Dedicated to Deposits: Deals, Data, and Discussion
Institution for Savings1.00%--36 Month CD
Institution for Savings0.75%-$50kBonus Checking
Accounts mentioned in this post. Rates as of August 27, 2014

Top 3-Year CD Rate at Institution for Savings in MA - Local Only


Institution for Savings

Institution for Savings is offering another hot CD special that's similar to its September special. This new one is a 3-year CD with a 2.50% APY. Minimum deposit is $500. This rate is listed on the bank's rates page as of 11/03/2011. This CD rate was so much higher than the other rates, I called the bank. According to the bank rep, this special rate is only available at the bank's Ipswich office on 112 County Road. It requires a branch visit. If you don't live near this branch, be sure to call the bank at 978-462-3106 to verify that you can qualify.

One downside to this CD is an early withdrawal penalty that's larger than average. According to the bank's CD page, the early withdrawal penalty for principal withdrawn is "Nine months interest whether earned or not on terms 25-47 months" and "Twelve months interest whether earned or not on terms longer than 48 months". At least they clearly describe the penalties on the website.

The bank still offers a reward checking account, but the rate has fallen considerably since I first reported on it in February 2008. At that time the rate was 6% APY on balances up to $50K. It fell to 1.50% APY last year, and it has just recently fallen to 1.01% APY (see account review).

Institution for Savings branches are located in the Massachusetts cities of Newburyport, Salisbury, Ipswich and Rowley.

Bank Overview

The bank has an overall health score at of 5 stars (out of 5) with a Texas Ratio of 2.78% (excellent) based on June 2011 data. Please refer to our financial overview of Institution for Savings for more details. The bank was established in 1820, and it has been a FDIC member since 1985 (FDIC Certificate # 90250). Funds over the FDIC limit are insured by the Deposit Insurance Fund (DIF) which is a private insurance fund.

How the CD Rate Compares

The 2.50% APY is very competitive for a 3-year term. The best nationally available 3-year CD rate is 1.91% APY at Melrose Credit Union. The best 4-year CD rate is 2.50% APY ($100K minimum) at XCEL Federal Credit Union. Rates are accurate as of 11/03/2011.

Best CD Rates

To search for the best nationwide CD rates and the best CD rates in your state, please refer to the CD rates section of

  Tags: Massachusetts, Institution for Savings, CD rates

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Comment #1 by Anonymous posted on
Called this morning.  They will not take deposits from out of state (except maybe New Hampshire and Rhode Island.