Considering the current interest rates in the market this offer of StateFarm is pretty competitive. Some of their other deals give 1.94% APY for a 24-month term and 1.80% for a 1 year program.

The disclosure about the certificate of deposit states an early withdrawal penalty of 180 days of earning for the amount withdrawn. That is a bit stiff but it is comparative to the going on penalties in the market today.

Interested individuals can apply for certificates of deposit online but we can not find the option for the Special term. Customer service advised us that this can be set up via phone application through 877-734-2265. Consumers can also drop by one of their branches which is participating in the special money in the bank deal.

It will also be best to ask the bank if they do a hard credit pull since we heard from some consumers that their credit scores got a ding for several pulls done by StateFarm.

StateFarm Bank is FDIC insured.

It appears that a branch visit may be required to open accounts. Branches are located in the suburbs of Philadelphia in the cities of Upper Darby, Villanova, Haverford, Lansdowne, Devon, Newtown and West Chester.

The bank has a 3.5 star rating (good) at BauerFinancial based on 3/31/08 data. It has been FDIC insured since 1987.