There hasn’t been much occasion to write about any of VirtualBank’s products in almost 18 months. That changed over the weekend with the rate increases on its 12-month eCD (1.26% APY), 18-month eCD (1.31% APY), 2-year eCD (1.51% APY), and 3-year eCD (1.56% APY). These new rates are the highest for these eCDs in more than five years.
The minimum opening deposit for any of VirtualBank’s eCDs is $10k, with no stated balance cap. Interest is compounded and credited monthly.
|1.56%||$10k||-||Virtual Bank||3 Year eCD|
|1.51%||$10k||-||Virtual Bank||2 Year eCD|
|1.36%||$10k||-||Virtual Bank||18 Month eCD|
|1.31%||$10k||-||Virtual Bank||12 Month eCD|
As stated in VirtualBank’s Terms and Conditions, the Early Withdrawal Penalty (EWP) reads as follows:
Headquartered in Miami, VirtualBank is an internet only bank that offers it services and product line nationwide.
As stated on the eCD page opening any VirtualBank eCD must be done online:
Step 1: Complete our online certificate of deposit application and provide certain information about yourself and any joint owner. To fund the eCD quickly and electronically, we will need your personal checking account number, bank name and routing number. You can choose to connect the eCD to any checking account, including one at VirtualBank.
Step 2: We'll send two small deposit amounts to your personal checking account. You then review your checking account transactions to verify these deposits.
Step 3: Let us know you received both deposits and verify the amounts online.
Step 4: Then we'll electronically transfer the opening deposit from your connected checking account.
VirtualBank (FDIC Certificate # 21837) has an overall health grade of "A" at DepositAccounts.com, with Texas Ratio of 8.86%, based on June 24, 2016 data. In the past year, VirtualBank has increased its total deposits by $448.47 million, an excellent annual growth rate of 11.64%. Please refer to our financial overview of VirtualBank for more details.
VirtualBank was originally the internet branch of Lydian Private Bank. When Lydian failed in 2011, Sabadell United Bank assumed all deposits, and VIrtualBank has continued to operate as an internet bank solely. Sabadell United Bank maintains a high-level presence in South Florida with 24 branches and assets in excess of $5.4 billion.
How the eCDs Compare
Of the four eCDs with new APYs, the 12-month and 2-year eCDs are the most competitive.
When compared to the 208 similar length-of-term CDs tracked by DepositAccounts.com, which require a similar minimum deposit and are available nationally, VirtualBank's 12-month eCD APY currently ranks fourth.
When compared to the 28 similar length-of-term CDs tracked by DepositAccounts.com, which require a similar minimum deposit and are available nationally, VirtualBank's 2-year eCD APY currently ranks second.
The above rates are accurate as of 10/24/2016.