CIT Bank is known for its business lending expertise, but its 2015 merger with OneWest Bank gave it a solid footing in retail and commercial banking. OneWest Bank has over 70 branches in Southern California, but customers throughout the U.S. can take advantage of the CIT Bank certificate of deposit portfolio via its online banking option.
CIT Bank is right on trend with its online banking because 40 percent of Americans prefer to bank online, according to 2017 survey done by the American Bankers Association. CIT Bank CD rates are attractive, and the bank serves both consumers and businesses. Keep reading to find out more about CIT Bank and decide whether it’s the best online bank for your CDs.
CIT Bank CD Review
CIT Bank offers a full array of financial products, including CDs. All CIT Bank CDs include the following features:
|CIT Bank CDs at a Glance|
|Term CD||Up to 5 years||None, standard||$1,000||Up to 2.50% APY|
|No-Penalty CD||11 months||May withdraw balance and interest without penalty after 7 days of opening an account||$1,000||Up to 1.85% APY|
|RampUp CD||3-4 years||Flexible CD with rate options||3 years: $25,000|
4 years: $50,000
|Up to 1.38% APY|
|RampUp PLUS CD||1-2 years||Flexible CD with rate and deposit options||$25,000||Up to 1.27% APY|
|Jumbo CD||Up to 5 years||Higher the deposit, higher the interest rate||$100,000||Up to 1.75% APY|
|Information accurate as of Aug. 28, 2018.|
Every financial investment has its strengths and weaknesses. Consider the advantages and disadvantages of a CIT Bank CD so you can better decide if this CD option is the right financial tool for you.
|CIT Bank CDs Pros and Cons|
What You Need to Know About CIT Bank CDs
Best for: Those who are interested in investing and make no plans to withdraw their money. Though terms can range for less than a year, usually the longer you leave your money in a CD, the more gains the deposit will accumulate.
Best Features of CIT Bank CDs
This CIT Bank review takes a closer look at the bank’s five CD options because each has special features. Check out the CIT Bank CD lineup:
- Term CDs: These CDs’ terms run up to five years, require a minimum opening deposit of $1,000 and currently earn up to 1.70% APY.
- No-Penalty CDs: You can get a term as long as 11 months and withdraw the full balance and interest seven days after the funding date. This CD has an interest rate of up to 1.85% APY and requires a $1,000 minimum deposit.
- RampUp CDs: Available in three- and four-year terms, these CDs pay up to 1.38% APY and require a $25,000 and $50,000 minimum deposit, respectively.
- RampUp Plus CDs: You’ll need a $25,000 minimum opening deposit for one of these. You can choose between a one- or two-year term and you’ll earn up to 1.27% APY.
- Jumbo CDs: These CDs come with the highest deposit requirements — and jumbo CDs offer some of the best interest rates, with CIT Bank’s CD rate currently at 1.75% APY. The minimum opening deposit is $100,000 for this high-yield CD.
If the options seem overwhelming, CIT Bank offers an online CD calculator that enables you to compare your choices. It’s a convenient way to see exactly how much you’ll get in returns with different CD options.
CIT Bank recommends laddering your CDs, which involves investing in a mix of long- and short-term CDs. When you create a CD ladder, you get the highest interest rates on some of your money without tying up all your funds for too long. You can mix and match CIT Bank CDs to use this strategy.
Find Out: How CD Laddering Works
CIT Bank CDs Are Best When Leaving Your Money in Long Term
If you want to use a ladder strategy for investing, CIT Bank’s range of CD options makes it easy. And the 10-day grace period — should you change your mind about your investment — is a great feature.
CIT Bank might have a commercial focus, but don’t let that scare you away. CIT Bank CD rates and features make it a viable option for individuals as well as businesses.
Up Next: 6 Tips for Choosing a CD Account
Sean Dennison contributed to the reporting for this article.
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