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Special CD Accounts at Community Banks

Feb. 25, 2013
Personal Finance
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If you have savings set aside and you are looking for the right kind of account to earn great interest, you might want to check out a CD, or Certificate of Deposit. Now, normally, CDs are one-time deposit accounts that store your savings for a predetermined period of time, with fees for withdrawals made during this period. The advantage is that the interest rates on these accounts tend to be better than savings accounts. However, some banks offer more flexible CD accounts, or CDs with perks that make up for the limited access.

Community banks have flexible CDs

One place you might look for a special CD account is your local community bank. Some community banks have CDs with additional withdrawals and deposit benefits, CDs that bump your interest rate up during the period your money is stored, or CDs with no-penalty withdrawals. We’ve found some really special CDs at community banks nationwide.

First South Bank – Washington, NC

First South Bank’s CD offers a guaranteed fixed interest rate for your funds and interest can be automatically added to your checking or money market checking accounts. A deposit of $5,000 or more qualifies you for the bank’s Preferred Checking account, and Preferred Checking customers, as well as Senior Checking customers, can receive no-penalty CD withdrawals up to $25,000 a year for admittance into a health care facility, nursing home or retirement facility. First South Bank has branches in 16 North Carolina cities.

Salem Five – Salem, MA

Salem Five offers a special 9 Month No Penalty CD for customers who make a $10,000 minimum deposit. You can make withdrawals without penalty within the 9-month period, and the account earns competitive interest all the while. You get better access and still get to see your savings grow. Salem Five has branches in 20 Massachusetts communities.

First State Bank – Scottsbluff, NE

First State Bank’s Flex CD offers three special features that set it apart from your average CD. First, you can make one interest rate change during the term, with protection provided should rates increase. Second, you can make additional deposits equal to the original deposit amount. Finally, you can withdraw any portion of the deposit that has been in the account for more than 6 days, without penalty. First State Bank has branches in Scottsbluff and Gering, Nebraska, and Colorado Springs, Colorado.

Union Bank – Morrisville, VT

The Flex CD at Union Bank offers considerable access to your funds. With the Flex CD, you get unlimited deposits and one monthly withdrawal without penalty (up to 25% of the principal balance). Not to mention, you are earning a great interest rate the whole time. Union Bank has 18 branches in Vermont and New Hampshire.

Security First Bank – Cheyenne, WY

The Flex CD at Security First Bank offers some truly special features that make it a great choice. You have the ability to change the interest rate once during the term, to take advantage of higher interest rates. You can also make additional deposits in amounts of $500 or more, without exceeding the original deposit. And, you can withdraw any amount of the balance that has been on deposit for more than 6 days, without penalty.  Security First Bank has branches in Cheyenne and Laramie, Wyoming.

MidWestOne Bank – Iowa City, IA

The Flex CD at MidWestOne Bank offers you the freedom to make deposits anytime you want. The account has a low minimum deposit of $100, and tiered interest rates that grow with your balance. If you want to be free to add funds to your account as you please, and get the benefit of interest, the Flex CD is the choice for you. MidWestOne Bank has more than 30 branches in Eastern Iowa.

Northbrook Bank – Northbrook, IL

The Variable Rate CD at Northbrook Bank is the kind of accessible account you never knew you needed. By opening and maintaining the account with $5000, you get unlimited deposits and withdrawals (as long as funds have been on deposit for more than 7 days), and better interest rates than in Northbrook Bank’s savings or money market accounts. With an account this convenient and easy, you’ll see your money grow in leaps and bounds. Northbrook Bank has branches in Northbrook, Northfield, Buffalo Grove and Deerfield, Illinois.

First Federal Lakewood – Lakewood, OH

First Federal Lakewood has a variety of great CD accounts to choose from, but their FFL Step Up CD stands out for offering three guaranteed interest rate increases. The account is an 18-month CD, and every 6 months your rate jumps higher. Also, you can make withdrawals within 7 days after each rate adjustment, without penalty. The account comes with online banking, as well. First Federal Lakewood has branches in 17 Ohio communities.

Univest Bank and Trust Co. – Souderton, PA

Univest Bank and Trust offers a few different CD accounts, but their 3D-CD account is the one you want if you’re looking for flexibility and options. The account has a 3-year term with guaranteed interest rates for each 12-month period, and you have the ability to withdraw the full amount during a 10-day grace period at the end of each 12-month cycle. Univest Bank and Trust has 32 financial service centers in Pennsylvania.

First Green Bank – Mt. Dora, FL

First Green Bank promotes sustainability and environmental responsibility with their banking, but they also offer great savings. Their Hybrid Flex CD is full of awesome perks. It allows you to make additional deposits in increments of $100 up to the half the original balance. You can make one withdrawal of up to half the original deposit without penalty, and finally, you can increase the interest rate once during the term if bank rates increase. The longer the term, the better the interest rate you get. First Green Bank has branches in Ormond Beach, Clermont, Orlando and Mt. Dora, Florida.