CDs & IRAs
Your Old Point Certificate of Deposit(s) was issued to you with a specific interest rate and maturity date, and we will honor these existing terms. We will send you a renewal notice when your certificate nears maturity. You can view CD activity and confirm your account number in online banking on or after February 9. At maturity, normal TowneBank terms and conditions will apply. For additional information, please refer to the ‘Consumer Deposit and Time Deposit Account Agreement and Disclosure Terms’ mailed to you in our Member Information Guide.
Our system setup requires changes to your CD/IRA account numbers. You can view these new account numbers in online banking on or after February 9, 2026, or confirm by contacting your banker or Towne
Member Care at 844-638-6714.
Interest Payments
Interest on your CDs and IRAs will continue to be paid as it has in the past. If you received an interest check in the mail or if your interest was transferred to your account, this will continue on the same schedule as before.
Interest Calculations & Early Withdrawal Penalties
- At maturity, renewed CDs and IRAs will continue to have interest calculated using the simple interest method.
- CDs and IRAs that renew will use actual days to calculate interest. Every fourth year, there are 366 days instead of 365, resulting in a fraction of a difference of interest paid in that fourth year.
- Normal TowneBank early withdrawal penalties apply as of Monday, February 9.
- For detailed information, please refer to the Consumer Deposit Account and Time Deposit Account disclosures in the member guide.
FDIC Insurance
On September 1, 2025, Old Point became a Division of TowneBank, and the two banks became a single deposit institution under the FDIC. To provide a grace period for depositors, the FDIC permits separate insurance coverage for six months following mergers. After that time, deposits held under each trade name – Old Point and TowneBank – will NOT be separately insured but will be combined to determine whether a depositor has exceeded the $250,000 federal deposit insurance limit.
The FDIC has a special merger rule for CDs. See below:
| If... | And... | Then... |
|---|---|---|
| Old Point CD matures within 6 months after September 1, 2025 | is renewed for the SAME amount and the same term... | CD remains separately insured until the first maturity date after the 6-month period. |
| Old Point CD matures within 6 months after September 1, 2025 | is renewed for a DIFFERENT amount or term... | Separate coverage is provided only for the six months following the merger date. |
| Old Point CD does not mature within 6 months after September 1, 2025 | The CD will be separately insured until its maturity date. | |
If you have deposit accounts at both Old Point Bank and TowneBank that exceed the standard insurance amount of $250,000, please talk with your relationship banker or visit www.fdic.gov and select ‘Deposit Insurance.’ Accountholders should note that they may qualify for additional FDIC insurance coverage, well above the $250,000 standard if certain requirements are met.
Frequently Asked Questions
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On September 1, 2025, Old Point became a Division of TowneBank, and the two banks became a single deposit institution under the FDIC. To provide a grace period for depositors, the FDIC permits separate insurance coverage for six months following mergers. After that time, deposits held under each trade name – Old Point and TowneBank – will NOT be separately insured but will be combined to determine whether a depositor has exceeded the $250,000 federal deposit insurance limit.
You can view detailed information about the FDIC changes here. -
Yes, you can view CD activity and confirm your account number in online banking on or after February 9.
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Our system setup requires changes to your CD/IRA account numbers. You can view these new account numbers in online banking on or after February 9, 2026, or confirm by contacting your banker or Towne Member Care at 844-638-6714.