Having a bit of DA déjà vu? It’s only been 10 days since I wrote about Philadelphia-based Hyperion Bank’s (Hyperion) promotional CD rates. Hyperion has definitely heightened the competitiveness on the 13-month CD (3.20% APY) and 19-month CD (3.50% APY) by adding 35 and 40 bps, respectively. The minimum opening deposit is $500 of new money “and/or funds deposited within the previous 30 days at Hyperion Bank.”
Both CDs are available as IRAs (Traditional and Roth), earning the same promotional APYs with the same funding requirements.
According to CSR, the Early Withdrawal Penalty for the 13-month CD is three months interest and six months interest for the 19-month CD.
Thanks to the DA reader who emailed me with Hyperion Bank’s new rates, which were advertised in Sunday's Philadelphia Inquirer.
Funding and Accessing Maturing Funds
Funding a CD can be done by wire (no charge for incoming) or by check – no ACH transfer available at this time. There is a 10-day grace period before a CD automatically renews. Funds can be distributed by check or wire ($25 fee), or deposited in an existing Hyperion checking account. The Bank is in the process of expanding its online application capabilities, and it is possible that by the time these CDs mature, the online banking platform will be able to accommodate an ACH transfer.
Headquartered in Philadelphia, Hyperion Bank currently offers its product line nationwide via email and snail-mail, but there is no functioning online application. The New Consumer Account Form (the first step in opening a CD) can be requested by calling 215.789.4200.
As stated on the New Consumer Account Form, US citizens, permanent residents, and non-US residents are eligible to open an account. Two beneficiaries can be named, with no Social Security number required. You also need to state whether you are “affiliated with a Marijuana Related Business” or not.
If you live in the greater Philadelphia metropolitan area, you can also open a CD Special at Hyperion Bank’s sole branch on West Girard Avenue (Northern Liberties section).
It should be noted that Hyperion Bank is a very small bank, with less than $100 million in assets, 21 employees, and a single branch. With these latest rate increases, Hyperion Bank may be inundated with inquiries and possibly overwhelmed by offering the newest hot deal around. Feel free to share any experience you have in opening one of these CDs.
Hyperion Bank has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 7.85% (excellent), based on September 30, 2018 data. Hyperion has an excellent capitalization level (22.84%), the result of holding $96.73 million in assets with $22.1 million in equity. Please refer to our financial overview of Hyperion Bank (FDIC Certificate # 58371) for more details.
Hyperion Bank is a young bank, having been established in 2006 to “support investment in the evolving neighborhoods of Northern Liberties and the River Wards.” The Bank has recently raised $18.3 million from private investors, with the intention to more than triple its loan capabilities. According to an October 2018 Philly.com article,
"The new capital will enable the bank to make commercial loans up to $3 million" each, up from less than $1 million per loan last year, said Crawford, a Wharton School grad who founded a string of small banks in Georgia over a 30-year banking career before returning to Philadelphia for the Hyperion job last year.
How the CDs Compare
When compared to 204 similar length-of-term CDs tracked by DepositAccounts.com that are available nationwide and require a similar minimum deposit, Hyperion Bank’s 13-month CD APY currently ranks first.
When compared to 157 similar length-of-term CDs tracked by DepositAccounts.com that are available nationwide and require a similar minimum deposit, Hyperion Bank’s 19-month CD APY currently ranks first.
The above rates are accurate as of 2/25/2019.
To search for the best CD rates, both nationwide and state specific, please refer to our CD rates table page.