In the last six months, I’ve written four separate blog posts about Popular Direct’s longer term Popular Direct CDs. Now it’s the shorter-term CDs turn. At the end of last week, Popular Direct raised the rates on its 6-Month Popular Direct CD (1.40% APY), 1-year Popular Direct CD (1.55% APY), and 18-month Popular Direct CD (1.70% APY). The minimum opening deposit for any Popular Direct CD is $10k, with no stated balance cap.
|1.70%||$10k||-||Popular Direct||18 Month Popular Direct CD|
|1.55%||$10k||-||Popular Direct||1 Year Popular Direct CD|
|1.00%||$10k||-||Popular Direct||6 Month Popular Direct CD|
As stated on the CD Disclosure page, the Early Withdrawal Penalty (EWP) reads as follows:
For terms equal to or greater than 91 days but less than 12 months, the fee is 120 days simple interest.
For terms equal to or greater than 12 months but less than 36 months, the fee is 270 days simple interest.
As an online division of Banco Popular North American, Popular Direct’s website states,
All Popular Direct deposit products are offered by, and will be opened through, Banco Popular North America (BPNA). BPNA is a Member FDIC institution and a New York state chartered bank.
Opening any type of account, including Popular Direct CDs, must be done online.
Popular Direct/BPNA has an overall health grade of "A" at DepositAccounts.com, with a Texas ratio of 6.70% (excellent) based on March 31, 2017 data. In the past year, the Bank has increased its total non-brokered deposits by 971.84 million, an excellent annual growth rate of 19.57%. Please refer to our financial overview of Popular Direct/BPNA (FDIC Certificate # 28934) for more details.
BPNA was also the holding institution for E-LOAN, but on May 15, 2017, all E-LOAN deposit products became Popular Direct products. BPNA is currently the 13th largest bank headquartered in New York, with assets in excess of $8.83 billion and more than 243,000 customer accounts.
Note: Earlier in June, The New York Times ran an article about Santander’s takeover of the failed Spanish bank, Banco Popular. The similarity in names caused a DA reader to express some concern about BPNA. To quote myself from a Forum post,
Popular Direct is a division of Banco Popular North America, which is a subsidiary of the Puerto Rico-based bank holding company, Popular, Inc. I can find no connections between Popular, Inc. and the Spanish Banco Popular.
How the CDs Compare
When compared to the 190 similar length-of-term CDs tracked by DepositAccounts.com that are available nationwide, Popular Direct’s 6-month CD APY currently ranks second, regardless of minimum deposit.
When compared to the 209 similar length-of-term CDs tracked by DepositAccounts.com that are available nationwide, Popular Direct’s 1-year CD APY currently ranks first, regardless of minimum deposit.
When compared to the 150 similar length-of-term CDs tracked by DepositAccounts.com that are available nationwide, Popular Direct’s 18-month CD APY currently ranks first, regardless of minimum deposit.
The above rates are accurate as of 7/3/2017.