CD's Buyers Beware

Be Cautious about NEW CD "Products".  One "otherwise Attractive" CD Product requires a customer to open a New Checking Account with a modest Minimum Balance.  The small minimum balance may be a little nuisance, but it is NOT the problem.  The problem IS that one must wait about 2 days to actually "purchase" the New CD.  So don't be tempted to deposit your check (for the amount of the CD and the "minimum checking account balance") into the New Checking Account, because you won't be credited (at the CD Rate) for the 2 days that your money sits in the checking account. 

First Republic COULD make the CD's Date of Issue the day you deposit your cashiers check in the institution (LIKE MOST BANKS DO), but they'd miss out on all the extra gravy from this "trick".  You may think YOUR lost interest is not worth the hassle, but to the Bank, it's not peanuts.  For example, $2 billion (a GUESS) @ 3% APY (a GUESS) for 2 days is >$328,000.00.--a pretty nice bonus for the the Bank's CEO.