Deal Summary: 60-month CD, 2.26% APY, $500 minimum deposit
Pennsylvania-based Washington Savings Bank ended the week by raising the rate on its 60-month CD (2.26% APY) by 21 basis points. The minimum deposit is $500, with no stated balance cap.
|3.03%||$500||-||Washington Savings Bank (PA)||60 Month CD|
|3.03%||$250||-||Washington Savings Bank (PA)||60 Month IRA (Traditional, Roth, CESA)|
DA has been tracking the 60-month CD for nearly six years, during which time there have been 12 rate changes. This week’s rate increase has resulted in the highest APY ever for the 60-month CD.
The 60-month CD is available as an IRA (Traditional, Roth, CESA), earning the same APY, but with a lower minimum deposit of $250.
According to CSR, the Early Withdrawal Penalty for the 60-month CD is six months interest, which is a mild penalty for a long-term CD. Using DA’s Early Withdrawal Penalty Calculator, you can see all the effective yields when closing the 60-month CD early. For example,
- 1.15% APY, closed at Year 1
- 1.71% APY, closed at Year 2
- 1.90% APY, closed at Year 3
- 2.00% APY, closed at Year 4
Headquartered in Philadelphia, Washington Savings Bank’s market area is primarily the metropolitan Philadelphia area, but also includes nearby New Jersey communities.
Opening a CD (or any other type of account) with Washington Savings Bank requires a visit to any of four Pennsylvania branches, all located in Philadelphia.
Currently, Washington Savings Bank’s online banking platform is limited to account management, bill payment services, and mortgage loan applications.
Washington Savings Bank has an overall health grade of "B" at DepositAccounts.com, with a Texas ratio of 4.78% (excellent) based on December 31, 2016 data. Washington Savings Bank has an average capitalization level of 9.13%, a result of holding $156.02 million in assets with $14.43 million in equity. Please refer to our financial overview of Washington Savings Bank (FDIC Certificate # 29281) for more details.
I can’t imagine a more "All-American" name for a bank than Washington Savings Bank, so I was a bit surprised to discover that the Bank was originally established in 1903 as the Kazimierz Wielki Savings and Loan Association. For those of you whose world history is a bit rusty, Kazimierz Wielki (Casimir III the Great) was the King of Poland from 1333 to 1370. The Savings and Loan Association was formed to serve the large Polish immigrant population of Philadelphia. While the name has changed, the Bank still sees itself as a community bank and has been a member of the Independent Community of Bankers for more than 25 years.
How the CD Compares
When compared to the 313 similar length-of-term CDs tracked by DepositAccounts.com, requiring a similar minimum deposit and available within the market area, Washington Savings Bank’s 60-month CD currently ranks in the top seven.
*Note: Melrose Credit Union is currently operating under an NCUA conservatorship.
The above rates are accurate as of 3/17/2017.