We currently allow the monthly withdrawal of int without penalty on our CD products. Mgmt no longer wants to allow this. They can have it auto deposited into a cking or sav. Can we send a 30 day chg in term notice or do we have to let the CD mature & then chg the terms?

You are under a contract with your current CDs so you must wait until they mature and then change the terms. Of course you can change this on any new CDs issued.

Thanks, Skittles

How is this feature currently addressed within the CD agreement?

Good point. In many cases, I imagine, the CD contract is silent on the question and the bank simply allows the withdrawals.

It actually tells them they can withdrawal int any time during the term after it is credited to the acct.

Great - just tell them if they choose to do so, they can do it with a credit to their other checking or savings accounts. You do not specify that they can do it by check.

Then I think you are stuck with that arrangement for current accounts, but can update your contract for new accounts and rollovers of maturing CDs.

And make sure it says to the account with your bank, otherwise you have to provide periodic statements on the CD if you allow transfers from the account to go outside your institution. I learned that in the training.