State Farm is well known for their insurance division, but they also have offer banking services through State Farm Bank, which does not have physical branches and is primarily an online bank, with direct customer interaction through state farm agents.

State Farm has various CDs with terms ranging from 3 months to 5 years. Their rates are semi-competitive, with the top rates for the 4 and 5 year terms at 2.25% APY and 3.15% APY respectively. According to the disclosure, the early withdrawal penalty is 180 days of interest on the principal withdrawn. Jumbo CDs are also available, with slightly higher rates than the regular certificate of deposits.

In addition, State Farm Bank also offers a money market account with a 1.90% APY but only on yields over 100,000. Balances of 25,000 – 49,999 yield 1.46%, and balances of 50,000 – 99,000 yield 1.55%.

State Farm’s interest checking account has a 1.55% APY on balances over $2,500. Minimum opening deposit is $100, and there’s a $10 monthly fee for average daily balances under $500. This checking account may not seem too competitive, but it’s not bad if you compare it to 1% at Charles Schwab or 0.50% at ING Direct.

You can apply for any of these bank accounts online, but a printer is required, as you will be required to print, sign and mail the application to State Farm along with your initial deposit. You may also apply for an account by contacting State Farm Bank toll-free at 1-877-SF4-BANK (1-877-734-2265) or by contacting a participating State Farm agent.