Last year Institution for Savings started offering 2% CDs with terms under 5 years. The bank just came out with a new 2% CD with a term of only 2 years. Minimum deposit is $500, and the early withdrawal penalty for this 2-year term is 6 months of interest, earned or not earned. The CD details and the link to the rates page are listed in the bank’s CD page as of 5/15/2014. Thanks to DA member scottj who reported on this promo in the DA forum.
When I last called this bank I was told a branch visit is required to open an account.
Institution for Savings branches are located in the Massachusetts cities of Byfield, Ipswich, Newburyport, Rowley, Salisbury and Topsfield.
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 1.01% APY in 2011, and last year it fell to 0.75% APY (see account review).
The bank has an overall health grade at DepositAccounts.com of an A+ with a Texas Ratio of 2.59% (excellent) based on December 2013 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.