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 ATLANTA, Oct. 29 /PRNewswire/ -- Bank South (NASDAQ: BKSO) on Nov. 1 will introduce its new Stock IRA CD, a five-year Individual Retirement Account that will pay interest based entirely on the performance of the Standard & Poor's 500 Price Index, a broad composite index of common stocks of industrial, transportation, financial and public utility companies (the S&P 500)(a).
 The Stock IRA CD will allow Bank South customers to participate in gains in the S&P 500 without risking their principal. If the S&P 500 increases, customers will receive twice the average percentage increase of the index as interest. If the S&P 500 decreases in value, no interest will be paid on the CD.
 "This is an ideal product for the conservative investor who wants to invest in the stock market and have the potential to earn higher yields in a low-interest environment," said Lee M. Sessions Jr., head of Consumer, Investment Management and Trust Banking.
 Sessions continued: "As with any Bank South product, customers can invest in the Stock IRA CD at a time and place that is convenient to them, seven days a week until 8 p.m. They can even apply over the telephone from their home or office, and then drop by any Bank South branch just long enough to sign their name."
 The Stock IRA CD will be available to all Bank South customers at all 131 branch offices, including all 43 InStore branches. Thirty-seven InStore branches are open seven days a week until 8 p.m. in Kroger stores throughout metro Atlanta. Customers can also apply by dialing 454-BANK (or 800-454-BANK, or (Star)BANK for customers using a cellular phone), providing the necessary information by telephone and then dropping by a branch to sign the application.
 The interest calculation will be based on the average of the month- end S&P 500 Composite Stock Price Index over the five-year term of the IRA certificate. The change in the average will be multiplied by two to calculate the interest rate.
 As an example, if the initial index value is 500 and the average monthly index value is 600, the average increase is 20 percent. A customer who purchases a $25,000 Stock IRA CD would receive his or her original investment plus $10,000 of interest (20 percent x 2 x $25,000) at the end of five years. In the case of a decrease in the average S&P 500 Index, no interest would be paid, but the original investment would be repaid.
 The minimum deposit for the account is $2,000. The principal and interest (if any) at maturity are insured by the Federal Deposit Insurance Corporation (FDIC) up to the maximum permitted by law.
 Bank South Corporation is a $5.1 billion, multi-bank holding company that specializes in making its customers' lives easier by providing the most convenient access of any banking organization to a broad range of banking, investment, mortgage and other financial services.
 (a) The S&P 500 fluctuates in value, and may increase or decrease. Accordingly, the Stock IRA CD may not be suitable for investors seeking a fixed or minimum interest rate, or who need access to their investment prior to maturity. Neither the bank nor the FDIC insures or guarantees the amount of change in the S&P 500 Index or that any specific rate of interest will be payable on the Stock IRA CD. These CDs are subject to substantial early withdrawal penalties.
 -0- 10/29/93 R
 /CONTACT: Bo Spalding of Bank South, 404-529-4238/

CO: Bank South Corporation ST: Georgia IN: FIN SU: PDT

OP -- AT015R -- 8813 10/29/93 20:19 EDT
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Publication:PR Newswire
Date:Oct 29, 1993

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