Crestmark Bank Leads With 6-Month CD
In November, I wrote about Crestmark Bank’s (Crestmark) short-term CDs that were rate leaders at the time. Following recent rate increases, the 6-month CD (2.00% APY), 9-month CD (2.05% APY), and 12-month CD (2.20% APY) are again in the forefront. The minimum opening deposit is $25k, with no stated balance. While Crestmark’s website lists two deposit tiers ($25k and $100k), the APYs are the same for both.
Crestmark has the distinction of being the first bank to offer 2.00% APY on a 6-month CD. Since I last wrote about the 6- and 9-month CDs in November, the APYs have increased by 38 and 40 bps, respectively. In the past nine months, the 12-month CD's APY has jumped by 110 bps in several rate increases.
As stated in the Certificates of Deposit FAQs the Early Withdrawal Penalty reads as follows:
6 Month CD: 3 Months of Interest
9 Month CD: 4 Months of Interest
12 Month CD: 6 Months of Interest
Funding a CD can be done through ACHs, wires, or checks. Funds need to be received by the Bank within five business days of the application submission. Accounts are not considered to be opened until funds are received.
As DA readers are well aware, gaining access to maturing funds can sometimes be a daunting process. The Certificates of Deposit FAQs clearly describes the procedure.
Q: What do I do when my account comes to maturity?
Send a fax to (248) 641-5104 with your instructions as to whether you would like to renew your CD or redeem it. We will send your funds via check or wire transfer at no charge. Or you may email your request to [email protected] with your request as a pdf attachment. All requests require an authorized signature to be processed. If requesting a redemption and you would like the funds sent to you by wire or ACH, please include your bank’s routing number and your account number and whether it is to be sent to your checking or savings account.
Headquartered in Troy, Michigan, Crestmark Bank is a nationally recognized business-to-business lender that “specializes in diverse financial solutions for small-to-medium sized businesses.”
In the past, Crestmark offered its CDs intermittently, based on the Bank's desire to fund certain projects. That strategy has change, with Crestmark now offering CDs on consistent basis.
Since I last wrote about Crestmark, an online application has been added to the Bank’s website. As Crestmark’s sole branch location in Troy does not accommodate in-person CD transactions, a CD must be opened online.
Crestmark Bank has an overall health grade of "A" at DepositAccounts.com, with a Texas Ratio of 5.12% (excellent) based on December 31, 2017 data. In the past year, the Bank has increased its total non-brokered deposits by $252.72 million, an excellent annual growth rate of 48.32%. Please refer to our financial overview of Crestmark Bank (FDIC Certificate # 34353) for more details.
Founded by W. David Tull in October 1996, Crestmark Bank is currently the 13th largest bank headquartered in Michigan, with assets in excess of $1.2 billion. Tull recognized a niche market - “small-to-medium sized businesses that needed funding the more traditional banks could not provide” – and developed a solution. Crestmark has widened its original target market (manufacturing, service, and transportation industries) to include apparel, footwear, and home furnishings, while opening new offices in California, Florida, Louisiana, New York, and Tennessee. Crestmark.
How the CDs Compare
When compared to the similar length-of-term CDs tracked by DepositAccounts.com that are nationally available, Crestmark Bank’s 6-month CD APY currently ranks first, regardless of minimum deposit.
When compared to the similar length-of-term CDs tracked by DepositAccounts.com that are nationally available, Crestmark Bank’s 9-month CD APY currently ranks first, regardless of minimum deposit.
*Note: Melrose Credit Union is currently operating under an NCUA conservatorship.
When compared to the similar length-of-term CDs tracked by DepositAccounts.com that are nationally available, Crestmark Bank’s 12-month CD APY currently ranks second, regardless of minimum deposit. Two other internet banks – EBSB Direct and iGObanking – are offering the same 1-year APY as Crestmark Bank.
The above rates are accurate as of 3/24/2018.
To look for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table.
Thanks but no thanks Crestmark.
The 6 month term is interesting and the 1 year too as I have several large CDs coming due In June. One in April.
Wish Ally would do another no penalty deal at 2%.
Or call the bank or credit union and ask.
A $25 scanner has lots of practical uses.
I don't have a digital camera either.
Library is a good idea.
I can't imagine how those banks manage interest for savings and checking accounts, where balances change daily.