We just got tipped off on a fantastic 2 year certificate of deposit promotion which is going on through a small community bank called Miners Bank, out of Minersville, Pennsylvania. Currently they are offering local customers a promotional 2 year CD with an amazing APY of 4.06%.
Thanks to frequent BankVibe reader/contributor Farmer Frank who mailed me the promotional flier, actual copy of the certificate of deposit, and a few other pieces of crucial evidence.
I realize this two-year certificate of deposit will only be relevant to a small percentage of you due to Miners Bank’s geographical restrictions when it comes to new customers, however, if you read the article “Where to find the best 9 month CD rates” I mentioned taking competing rate offers from various banks and credit unions and simply trying to get your local bank or credit union to match it. A few readers have had success doing this in the past, but claim that it is a more effective tactic when dealing with A) jumbo CD’s or B) long-time customer of many years.
Miners Bank Two Year CD Account Features:
(as seen on the hard copy of the certificate of deposit)
Interest Rate: 4.00% or 4.06% APY
Term: 24 months
Compounding: Interest will be credited quarterly and compounded quarterly.
Automatically Renewable: This account will automatically renew at maturity. Each renewal term will be the same as the original term. The interest rate will be the rate they offer on new certificates on the maturity date which have the same features as the renewed certificate. Grace period of ten days will be permitted after maturity where you will be able to withdraw the funds without penalty. You may prevent automatic renewal with prior written notice.
Penalty for Early Withdrawal: The penalty they may impose will equal six months interest on the amount withdrawn subject to penalty. Some exceptions may apply.
Interest Computation: Interest will be calculated using the daily balance method.
Farmer Frank, the BankVibe reader/contributor who mailed this to me, mentioned that this promotion began roughly the week of 6/08/2009 and that the tellers at Miners Bank seemed to be a bit aloof when asked when this promotion was going to end. Which means this may be somewhat of a “hush hush” offer.
Hopefully this abnormally high savings rate offered through Miners Bank is a sign of things to come. While the large national banks (Ally Bank, E-Trade and Discover Bank) have savings rates that are still trending downward, I have seen several local banks/credit unions with savings rates on the rise. Perhaps these local institutions will set the tone towards a positive upswing in CD rates nationally …fingers crossed.