Earlier this week, First Choice Bank (First Choice) raised the rate on its 18-month CD (1.50% APY). The minimum opening deposit is $1k, with no stated balance cap.
|1.50%||$1k||-||First Choice Bank (NJ)||18 Month CD|
|1.50%||$1k||-||First Choice Bank (NJ)||18 Month IRA (Traditional, Roth, SEP)|
The 18-month CD has been a part of First Choice’s product line since mid-2010. During those six years, there have been 18 rate changes, ranging from a high of 1.75% APY (June 2010) to a low of 0.80% APY (April 2016).
The 18-month CD is also available as an IRA (Traditional, Roth, and SEP), earning the same APY with the same funding requirements.
According to CSR, the Early Withdrawal Penalty is “six months of accrued interest.”
Headquartered in Lawrenceville, New Jersey, First Choice Bank’s market area includes New Jersey and the Philadelphia metropolitan area.
First Choice has a new online application, but according to the Bank’s website, “Please note that, at this time, online account opening is available to residents of New Jersey only.” A further limitation is that the online application only lists the Statement Savings account. CSR confirmed that the online application is a work in progress, with more accounts to being added.
Opening the 18-month CD must be opened in person at any of six New Jersey branches located in East Windsor, Hamilton, Kingston, Lawrenceville, Mercerville, and Robbinsville or two Pennsylvania branches located Horsham and Morrisville.
First Choice Bank (FDIC Certificate # 58471) has an overall health grade of "C+" at DepositAccounts.com, with a Texas ratio of 20.87% (above average) based on June 30, 2016 data. First Choice Bank has an excellent capitalization level (11.41%), a result of holding $1.1 billion in assets with $125.69 million equity Please refer to our financial overview of First Choice Bank for more details.
Currently, First Choice Bank is New Jersey 21st largest bank with assets in excess of $1.1 billion. Founded in March 2007, First Choice Bank will probably not have a chance to celebrate its 10th anniversary. A June 2016 press release announced that
Berkshire Hills Bancorp, Inc. (BHLB) and First Choice Bank (Private; "First Choice") today announced that they have signed a definitive merger agreement under which First Choice Bank will merge into Berkshire Bank and its subsidiary, First Choice Loan Services Inc., will become a subsidiary of Berkshire Bank in an all-stock transaction valued at approximately $111.7 million.
How the CD Compares
When compared to the 214 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available within the Bank’s market area, First Choice Bank’s 18-Month CD APY currently shares the top spot with Veridian Credit Union’s 15-month Special CD and Credit Union of New Jersey’s 20-month CD Special.
|Interest Rate||CD Length of Term||Credit Union/Bank|
|1.50% APY||18-Month Special CD||First Choice Bank|
|1.45% APY||15-Month Share Certificate Special||NASA Federal Credit Union|
|1.40% APY||18-Month VIP CD Special||Lake Michigan Credit Union|
The above rates are accurate as of 9/16/2016.