My institution is in the process of creating a CD Online service. The customer will have the ability to review our CD terms and rates and open a new CD account. We disclose on the web site that we need to receive their funds in order to open the account. What if the bank changes interest rates on the CD before receiving the customers deposit to fund the account? Are we required to pay the interest rate and APY the customer saw online when they completed their New Account Information?

I can't speak to the legalities, but operationally I think it makes sense from a customer relations standpoint to give the rate in effect at the time of online registration as long as the funds are received by you within X (reasonable number) of days. This should be prominently disclosed to the customer at the time they are registering online. As a customer, I'd cry bait-and-switch if you gave me a lower rate after I promptly mailed you my money.