the largest bank in Pakistan. The bank has a network of over 1450 branches in Pakistan and 55 branches worldwide.
In 1984, HBL opened its USA bank:
HBL established Habib American Bank in New York with a branch each in Manhattan and Queens, and a US International Banking Facility. HBL also opened a branch in California.
Even though it has international connections, Habib American Bank is a FDIC member (FDIC Certificate # 25093). In addition to being a FDIC member, its financial health appears to be strong. It has an overall health score of 4 out of 5 with a Texas Ratio of 6.06% (excellent) based on September 2010 data. Please refer to our financial overview of Habib American Bank for more details.
Searching for the Best CD Rates
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