First Guaranty Bank automatic rate increase

[Earl E Retyre]

Thanks to @Helena, I opened a CD a couple years ago at First Guaranty Bank which was set to 3.5% but indicated it would automatically adjust if the Fed raised the Target Rate (to be Target Rate + 1%).

I just checked and lo and behold it is now earning 4.25%. They never even sent me a message indicating the rate went up. I just happened to check it.

If next week the Target Rate goes to 4% then my CD should automatically go to 5%. And it should continue to automatically rise if and when the Fed continues to increase the target rate.

This turned out to be a really good deal. Thanks, Helena for letting me know. It was a little bit of a hassle for me to open the account since I had to drive 90 minutes to a bank, but glad I did.

 

[zinger1457]

Checked their web site and the rates they list for their CD's seem very low, a one year CD at 1.51%, states that the CD's are fixed rate for length of term, no mention of rate adjustments. Is there a secret handshake required to get the better CD's/rates?
https://www.fgb.net/resources/rates

 

[Earl E Retyre]

This was a CD offered a couple years ago. I was letting those who had opened one know that the rate is automatically increasing with the Fed rate increases.

 

[Earl E Retyre]

Just checked and the rate has now been bumped up to 5%.

 

[calmloki]

Just checked and the rate has now been bumped up to 5%.

Gotta be a good feeling! Congrats!

 

[jazz4cash]

I remember that tip from Helena….that was quite awhile ago. I looked into it but if I recall it was far away from me. I found a local bank that pays 13 wk tbill +.5% but they are not good with transfers and rollovers

 

[Earl E Retyre]

Thanks to @Helena, I opened a CD a couple years ago at First Guaranty Bank which was set to 3.5% but indicated it would automatically adjust if the Fed raised the Target Rate (to be Target Rate + 1%).

I just checked and lo and behold it is now earning 4.25%. They never even sent me a message indicating the rate went up. I just happened to check it.

If next week the Target Rate goes to 4% then my CD should automatically go to 5%. And it should continue to automatically rise if and when the Fed continues to increase the target rate.

This turned out to be a really good deal. Thanks, Helena for letting me know. It was a little bit of a hassle for me to open the account since I had to drive 90 minutes to a bank, but glad I did.

Thanks @Helena again. Now the rate is up to 5.5%. It is my highest CD.

 

[Earl E Retyre]

Thanks @Helena yet again. I just checked and the CD rate is up to 6%. Amazing.

 

[REWahoo]

Thanks @Helena yet again.

Doubt she will see your posts. Her status changed to "gone traveling" almost four years ago.