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#1531476 - 04/05/11 03:19 PM CD PENALTIES
cbrewster Offline
100 Club
Joined: Apr 2010
Posts: 170
We are looking at changing our CD Penalties and would like to get some input on what everyone else is charging?

Also how do you handle partial withdrawals? Do you put a limit on the number of them and a minimum amount to withdraw?

Do you have a CD policy?

If we are changing the CD Penalties on all new CDs and then renewals can this change take effect immediately or notices required to be sent out?

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Operations Compliance
#1531484 - 04/05/11 03:24 PM Re: CD PENALTIES cbrewster
Bob The Banker Offline
Platinum Poster
Bob The Banker
Joined: May 2010
Posts: 958
X months interest on the money removed. The X varies depending the term, more months penalty for longer term CDs.

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#1531486 - 04/05/11 03:24 PM Re: CD PENALTIES cbrewster
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,005
Galveston, TX
A general question regarding penalties to the overall banking community probably will not result in any meanful information. I believe you should be shopping you nearest competitors to make any sound marketing/business decisions.

You can change the penalties at renewal with proper disclosure - see 230.5. You cannot change the penalties on current CDs.
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