If you look at Texas-based NexBank's page on DA, you will see a string of 0.75% APYs under the CD Rates heading. This is not an error: more than three years ago, NexBank began offering the same rate on its 12-, 18-, 24-, 36-, 48, and 60-month CDs.
The current 0.75% APY has been in effect for about 15 months, becoming quite competitive as other nationally available 1-year CDs have experienced rate decreases. All of NexBank’s CDs can be opened with a minimum $10k deposit, with a balance cap of $240k.
NexBank’s website is light on documentation, with no Truth-in-Savings Disclosure available online. According to CSR, the Early Withdrawal Penalty for the 12-month CD is 60 days’ interest on the amount being withdrawn, with partial withdrawals allowed. Should a withdrawal result in a balance of less than $10k, the CD will be closed.
Funding and Accessing Maturing Funds
The options for funding a NexBank CD include ACH, wire transfer, or check. According to CSR, funding instructions are detailed on the online application. Maturing funds can be distributed by cashier’s check or by wire, or transferred to a NexBank checking or savings account. NexBank CDs automatically renew following a 10-day grace period.
Headquartered in Dallas, NexBank offers a portion of its product line to all U.S. citizens and permanent U.S. residents (18 years or older, with a current U.S. address) through an online application.
Opening and funding a CD can be done online. If you prefer a brick-and-mortar experience, CDs can also be opened at either of the two full-service Dallas branches, located in the Uptown and University Park neighborhoods. The lobbies of both branches are open to walk-in traffic during normal business hours, Monday through Friday.
NexBank has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 7.46% (excellent), based on March 31, 2021 data. In the past year, NexBank has increased its total non-brokered deposits by $623.02 million, an excellent annual growth rate of 10.11%. Please refer to our financial overview of NexBank (FDIC Certificate # 29209) for more details.
Originally established in 1934 as the Terrell Federal Savings and Loan Association, NexBank has grown to become the 14th largest bank headquartered in Texas, with assets in excess of $9 billion. The NexBank rebrand occurred in 2004, when a group of Dallas investors purchased the bank in hopes of developing a “sophisticated and capable force in commercial real estate and specialty financing (local) and [a] leader in deposit and savings rates.”
According to a March 2021 press release,
NexBank Capital, Inc., a Dallas-based financial services company, announced that for the third consecutive year it has been recognized as a top-performing U.S. bank by S&P Global Market Intelligence.
NexBank Capital, Inc. ranked 17th in the nation among banks with $3 billion to $10 billion in assets. It had the fourth-highest return on average tangible common equity and the sixth-lowest efficiency ratio among the ranked banks.
How the CD Compares
When compared to the nationally available similar length-of-term CDs tracked by DepositAccounts.com, which require a minimum deposit of $10k or less and are offered by banks only, NexBank’s 12-month CD APY currently ranks first.
When compared to the nationally available similar length-of-term CDs tracked by DepositAccounts.com, which require a minimum deposit of $10k or less and are offered by both banks and credit unions, NexBank’s 12-month CD APY currently ranks second.
The above information and rates are accurate as of 7/24/2021.
To search for the best CD rates, both nationwide and state specific, please refer to our CD Rates Table page.