Incredible Bank is an internet only bank that is a division of River Valley Bank. River Valley Bank is a long standing lender, since 1967, out of Michigan that is FDIC (Federal Deposit Insurance Corporation) insured. FDIC coverage guarantees that your investments are safe up to the maximum amount allowed by law per investor. Overall River Valley Bank has an average health rating as a bank.
They are advertising competitive rates and yields and allow customers to open certificates of deposit through their online services. Your CD can be funded with Incredible Bank via ACH transaction with interest accrued daily and compounded monthly for payment. The ACH transactions at Incredible Bank are limited to maximums of $10,000 in per day and $50,000 out per day. Interest for each CD begins the day your deposit is posted by Incredible Bank.
Early withdrawal penalties for certificates of deposits are 6 months interest. Incredible Bank CDs do contain a 10 day grace period at maturity. Without notification from the investment account holder within the grace period specified, your CD will automatically roll into a fixed rate 12 month CD.
Incredible Bank had a very unique feature with their certificates of deposit administered and offered in June: the interest rate increased during the term of your CD. For a 12 month CD you will have one rate of interest for the first six months and an increased rate of interest for the second six months of this CD. The first six months has an APY of 1.75% and the second six months earns 2.25% APY, combined for the year an investor can expect an average APY of about 2.00%. This was a limited time CD offering. However, you may expect to find something similar provided again by the lender.
Being an internet only banking entity, account statements are not mailed to account holders. However, you can review your statements and transactions online at their website.
Incredible Bank current CD rates;
APY Min Max Product
1.30% $10k $90k 19 Month CD
1.15% $10k $90k 13 Month CD
1.00% $10k $90k 9 Month CD
CD rates have been reduced for their 19 month and 13 month CD. The 19 month CD reduction was from 1.5% to 1.3% APY and the 13 month reduced from 1.3% to 1.15% APY during the month of August. However, they are still advertising they have very competitive rates.
The internet banking industry is taking off for quite a few banks in recent years as they attempt to increase their deposit growth. In the past year with consumer confidence less than expected most banks have seen a decrease in deposit growth and River Valley Bank is no exception. However, the lender has excellent capitalization as a bank which means their assets and equity are rated exceptional for health and quality.