Last month, I wrote about First Ipswich Bank’s 30-month CD Special (2.05% APY), which is still available. At that time, there were two additional CD Specials being offered: 10-month (0.50% APY) and 19-month (1.20% APY), which I described as “hardly competitive.” Perhaps the Bank took note of my opinion of these two CD Specials, because as of this week, both have new and improved rates. The 10-month rate (1.45% APY) is fairly respectable when compared to 1-year CDs, but the 19-month CD rate (1.80% APY) is now quite competitive. The minimum deposit for either is $2.5k, with no stated balance cap.
The 19-month CD Special has been part of the product line for about three years and had an APY of 1.00% or below until this past April. In the past five months, there have been five rate changes, adding a total of 55 bps.
The fine print on the Deposit Rates page states,
Special Rates must be requested when a CD is opened or renewed.
As stated in the Certificate of Deposit Brochure, the Early Withdrawal Penalty reads as follow:
If the term of your account is greater than one year, the penalty will equal 180 days.
Headquartered in Ipswich, First Ipswich Bank’s market area is Massachusetts’ North Shore region (loosely defined as the coastal area between Boston and New Hampshire) and Cape Ann.
Opening an account at First Ipswich Bank can be done at any of six Massachusetts branches located in Danvers (opened in March 2017), Essex, Ipswich, Gloucester, Newburyport, and Rowley.
First Ipswich Bank’s online banking capabilities are currently limited to account management, bill payment services, and mobile banking.
First Ipswich Bank has an overall health grade of "B" at DepositAccounts.com, with a Texas Ratio of 20.23% (above average), based on June 30, 2017 data. In the past year, First Ipswich Bank has increased its total non-brokered deposits by $39.6 million, an excellent annual growth rate of 14.97% . Please refer to our financial overview of First Ipswich Bank (FDIC Certificate # 2595) for more details.
First Ipswich Bank opened its doors for business in 1892 as The First National Bank of Ipswich, and has been successful local financial fixture for 125 years. Six months ago, the Bank established its presence in Danvers, which is fast becoming “the Switzerland of the North Shore.” According to a March 2017 article in The Salem News,
The town now has 12 banks with 14 branch offices, with more than $1.6 billion in deposits.
Bankers say Danvers is attractive for several reasons: It's a well-run, blue-collar town with a strong commercial base and good housing stock. It's also centrally located as it is crisscrossed by Route 1, Route 128, Route 114 and Interstate 95.
Danvers has become a mini hub for banks, with its population of 26,500 and a median household income of $77,949, according to the U.S. Census.
How the CD Special Compares
When compared to the 296 similar length-of-term CDs tracked by DepositAccounts.com, requiring a similar minimum deposit and available with the Bank’s market area, First Ipswich Bank’s 19-Month CD Special APY currently ranks second.
The above rates are accurate as of 9/22/2017.