Over the last few years, interest rates have been fluctuating up and down a lot. Most consumers consider a rise in interest rates by the Fed harmful to their financial lives since it means the cost of borrowing increases. Interest rates on auto loans, mortgage loans, personal loans, and credit cards all go up when rates jump up, but there is a silver lining.
Those who are focused on saving financially have an opportunity to put their money to better use, without having to work harder for it.
Interest rate rises impact short-term savings rates as well, as most credit unions and banks give consumers a bit of a rate bump when broad interest rates increase. Financial institutions like CIT Bank take that to the extreme, offering some of the highest rates on savings accounts available on the market today.
Here’s an overview of who CIT Bank is, along with our review of what the touted Savings Builder account offers to customers.
Savings with a Boost
One of the most prominent finance products offered by CIT Bank is the Savings Builder account, allowing customers to take advantage of the high-yield interest rate market in three distinct ways.
Money savers who prefer to put money aside into the Savings Builder account on a month-to-month basis may do so with a $100 minimum initial deposit, and $100 or more each month after that and receive the highest annual percentage yield (APY).
As an alternative, savers who have a balance of at least $25,000 earn the highest possible interest rate, without the need to contribute systematically each month. Currently, CIT Bank Savings Builder accounts in either category earn 1.00% APY.
Lastly, people who don’t carry over $25,000 in their account and don’t want to deposit at least $100 per month can still earn an annual return that’s way above the national average, currently at a respectable 0.40%.
Savings Account Benefits
CIT Bank makes it easy to earn more on idle cash through its Savings Builder account this year with the two options it offers to customers.
Additional perks are included in the account as well, including:
- No fee to open savings account
- No monthly account maintenance fee
- Daily compounding of interest
- Digital banking experience
- Access to savings calculators and financial education resources
Terms and Conditions
The Savings Builder account from CIT Bank is an easy way to start or continue savings with a predictable rate of return. However, CIT Bank reserves the right to change the interest rate paid on the account, and it can shift the amounts required to earn the highest possible annual percentage yield at any time.
Customers who do not opt for the monthly saver account and who do not meet the minimum $25,000 to earn the highest APY will be placed into an alternative tier that earns less interest over time.
Interest Rate Tiers (2024)
- Base Tier: Less than $25,000 earns 0.40% APY
- Upper Tier (a): Less than $25,000 but with a monthly contribution of $100 or more earns 1.00% APY
- Upper Tier (b): More than $25,000, with or without monthly contribution earns 1.00% APY
Opening a Savings Builder Account
Establishing a Savers Builder account with CIT Bank is an easy process that is typically completed online for yourself, or as a custodial savings account for someone else such as a child or grandchild.
First, customers enter their information through the bank’s digital platform, including full name, residential address, e-mail, social security number, and date of birth. Next, customers choose how they want to fund their account – a minimum of $100 is required.
Deposits can be made through electronic bank transfers, via the mail, or through a wire transfer. After those selections are made, CIT Bank sends a confirmation to the customer via e-mail with the account details. That’s it!
In a rising interest rate environment, not all is lost for consumers. Adding money to high-yield savings like the CIT Bank Savings Builder account can mean more cash in your pocket over time.
About CIT Bank
Established more than a century ago, CIT Bank is a division of First Citizens Bank & Trust Company. The financial institution manages many billions in customer assets through a strong online presence and its brick-and-mortar chain First Citizens Bank.
CIT Bank offers personal banking, business banking, and commercial banking services to its customers. That includes money market accounts, multiple saving and checking account options, no-penalty certificates of deposit, fixed-rate home mortgages and more.
CIT Bank Contact Information
If after reading our CIT Bank Savings Builder account review you still have questions and need to contact a customer service representative by phone or otherwise, you can call 1-855-462-2652 or visit CIT Bank’s website for additional information.
