Woodlands Commercial Bank is offering a couple of competitive short-term CD rates: 1.60% APY for 15 months and a 1.49% APY for 12 months. The shorter term CDs are not quite as competitive. Minimum deposit is $2,500. The Jumbo CDs have rates a little bit higher (1.63% APY for the 15-month CD). Minimum deposit is $100,000. These rates are listed in the bank's products and rates page as of 6/29/2010.
The CDs can be opened online, and they are available nationwide. The online application allows trust and business accounts. Also, it allows you to add multiple beneficiaries. The CDs can be funded electronically or by check. If you mail in a check to fund the account, rates are guaranteed by envelope postmark date. Below are some additional details as listed by the bank:
- Interest rate compounds daily and you can choose to have your interest paid monthly, quarterly, semi-annually and annually
- Interest payments are available via ACH/electronic funds transfer only
- Accounts do not automatically renew upon maturity
- 90 days of interest penalty for early withdrawal
- No fee for incoming or outgoing domestic wire transfer (T&C)
I was told by the bank's CSR that the online application is only a month or two old. The bank itself has been around sincd 2005. The front page of the bank's website provides an overview of the bank:
Woodlands Commercial Bank is an Industrial Bank chartered in the State of Utah. The Bank was organized in 2004 and opened for business in August 2005.
Its ratings for safety and soundness are a little above average: 3 stars (adequate) at BauerFinancial, 4 stars (sound) at Bankrate.com and an overall health score of 4 out of 5 at DepositAccounts.com (see our Woodlands Commercial Bank financial overview). These ratings are based on 3/31/10 data except for Bankrate which is based on 12/31/09 data. The bank has been a FDIC member since 2005 (FDIC Certificate # 58009).
Searching for the Best CD Rates
Unfortunately, it's not easy to find CDs with terms of around one year with rates above 1.50% these days. There are a few nationwide CDs with these rates listed in the CD rates section of DepositAccounts.com. Also, I have a few listed in my June 26th weekly summary post.