Norwood Bank’s 16-month CD Special (1.50% APY) is one of those CDs that stands out with a competitive rate for a short time, then quietly returns to its former self. In the past 17 months, the 16-month CD Special’s APY was at 1.50% or above only three times, for a total of 15 weeks. The minimum opening deposit is $1k, with a $250k maximum deposit per household.
The 16-month CD Special is also being offered as an IRA (Traditional and Roth) earning the same APY, with the same funding requirements.
According to CSR, the Early Withdrawal Penalty (EWP) for the 16-month CD Special is three months interest.
Update 11/14/16: Norwood Bank is also offering a 7-month CD and IRA CD special. Minimum deposit is $2,500. Like the 16-month special, there's a maximum deposit of $250k per household.
Norwood Bank offers its services and product line to Massachusetts residents, although, according to CSR, the Bank prefers to have a customer base that is community based.
Opening a CD (or any other new account) requires an in-person visit to the sole Massachusetts branch located on Central Street in Norwood. Currently, Norwood Bank’s online banking platform is limited to account management and bill payment services, including Popmoney person-to-person payments.
Norwood Bank (FDIC Certificate # 26555) has an overall health rating of "A+" at DepositAccounts.com, with a Texas Ratio of 0.25% (excellent) as of June 30, 2016 data. In the past year, Norwood Bank increased its total deposits by $37.25 million, an excellent annual growth rate of 11.12%. Please refer to our financial overview of Norwood Bank for more details.
Norwood Bank was founded in 1889 as the Norwood Cooperative Bank at a time when the concept of cooperative banking was in its infancy. This unique approach to banking was central in meeting the housing demands and mortgage needs of the growing populations in the many manufacturing centers. As one of the oldest banks in the Boston metropolitan area, Norwood Bank continues to be actively involved in the local community through the Norwood Bank Charitable Foundation.
How the CD Compares
When compared to the 307 similar length-of-term CDs tracked by DepositAccounts.com, requiring a similar minimum deposit and available to Massachusetts residents, Norwood Bank’s 16-Month CD Special currently ranks third.
The above rates are accurate as of 11/5/2016.