State Bank of Texas Ups Jumbo MMDA Rate

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Deal Summary: Jumbo MMDA (money market), 1.55% APY, $100k minimum.

Availability: Nationwide

In the past 16 months, I have written about State Bank of Texas’ (SBT) Jumbo MMDA three times. Since February 2016, the competitive Jumbo MMDA was available only in Chicago, then offered nationwide, then withdrawn completely for a short time, and then reinstated as a nationally available product in late August.

Last week, SBT raised the rate on the Jumbo MMDA to 1.55% APY on balances of $100k+, and CSR confirmed that it is still available nationwide.

APYMINMAXINSTITUTIONPRODUCTDETAILS
1.55%$100k-State Bank of TexasJumbo MMDA
Accounts mentioned in this post. Rates as of September 19, 2017.

The Jumbo MMDA is a fairly straightforward account, with no unusual conditions or requirements, but it does require a minimum $100k opening deposit. SBT’s Personal Banking page states:

Minimum balance of $100,000 required to earn the stated rate, no interest paid if balance falls below $100,000.

Monthly maintenance fee of $20.00 if the average daily balance falls below $25,000.00.

Availability

Headquartered in Dallas, State Bank of Texas’ primary market area includes the Dallas metropolitan area and the Chicago metropolitan area, but the Jumbo MMDA is available nationwide.

Opening a Jumbo MMDA can be done in person at any of the four Texas branches located in Dallas, Garland, Irving, and Richardson, or the single Illinois branch located on Chicago’s North Side.

A “New Account Form” will be emailed to out-of-state customers that can be returned by mail, email, or fax. According to the New Account Form, funding the account can be done by wire, check, or ACH. If beneficiaries will be added, Social Security numbers are required.

Bank Overview

State Bank of Texas has an overall health grade of "B+" at DepositAccounts.com, with a Texas Ratio of 14.48% (above average) based on March 31, 2017 data. In the past year, SBT has increased its total non-brokered deposits by $298.51 million, an excellent annual growth rate of 64.42%. Please refer to our financial overview of State Bank of Texas (FDIC Certificate # 27074) for more details.

Thirty years after opening its doors for business, State Bank of Texas is still a family-owned and operated bank. After 20 years in the hotel industry, SBT’s founder, Chan Patel, set out to create a bank for the immigrant community, particularly those in the hospitality industry. At the time, $2 million of capital was required to start a bank; Patel had $1 million of his own to invest but needed to find investors for the remaining $1 million. Using the novel approach of offering a lifetime career as a professional banker and a Director’s position in exchange for a $100K investment, Patel raised the monies within two weeks.

SBT is currently the 65th largest bank in Texas, with assets in excess of $959 million. Beginning in 1990, SBT acquired two Texas banks and two Illinois banks, the most recent acquisition being Seaway Bank and Trust Company (Chicago) in January 2017.

How the Jumbo MMDA Compares

When compared to the 210 Money Market Accounts tracked by DepositAccounts.com that are available nationwide, State Bank of Texas’ Jumbo MMDA APY currently ranks first, regardless of minimum deposit requirement.

The above rates are accurate as of 6/26/2017.

To look for the best Money Market Account rates, both nationwide and state specific, please refer to our Money Market Account rates table or our Rates Map page.

Related Pages: Chicago money market accounts, Dallas money market accounts, money market accounts, nationwide deals

Comments
RichReg
RichReg   |     |   Comment #1
Not a bad deal. Someone has to explain to me why "caps" are necessary on these offers while this bank manages to pull in $100k or more per account.
Oh crap, I'm short twelve bucks....
Stewie
Stewie   |     |   Comment #2
I'll loan you that twelve bucks at 937% interest compounded semi-hourly, of course I'll need collateral....
Bugs Bunny
Bugs Bunny   |     |   Comment #3
I got $140k rotting in an account with a 1.30% rate. I'm outta there for this one. Thanks Ken!
annonymous
annonymous   |     |   Comment #12
Yes, me too!! But I need to open the account online. I just sent a message & am waiting for reply. Since I e-mailed I see that they will probably have to e-mail an application form. Will take some time to complete process.
Anon1
Anon1   |     |   Comment #4
The 1.55% rate only applies to new accounts or "new" money, so be careful. Existing account holders wanting to add money at new rate have to call them according to a CSR.
bmx
bmx   |     |   Comment #5
does it say how long rate is guaranteed?
martin
martin   |     |   Comment #6
is it really worth the effort to go from 1.3% to 1.5%
lot of work for pennies
midas89
midas89   |     |   Comment #7
So, Self-Help CU is 1.31% for most people. SBT is 1.55%. That's a 0.24% difference, of course.

If one is lucky enough to have $200,000 cash, the extra interest would equal $480 per year. That's $40 per month.

(Not quite pennies, as you put it. But of course, is $40 per month to someone who has $200K worth it to that person regarding the time and effort it would take to open up this SBT account, etc.?)
Bugs Bunny
Bugs Bunny   |     |   Comment #10
Yeah, I'm gonna make $35/month to move my money. Not bad for 10 minutes of work.
TRUTHDACTYL
TRUTHDACTYL   |     |   Comment #18
YOU ARE THE NEW BERNARD BARRUCH!
rateshopper
rateshopper   |     |   Comment #8
Is it worth chasing after a few basis points that aren't guaranteed to last for any length of time?
RichReg
RichReg   |     |   Comment #11
Optimally, 1st order of checks would be nice with a money market so you can drop out immediately if necessary. But if you have a 2nd best alternative set-up with efficient ACH capabilities, you can always use that as well. Bottom line is you need to pay attention just a little...
Att
Att   |     |   Comment #9
If you go below 100,000 no interest paid.
scubabelle
scubabelle   |     |   Comment #13
I realize that, if you're going to have a jumbo MMDA, then you should be a "jumbo" type of investor. However, I really see this account as all or nothing. Either you're at $100K+ or you zero out and close the account. If you had to dip below $100K, you'll earn no interest. Heaven forbid you drop below $25K and now you're paying them to hold your money. It's too funky. Thank you but I'll keep my cash at PurePoint and Barclays for max flexibility and ACH access and excellent customer service.
annonymous
annonymous   |     |   Comment #14
Just a good place to keep your liquid funds ($100K+). So you wouldn't pull money out, unless you had a more profitable interest rate to place those funds. I like PurePoint, 1.25% & it is an easy place to move funds in or out (keep $10K), but why not go for 1.55% rate?
Att
Att   |     |   Comment #17
No guarantee on the rate. If you go with ally and set up 4 $25,000 11 month CDs with no penalty that could be an alternative and you get 1.5% guaranteed for 11 months or can get out if you find a higher rate.
mapleman
mapleman   |     |   Comment #15
tried to open an account. called and had paperwork mailed to me. completed and mailed back. never heard anymore. if that is the kind of customer service you get when they are trying to get your money, I hate to think what it would be like after they had it. I will look elsewhere.
deplorable 1
deplorable 1   |     |   Comment #16
1.55% is a pretty good deal for liquid cash but I already have $50,000 in that 2% NFCU CD and another $25,000 in a Vibe CU CD @2.5%, $35,000 at Redneck bank MMA @1.5 and multiple 5% $5,000 debit card savings accounts plus a few bank bonuses going on. Maybe when my last Wilshire/Bank of hope 2.28% $100,000 installment CD matures in 11 months I'll open one of these while looking for the next CD deal pop up. I hope it is still available nationwide by then and the rate doesn't drop.
TRUTHCERATOPS
TRUTHCERATOPS   |     |   Comment #19
PT BARNUM WAS RIGHT.
midas89
midas89   |     |   Comment #20
This 1.55% rate is looking even sweeter now that Self-Help CU just lowered their rate. Thanks, Ken, for letting everyone know this news. (Of course, if SBT is inundated with so much new money, they might lower the rate just as Self-Help has done.)

Self-Help Credit Union lowered their Money Market rate from 1.31% APY to 1.26% APY (for balances under $500K). (I am guessing that after the news that they raised their rate to 1.31% hit here at Deposit Accounts and at FatWallet, they were inundated with new money.)
John
John   |     |   Comment #21
After completing the new account form they mail you, can all future transactions be done online?
John
John   |     |   Comment #22
Also, I can't find the "New Account Form". Where is it?
Deal
Deal   |     |   Comment #23
No ACH to open? Forget it. .002% is not worth my time.
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Availability: Nationally available

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