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CIT Bank No-Penalty Certificate of Deposit
- Our Rating 4.5/5 How our ratings work
- Minimum
Deposit Required$1,000 - 11-Month APY4.90%
Annual Percentage Yield is accurate as of May 9, 2023. Interest rates for CIT Bank's No-Penalty CD are variable and subject to change at any time without notice.
CIT Bank's No-Penalty CD offers one of the most competitive rates with no early withdrawal penalty on the market. With this account, you can earn a 4.90% APY, and the CD matures in just 11 months, which is shorter than average.
High Interest With Low Risk
If you’re using a CD as an emergency fund or you’re concerned that you might need access to your savings before a traditional term CD matures, then a no-penalty CD may be what you’re looking for. The CIT Bank No-Penalty CD is a strong option that offers higher-than-average rates at 4.90% APY on their 11-month CD. If you want both the flexibility of withdrawing funds before the term matures and a higher interest rate, then the CIT Bank No-Penalty CD is worth considering.
Pros
- Strong APY for a no-penalty CD
- No opening or maintenance fees
Cons
- Relatively high minimum opening balance
5 Best No-Penalty CD Rates in November 2024: Earn Up to 4.90% APY
CIT No-Penalty CD Overview
The CIT No-Penalty CD is like your typical CD account. It's FDIC insured, and it matures over a pre-agreed amount of time — in this case, 11 months. It can also help you build an emergency fund, save for an upcoming project and lock in your guaranteed interest rate.
- Term Maturity: 11 Months
- Minimum Opening Balance: $1,000
- Opening or Maintenance Fees: None
- Early Withdrawal Fee: None.
Benefits of the CIT No-Penalty CD
Where the CIT No-Penalty CD differs is that it doesn’t charge you an early withdrawal, or penalty, fee.
Let’s say you deposit $1,000 into your no-penalty CD, but suddenly, you go to the emergency room and have no money to pay for treatment. You can withdraw funds whenever you like from your CIT No-Penalty CD without paying a fee.
Here are some additional details to know about the CIT Bank No-Penalty CD:
- Funds can be withdrawn after 7 days of account funding: The only caveat is that you need to wait until your no-penalty CD has been active for seven days to make a withdraw. If you’ll need your money within the first six days of account opening, you will end up paying a penalty.
- No opening or maintenance fees: Additionally, CIT won’t charge you opening or maintenance fees either.
- Daily compounded interest: Plus, you’ll get daily compounding interest on your funds, maximizing your earning potential.
- Around-the-clock access: You can access your account 24/7 on your CIT Bank mobile app or your desktop computer.
- FDIC insured: Your account is federally insured up to $250,000, so you can be confident that your funds are safe up until that amount.
Drawbacks
A CD is going to be ideal for you if you want a low-risk way to gain interest on your money. If you like to take high risks, then a CD is not for you. While the interest rate of your CD won’t go down, it also won’t go up if the interest rates in general increase. You may be missing out on gaining even more interest on your funds.
What to Do When Your CD Matures
Once you reach the 11-month mark, you can either roll your funds into another CD for the same duration or a different term, or you can cash it out. There are no fees for whatever you choose.
CIT Bank Term Certificates of Deposit
- Our Rating 3.5/5 How our ratings work
- Minimum
Deposit Required$1,000 - 1 Year APY0.30%
Annual Percentage Yield is accurate as of March 31, 2023. Interest rates for CIT Bank's term CDs are variable and subject to change at any time without notice
- 3 Year APY0.40%
Annual Percentage Yield is accurate as of March 31, 2023. Interest rates for CIT Bank's term CDs are variable and subject to change at any time without notice
- 6-Month APY5.00%
Annual Percentage Yield is accurate as of March 31, 2023. Interest rates for CIT Bank's term CDs are variable and subject to change at any time without notice
Many banks that offer CDs require customers to commit to lengthy terms of several years or more in order to earn the highest interest rates available. However, with CIT Bank's term CDs, the opposite is true. To get the best rates at CIT, you'll need to open one of its shorter-term CDs, such as its 6-month CD that pays 5.00% APY. If you want an easy way to save more money without having to wait years, CIT Bank's term CDs are a solid option.
CIT Bank offers a variety of term CDs ranging from six months to five years. Each CIT Back CD APY varies depending on the term length of your certificate of deposit.
CIT Deposit Account Comparison
While savings accounts or money market accounts are safe as well, their interest rates are typically lower, so a CD is a better choice if you want a higher APY. After you make your initial deposit, you cannot add money to your CD, however, like you could with a money market or savings account.
CIT Bank Savings Connect Account
- Our Rating 4.5/5 How our ratings work
- APY4.65%
Annual Percentage Yield is accurate as of July 27, 2023. Interest rates for the Savings Connect account are variable and subject to change at any time without notice.
- Minimum
Deposit Required$100 - Intro Bonus N/A
CIT Bank's Savings Connect account is one of our top picks for high-yield savings accounts. Featuring a competitive flat APY on all balances, it can go head-to-head with most of the top savings accounts available. What's more, you don't have to do anything special to earn this high interest rate; many similar accounts (including some offered by CIT) only offer their highest interest rates to customers who complete certain requirements.
CIT Bank Savings Builder Account
- Our Rating 3/5 How our ratings work
- APYUp to 1.00%
Earn 1.00% APY by maintaining a balance of $25,000 or more, or by receiving a single deposit of $100 or more each month. Annual Percentage Yield is accurate as of September 22, 2022. Interest rates for the Savings Builder account are variable and subject to change at any time without notice.
- Minimum
Deposit Required$100 - Intro Bonus N/A
While it doesn't offer an especially strong interest rate, many of the features included in CIT Bank's Savings Builder account are designed to encourage you to save. To earn the maximum APY on this account, you need to either maintain a high account balance or regularly make deposits, both of which incentivize responsible saving.
CIT Bank Money Market Account
- Our Rating 4/5 How our ratings work
- APY1.55%
Annual Percentage Yield is accurate as of March 31, 2023. Interest rates for the CIT Bank Money Market account are variable and subject to change at any time without notice.
- Minimum
Deposit Required$100
CIT Bank's Money Market Account doesn’t offer the highest interest rate out there, but you can open an account with only $100, and there's no ongoing minimum balance requirement. This account also doesn't charge any monthly fees, which helps it stand out from other similar accounts.
How to Open a CIT Bank No-Penalty CD Account
If you think the CIT No-Penalty CD is right for you, log onto CIT’s website, hit “Start Now” and fill out an application. You’ll need to provide your primary home address, a valid email address, a valid phone number and a Social Security number. Additionally. you'll also need to fund the account with a minimum opening balance of $1,000. You can transfer funds into your new CD by electronic transfer, mail-in check or wire.
The CIT No-Penalty CD could be an option if you want to safely store your money in an interest-bearing account. And if a situation arises where you need to make a withdrawal, there’s no need to worry about a penalty.
Ready to Open a CIT Bank No-Penalty CD? Start here.
Ryan Tronier
Ryan Tronier is a personal finance expert and writer. His work has been published on NBC, ABC, USATODAY, The Mortgage Reports, Yahoo Finance, MSN, and more. Ryan is the former managing editor of the finance website Sapling, as well as the former personal finance editor at Slickdeals. Find him online at ryantronier.com.
