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First Mariner Offering 26-Month No-Penalty-For-Withdrawal CD: 1.20 APY

Thursday, June 9, 2011 - 10:55 AM1st Mariner Bank - Details
First Mariner Bank is offering a Flex CD with a 26-month term, at an APY of 1.20%. It allows for a one-time penalty-free withdrawal of up to the entire balance, and also a one-time option for a rate bump during the term.

I'm not certain, but this might have to be opened online - although when they open on the phone, I believe they classify it as opened online. It could be funded via the ACH, and my experience is that they will consider it funded and earning interest as of the day you open it online or the phone, regardless of when they actually pull the funds from your outside account (which might be some time later).

Available nationwide. They're headquartered in Baltimore, Maryland.

As I recall from when I opened a CD there some time back, they will go through a qualification check of your credit status -- but they were able to tell me right then and there on the phone whether I passed the check -- so make sure you ask about that, as if you don't get the final on that up front, they might reject it later.
me1004me1004373 posts since
Jan 16, 2010
Rep Points: 2,598
1. Thursday, June 9, 2011 - 2:51 PM
Thanks me1004. This Flex CD is a better deal than Ally's 11-month No-Penalty CD.

Hopefully, they are better on their CD applications than on their checking applications. I remember many readers who applied for their checking account were rejected.

I see they have more details about this Flex CD on their CD/IRA Products page. One odd thing mentioned at the bottom of the top paragraph is this sentence: "CD's and CD/IRA's are not available to residents of NY, NV, or OR."
Ken TuminKen Tumin5,471 posts since
Nov 29, 2009
Rep Points: 125,634
2. Thursday, June 9, 2011 - 6:53 PM
Re the application, I posted on that some time back when I opened my CDs with them. As I recall, they said one, that what was being said was not exactly accurate, but more importantly two, that they had changed their procedures.

At any rate, they do do the check. But they can let you know before you proceed whether you are cleared. Definitely ask for that and insist on it. Thus, none of the issues that you are recalling about people opening, and later being denied an account and having to try to get their money back. 

Because of those reports, I inquired into it before opening my CD, and got those explanations. We opened it over the phone (but it still gets classified as being opened online), they asked certain questions from the credit check, and I was cleared and assured that was it, my CD will be opened, and we then finished the opening. I suppose -- but don't know -- that if your credit info is near a border line, they might not be able to tell you immediately -- in which case you could opt not to proceed. 

I note, you can open for as much as you want. However, there are some odd limits to deal with, which appear to be still in place. They cannot (or will not) open a CD for more than $50,000. But they will let you open as many CDs as you want until it covers all your money. So, say you had $210,000. You could open four CDs at $50,000 each, and one $10,000. 

Also note, they are working under some kind of limitation to get money through the ACH. I don't fully understand it, but they can only get so much per day. But don't worry, they pay the interest from the day you open the CD no matter when they finally get the money through the ACH. In my case, it was two weeks before they took the money out of my outside bank (too bad it was sitting in an interest-free checking account at the other bank!). But they paid interest on the CDs from day one even though they didn't yet have the money.
me1004me1004373 posts since
Jan 16, 2010
Rep Points: 2,598