Forbright CD Review 2023
If you’re in the market for a CD, Forbright Bank should be on your radar.
It offers a variety of CDs with impressive interest rates that you might not be able to find elsewhere.
Here’s what you need to know about Forbright and its lineup of CD products.
Forbright CDs At-a-Glance
Forbright Overall Impression
Forbright’s online CDs are a solid choice if you’re searching for competitive rates and no monthly fees.
You’ll need at least $1,000 to open one and may face a penalty if you withdraw funds before your CD matures.
While the highest rate is reserved for the 12-month CD, 24-month, 36-month, and 60-month CDs are also available.
Which Banks Have the Best CD Rates?
Hundreds of banks offer CDs, and there’s fierce competition among them to offer the best rates. We’ve compiled a list of some of the best CD accounts to help you find the ones that best fit your financial goals.
Pros and Cons
- Multiple Terms: Choose from several terms, including 12-month, 24-month, 36-month, and 60-month terms.
- FDIC Insured: Forbright CDs are insured by the Federal Deposit Insurance Corporation (FDIC).
- Available Everywhere: Forbright has brick-and-mortar locations in Maryland and Virginia but serves customers throughout the county via online banking.
- High Interest for 12-Month Terms: With a 12-month CD, you can secure a highly competitive interest rate.
- Focus on Sustainability: Forbright is committed to sustainable businesses and clean energy products.
- Penalties for Early Withdrawals: Forbright does not offer early withdrawal CDs. You’ll get penalized if you pull your funds before the CD matures.
- Only Several Physical Branches: Unless you live in Maryland or Virginia near one of Forbright’s four physical branches, you must open and manage your CD account online.
- Poorly Rated App: Forbright’s mobile app could be improved. There may be some glitches when you use it.
Compare to Others
Forbright could be a good option if you’re looking for a 12-month online CD with a top-notch interest rate, but exploring alternative products before you sign on the dotted line is a good idea.
Marcus by Goldman Sachs
Marcus offers high-yield CDs that require a $500 minimum. While there are no brick-and-mortar locations, you can open and manage a CD online. You may choose from a term that ranges from six months to six years. There’s also the no-penalty CD, which allows you to withdraw funds early without penalty.
If you have a large sum of money to invest, an AloStar 8-month CD might make sense. The minimum deposit and balance requirement is $10,000, but you can earn a great interest rate among one of the highest available short-term CDs. Remember that there is a penalty for early withdrawal, and availability is limited to 41 states.
EverBank is unique due to its WorldCurrency CDs, denominated in currencies from different countries. You can open your account online in minutes if you have at least $10,000 to invest. If you’d like to invest in foreign currencies, an Everbank CD, which the FDIC insures, can be a good option.
U.S. Bank may be worth considering if you’d like to save money at a brick-and-mortar bank. But if you opt for a CD from here, be prepared to settle for a lower-than-average interest rate. Online banks tend to offer higher rates and lower fees.
Who Is Forbright For?
Forbright might be a good fit if:
- You’re interested in an online CD with a highly competitive interest rate.
- You live in Maryland or Virginia and prefer a physical branch in your state.
- You can meet the $1,000 minimum balance requirement and get the fees waived.
- If you’d like to bank with a place that supports sustainability, a Forbright CD is worthwhile.
You should continue your search if you don’t like the idea of online banking or would be better off with a larger national bank with many physical branches throughout the country.
Rating the Features
Remember the following as you try to figure out if a Forbright CD is right for you.
The Forbright website is well laid out and makes it a breeze to open a CD account. Simply click on the “Get Started” button and create an account. While there is a mobile app for iOS and Android, its ratings could be better in the Google Play and Apple App stores, so you might face some issues if you bank on the go.
Customer Service and Experience
Forbright serves the DMV region with three Maryland branches and one Virginia. If you live there and like in-person service, you can stop anytime Monday through Friday, from 9 a.m. to 5 p.m. If you’re an online account holder, you may call customer service at 888-855-7778 or send an email to CustomerService@ForbrightBank.com.
Because Forbright mainly operates online, its fees are minimal. There are no fees unless you withdraw funds before your CD matures. You don’t have to worry about account opening fees or monthly maintenance fees like you would at other banks. The early withdrawal penalty equals three or six months of the interest you earn, depending on when you pull the money.
When it comes to rates, Forbright excels. Its CD rates are significantly higher than the national average, especially if you go with a 12-month CD. A 12-month CD is ideal if you want to maximize your interest earnings.
Forbright works hard to support a clean energy economy. About a third of its portfolio goes toward projects that focus on sustainability and green-friendly living, like green building upgrades, solar loans, and accessible healthcare.
There are four physical branches in Maryland and Virginia. If you don’t live in these two states, you can contact Forbright via phone or email.
Safety and Security
Forbright CDs are insured up to $250,000 per person by the Federal Deposit Insurance Corporation (FDIC). This means your funds will be protected in the event of bank failure.
Minimum Deposit or Balance Requirement
A $1,000 minimum deposit is required to open a CD with Forbright CD. This is feasible for many people as many banks require $10,000 or more.
Frequently Asked Questions (FAQs)
You can apply for a Forbright CD online. You’ll receive an email with a status update once your application is reviewed in 1 to 2 business days.
There are two ways to fund a Forbright CD. You can use Plaid, a data transfer network, or share an external bank’s routing number and account number.
If you withdraw funds early on an account with a maturity of less than 24 months, your penalty will be three months of interest. You’ll pay a penalty of six months of interest if your account’s maturity is 24 months or more.