I looked into CDBANK (parent bank is TBK Bank) because rates seemed good, but the T&C (Truth in Savings Disclosure) seemed to have some bad terms. I don't like doing business with banks that have the bad stuff in the fine print.
For example, default is for interest to be compounded semi-annually.
Also, early withdrawal penalties are 90 days for less than 1 year; 12 months for 1 year to less than 2 years. 12 months penalty for a 1 year CD!!! 18 months for 2 years to less than 3 years.
I opened a 9-month CD online. They said they mailed a paper copy twice, but I never received it. Finally they sent it via FedEx. Now that the time has come to redeem the CD, the only options for redemption are a mailed check or a wire. The redemption request must be mailed or faxed. Since I'm in the midst of moving and in view of the fact that there seems to be a problem with the mail between the bank and my location (as per the failure of the paper copy of the CD to arrive by mail) I opted for the wire option. Ifaxed the wire request 5/6 for redemption 5/8. On 5/13, funds were still sitting in the CD. Emailed on 5/11 to ask why there had been no action on the redemption and got no response. Called the bank 5/13 and only got voice mail. Called repeatedly, finally got a live person who transferred me to...voicemail! Called repeatedly again, asked for manager and got voicemail. Called again repeatedly, finally got a live person and I told them not to transfer me. I explained the situation, and she apparently got a message to the right person after I explained the situation. By the end of the day, I got a callback in which they confirmed the wire instructions and said they would wire the funds today and waive the wire fee. Hopefully the wire will be successful, and I will never have to deal with this sad excuse for a bank again.
Somehow I managed to navigate through this mess of a bank website and open one CD. A week or so later I tried to open another CD and the fun began. First I received a phone call from one of their representatives saying I had tried to open a CD under their limit. When I finally got their attention, I notified the rep she was speaking to the wrong person. She apologized and said something about the same last name. I continued to attempt to open the second CD for over 2 weeks. I called every number I could find for them numerous times, only to get voicemail and never a returned called. I emailed numerous times to email addresses I was given by the rep and on their website. Never a returned email. The second CD was never funded and I assume never opened. I find it hard to comprehend that the CEO of this bank would allow this type of service under their watch. Great advertised rate, but definitely not worth the effort. Avoid this bank.
CD Bank is by far, and that is saying quite a bit, the worst bank to deal with for anything. The online application uses a horrible verification system and would not allow opening the new account without calling in. After first being given the wrong number to call, I tried to reach someone at least a dozen times. No one return our calls or e-mails. After finally getting in touch with someone, they could not assist or escalate the request. Finally spoke with someone and we supplied info the site would not accept. Was told to try the on-line application in an hour but all day long we could not get the info into their system. CD Bank is too shoddy and unprofessional to earn our business. We were ready to deposit quite a bit into their CDs but my money is going to Andrews Credit Union instead. I urge you to avoid CD Bank at all costs as you may never see your money again.
Rarely have I been misled by a "Tumin tip", but this online bank takes the cake! Have read the other comments and they are spot on. Personal experience suggests that when there are difficulties opening an account online or with messages left with the institution that go unanswered, it is best to STAY AWAY! The few bps supposedly "offered" are not worth the frustration (and/or lost interest income). These people are not ready for "prime time".
This bank's application system is dysfunctional. I attempted to open a CD application. The software crashed several times during this process. When I tried to contact CD Bank at the phone number listed no one answered. Attempts to contact the sponsoring bank, TBK Bank, also failed.
Finally I was able to reach a 'manager' at one of TBK Bank's branches. The woman I spoke to was not aware of CD Bank (!) even though their website directs all CD applications to CD Bank's site.
This behavior does not inspire confidence in prospective customers.
I tried to open a CD through this bank’s website. I got sent to TBK Bank. Clicked on “Apply in minutes”. So far, when trying to apply for a CD, I’ve gotten 2 different screens from TBK Bank. One screen asks how you learned about the bank. Doesn’t matter what you answer, you get sent in an “expired page” loop. Another screen try opens to a page that asks what state you reside in but the only options are CO,KS, TX, Ill, IA & other. I click other and get sent to the same “create new application” link/page which sends me on the same “session expired” loop. For an internet bank, their website is not helping them get new customers. Moving on to the next high interest cd bank ….
On a 12-month CD this bank has the most aggressive early withdrawal penalty that I've seen thus far. "Early Withdrawal Penalty (Days) 365". You will loose a chunk of your principal if you have to get your funds out prior to CD term expiring.