The 12-23 month CD offered by Michigan-based First National Bank of America (FNBA) has been included in DA’s bi-weekly CD Rates Summary for several months, always within reach of the rate leaders in the 1-year CD category. Following the recent rate attrition, the 12-23 month CD’s current 2.45% APY is now the highest nationally available 1-year CD rate offered by a bank.
|1.05%||$1k||-||First National Bank of America||12-23 Month CD|
|1.05%||$1k||-||First National Bank of America||12-23 Month IRA CD (Traditional, Roth)|
The 12-23 month CD is available as an IRA (Traditional and Roth), earning the same APY with the same funding requirements.
FNBA’s website now includes a Time Deposit Account Agreement (part of the online application). The Early Withdrawal Penalty reads as follows:
Original maturity of 12 months - 23 months: you will forfeit 180 days of interest that would have been earned on the amount withdrawn if the deposit had remained on deposit until maturity. This may result in the reduction of original principal.
According to a FNBA CD Specialist,
- CDs can be opened as an individual or joint account, with trust accounts (revocable or irrevocable) also permitted.
- Up to four beneficiaries can be named on the online application, but more can be added by phone. Social Security numbers for beneficiaries are not required. Primary beneficiaries (one or two) and contingent beneficiaries (one or two) can be named. Beneficiaries can also be assigned equal shares.
- Funding can only be done through an ACH transfer. There is a limit of $250k per each online application.
- The standard method of distributing maturing funds is a cashier’s check, although a wire transfer is possible. A transfer of funds to an FNBA checking or savings accounts is not possible for those customers who live outside the Bank’s Michigan market area.
- There is a ten calendar day grace period before a CD automatically renews.
In April, FBNA’s long-term CDs had the highest rates available for 60-, 72-, and 84-month CDs. In a series of rate drops over the past few months, the 60-, 72-, and 84-month CDs have lost 65, 70, and 75 bps, respectively, but remain competitive in the current rate climate.
|1.50%||$1k||-||First National Bank of America||84 Month CD|
|1.45%||$1k||-||First National Bank of America||72 Month CD|
|1.40%||$1k||-||First National Bank of America||60 Month CD|
Headquartered in East Lansing, Michigan, First National Bank of America offers its CDs on a nationwide basis to US citizens and alien residents possessing a valid Social Security number.
CSR pointed out that the last page of the online application requires a copy of your government-issued ID be uploaded. Having the ID available in a digital format will help insure your online application won’t time out.
Your application will be reviewed by an Online Specialist who will reach out to you by the next business day regarding your next steps.
First National Bank of America has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 20.26% (above average), based on June 30, 2019 data. In the past year, FNBA has increased its total non-brokered deposits by $273.91 million, an excellent annual growth rate of 41.91%. Please refer to our financial overview of First National Bank of America (FDIC Certificate # 17438) for more details.
Established in 1955 as the First National Bank of East Lansing, First National Bank of America is currently Michigan’s sixth largest bank, with $2.1 billion in assets and more than 28,000 customer accounts. The Bank re-branded as First National Bank of Michigan in 1978 and as First National Bank of America in 1998. (FYI – the “First National Bank of Michigan” brand was recycled in 2006, when a Kalamazoo bank opened using the name.) Sixty-four years after opening its doors for business, FNBA is still a private, family-owned company offering traditional banking services and mortgages, with a subsidiary company involved in the note buying industry.
How the CD Compares
When compared to 205 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationwide, First National Bank of America’s 12-23 month CD APY currently shares the top spot with Home Loan Investment Bank’s 1-year e-CD APY.
The above rates are accurate as of 10/7/2019.
To search for the best CD rates, both nationwide and state specific, please refer to our CD rates table page.