First Commons Bank Offering 1.5% APY 13-Month Breakable CD

First Commons Bank, a new bank located in Newton, MA is offering a 1.5% APY on a 13-month breakable CD. The rate of 1.5% APY is competitive when comparing it to the best cd rates for a 12 month term, although it is near the bottom of the rate table. But what makes the CD attractive is that it offers a one-time withdrawal, penalty free. The best savings and money market rates are currently between 1.5 - 1.8% APY, putting this CD within that range.

The CD requires a minimum deposit of $10,000.

After visiting their website, it quickly became apparant that there is no way to open the CD online. I called and was told that they would be happy to open the CD via phone, fax, or mail. The offer is available nationally. To open via phone call 617-243-4400.

First Commons Bank opened its doors in September 2009. The bank was capitalized by over 300 investors who contributed $18 million. In a short period of time it has attracted 55 MM in assets. It currently has one branch in Newton, MA, an affluent suburb outside of Boston.

The bank is nationally chartered and FDIC insured. Because the bank just began operation, there is no Bauer rating available yet.