Friday, May 18, 2012

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About RateService  |  RateService Features 

1.

No, RateService is not a bank. RateService is a Deposit Broker registered with the Federal Deposit Insurance Corporation (FDIC). Although most investors have traditionally purchased CDs through local banks, many brokerage firms now offer CDs. Deposit Brokers can sometimes negotiate a higher rate of interest for a CD by promising to bring a certain amount of deposits to the institution. The deposit broker can then offer these CDs to their customers.

No fees are charged to the investor for opening a CD through RateService.

RateService is available 24 hours a day, 7 days a week, 365 days a year. For settlement purposes, however, many of our participating bank's hours are limited to business hours which are Monday through Friday 9:00am to 5:00pm EST except for bank holidays. 

In addition to the information that you provided us when you signed up for our service, you will need a valid Tax-ID or Social Security Number to purchase a CD. If you have not already provided one, the system will ask you automatically when you initiate a CD purchase.

At RateService, we appreciate your business and respect your right to privacy. We understand that the confidentiality and security of your customer account information is of the up most importance to you, as it is to us. Through established security measures, we will always protect your account information from any unauthorized access. Any information that we collect is solely for the purposes of enabling us and our registered financial institutions to provide the highest rate possible on your CD, and to settle your transactions.

After you initiate your purchase on any CD Detail Screen, you will be notified via email within minutes that we have received your order. Orders are then executed on a first come first serve basis during regular business hours. Upon execution of your order, we will again notify you by email and your transaction will also be automatically entered into your Online RateService Portfolio.

What is the minimum amount that I may invest?

The minimum amount that you may invest is listed on the CD Detail Page for every particular order.  Generally, CD's are issued in minimum amounts of $50,000 and round lots of $10,000 thereafter.  However, most CD's paying monthly interest are issued in the amount of $99,000 in order to keep the principal and interest insured under the $100,000 FDIC Insurance Maximum.

RateService only list financial institutions that are federally insured. All FDIC Insurance Docket Numbers are shown on the CD Detail page. To verify a bank’s FDIC Insurance coverage, the FDIC has set up a web page for this purpose at the following web address: http://www2.fdic.gov/structur/search/findoneinst.cfm . Additionally, you may want to review the FDIC Publications Your Insured Deposit and Insured or Not Insured  also located on the FDIC website.

At RateService we try to do everything in our power to keep RateService.com secure. By utilizing Data Encryption through "Secure Socket Layers" (SSL) and Site Authentication, we try to provide the most secure environment possible. SSL is the de facto standard for data encryption on the internet. This protects unauthorized individuals from deciphering your sensitive data.

Upon settlement of your transaction, all funds are sent via Fed Wire, ACH, or Check directly to the Issuing Bank or Bank Custodian.  At no time does RateService handle your funds. When you receive your email stating that the order has been executed, Wiring Instructions will be included. If paying by check, usually your CD will not be opened until the check clears.

RateService will notify you via email on or before the maturity of your CD. At that time, you will have the option to Roll the CD Over for another period of time, purchase another CD with a higher interest rate, or have your funds wired home to you for same day settlement to your account. (providing instructions are received before wire cut-off time) 

Absolutely, for your convenience RateService has a complete Portfolio Management System to help you keep track of your investments online. When an order is executed, it is placed automatically into your online RateService Portfolio.

The RateService Portfolio Management System gives you complete control over your online portfolio. Besides editing transactions, you can actually add transactions done outside the RateService system. You can also view your transactions in a variety of ways. (exp. maturity order, settlement order, by name, etc..) and there is a complete set of detail reports that you can print to keep for your records and help you manage your portfolio.

Not at all. However, we think that you may want to. One of the great features of using RateService is the ability to see ONLY the investments that are not already listed in your portfolio. This saves you much time when trying to find an institution that you can invest in and still stay under the FDIC insurance limit.

First remember, all transactions placed through RateService are automatically entered into your online portfolio. Second, for your convenience, we would like to offer you our service of typing in your existing Certificates of Deposit portfolio. Just email us a listing of your current CDs, with all of the relevant information, to Portfolio@RateService.com  or FAX us at (419) 715-9381 , and we will take care of the rest. No hassles!

Investors searching for relatively low-risk investments that can easily be converted into cash often turn to certificates of deposit (CDs). A CD is a special type of deposit account with a bank or thrift institution that typically offers a higher rate of interest than a regular savings account. Unlike other investments, CDs feature federal deposit insurance up to $100,000.

Here’s how CDs work: When you purchase a CD, you invest a fixed sum of money for fixed period of time – six months, one year, five years, or more – and, in exchange, the issuing bank pays you interest, typically at regular intervals. When you cash in or redeem your CD, you receive the money you originally invested plus any accrued interest. But if you redeem your CD before it matures, you may have to pay an "early withdrawal" penalty or forfeit a portion of the interest you earned.