It’s not only Columbus Day, but it’s also National Online Bank Day. This was a day that Ally Bank first promoted last year to highlight the benefits of internet banks. Most brick-and-mortar banks are closed for Columbus Day, but many internet banks (including Ally) are open with customer service taking calls.
To celebrate the occasion, Ally Bank is offering a new Select CD, which features a limited time promotional rate and term (1.25% APY 15-month).
Features of this 1.25% APY 15-month Select CD include :
Promotional rate and term available through 11/07/2016
There is no minimum opening deposit or maximum balance cap.
The Early Withdrawal Penalty is 60 days of interest.
At maturity, the account rolls over into a 1-year term.
Select CDs are becoming a common occurrence at Ally. Last month Ally Bank offered a 30-month Select CD (ended on September 15).
Headquartered in Midvale, Utah, Ally Bank is currently the 3rd largest internet bank and the 22nd largest bank in the country, with assets in excess of $114 billion and over 2.1 million customer accounts. Ally offers its services and product line to individuals 18-years or older, who have a valid Social Security number and a U.S. mailing address. Opening the 15-month Select CD can be done online or by phone (877.247.2559).
Ally Bank (FDIC Certificate # 57803) has an overall health grade of "A+" at DepositAccounts.com, with a Texas ratio of 1.51% (excellent) based on June 30, 2016 data. In the past year, Ally has increased its total deposits by $10.89 billion, an excellent annual growth rate of 17.61%. Please refer to our financial overview of Ally Bank for more details.
How the CD Compares
From a competitive point of view, this new 15-month Select CD is a little disappointing. Popular Direct is offering 1.30% APY for its 12-month internet CD and 1.35% APY for its 18-month CD. EBSB Direct is offering a 16-month CD with a 1.41% APY, and Synchrony Bank is offering 1.25% APY for its 12-month CD.
A 15-month term is a little harder to compare since fewer banks and credit unions offer this term. When compared to 15-month CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationwide, Ally Bank’s 15-month Select CD ranks fourth.
|Interest Rate||CD Length of Term||Credit Union/Bank|
|1.50% APY||15-Month Special CD ($1k min)||Veridian Credit Union|
|1.45% APY||15-Month Share Certificate Special ($5k min)||NASA FCU|
|1.26% APY||15-Month Money Market Certificate ($1k min)||PenFed Credit Union|
|1.25% APY||15-Month Select CD (no min)||Ally Bank|
The above rates are accurate as of 10/10/2016.