This is the sixth blog post I’ve written in the past nine months about ConnectOne Bank's (ConnectOne) Personal CDs. In the past two months, ConnectOne has added 107 bps to its 48-month Personal CD, which currently earns 2.94% APY. The 18-month Personal CD’s competitive 2.53% APY lasted only two weeks and dropped to 2.02% APY over the weekend. This leads us to the newest ConnectOne product with an eye-catching rate: the 10-month Personal CD (2.17% APY). The minimum opening deposit for any of the Personal CDs is $500, with no stated balance cap.
As stated in the Fixed Rate CD disclosure, the Early Withdrawal Penalty for the 10-month Personal CD reads as follows:
We will impose a penalty if you withdraw any or all of the funds before the maturity date. The penalty imposed will equal 180 days of interest on your account. The early withdrawal penalty will be deducted from the interest earned. If you have not earned enough interest on your account or if the interest has already been paid to you, the penalty will be deducted from the principal.
As DA reader, alan1, pointed out in reference to an earlier blog post, ConnectOne has added an FAQs page that answers,
How can I fund my account?
You can fund your new ConnectOne Bank through ACH transfer from your account at another bank. If you are already a ConnectOne Bank client, you can transfer funds from one of your other ConnectOne accounts.
What happens once my CD matures?
You will receive a maturity notice by mail prior to the maturity date of your CD. At this point, you can notify the bank, (by phone, in a branch, or by emailing email@example.com) if you decide to close the CD. If you choose to close the CD you will receive the amount in your account upon maturity by check. If you have other accounts with ConnectOne Bank, you may also have the funds transferred into one of those accounts.
CSR mentioned that beneficiaries cannot be designated; CDs can only be opened as an individual or a joint account. The maximum account that can be funded online is $1 million.
Thanks to DA reader, leemd, for his Forum post concerning the 10-month Personal CD.
Headquartered in Englewood Cliffs, New Jersey, ConnectOne Bank recently expanded its market area by offering its Personal CDs nationwide through its online application. According to the online application, Personal CDs may only be opened by “U.S. Citizens and U.S. Residents.”
ConnectOne's Simply Better Checking and Impact Money Market accounts can also be opened online, but only by New Jersey and New York residents.
The first page of the online application states this cautionary note,
Please note, pressing the "back" arrow / button will terminate your application and the data will be lost. For security purposes, we will not store data and the application should be completed in one online session.
ConnectOne Bank has 18 full-service New Jersey branches and one in New York City (Madison Avenue), in addition to its Private Client Center in Princeton, New Jersey.
ConnectOne Bank has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 10.50% (excellent) based on December 31, 2017 data. In the past year, ConnectOne Bank has increased its total non-brokered deposits by $325.78 million, an excellent annual growth rate of 11.97%. Please refer to our financial overview of ConnectOne Bank (FDIC Certificate # 57919) for more details.
In its thirteenth year of operation, ConnectOne Bank was originally established in 2005 as the North Jersey Community Bank. Following the acquisition of Citizens Community Bank, the Bank re-branded in 2013. Three years ago, ConnectOne Bank acquired Union Center National Bank and is currently the seventh largest bank headquartered in New Jersey, with assets in excess of $5.1 billion and more than 64,500 customer accounts.
How the Personal CD Compares
When compared to the 202 similar length-of-term CDs tracked by DepositAccounts.com, which require a similar minimum deposit and are available nationwide, ConnectOneBank’s 10-month Personal CD APY currently ranks second.
|Interest Rate||CD Length of Term||Credit Union/Bank|
|2.20% APY||12-Month iGOCD||iGObanking|
|2.17% APY||10-Month Personal CD||ConnectOne Bank|
|2.15% APY||1-Year CD||Live Oak Bank|
The above rates are accurate as of 3/26/2018.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.