3.29% 6-Month CD with Add-On and Penalty-Free Features at Saehan Bank in California


Update 5/16/09: The rate has fallen to 2.25% APY.
Update 5/02/09: The rate has fallen to 2.85% APY.

Saehan Bank is offering a special CD called the Smart Choice CD. It has a 3.29% APY for a 6 month term. Minimum deposit is $10,000, and a maximum balance of $90,000. It allows an unlimited number of deposits in multiples of $1,000, and 5 penalty free withdrawals during the term. An active checking account is required. The rate is listed at the Smart Choice CD page as of 3/29/09.

It appears that a branch visit is required to open an account. Branches are located in Los Angeles and its suburbs.

The bank's ratings for safety and soundness are weak: 3 stars (adequate) at BauerFinancial (based on 12/31/08 data) and 1 star (lowest) at Bankrate.com (based on 9/30/08 data). The bank has been FDIC insured since 1991 (FDIC Certificate # 33435).

Thanks to the reader who mentioned this special CD in the Daily News & Deals Post.
Anonymous   |     |   Comment #1
I wonder why this bank decided on a $90,000 balance limit? How did they come to that specific figure?
Anonymous   |     |   Comment #2
I tried to call them to verify about having to open an account locally. I'm out of state.

I went through about 4 people. None of them speak anything except broken English.

They do want you to visit locally because of the need for identification requirements. Seems odd to have people who do not even speak English to be checking my ID for the patriot act. Seems like it should be other way around this case!!
Anonymous   |     |   Comment #3
Does anyone know their definition "active" checking account?
Anonymous   |     |   Comment #5
This Bank is going to fail soon. It just got a cease and desist order from the FDIC. I wouldn't put my money here.