Texas Held Its First Jumbo CD Auction on Private-Label Site

December 6, 2000

Pittsburgh, PA (December 6, 2000)— On December 6, 2000, the State of Texas hosted its first auction for jumbo CDs over the Internet. Texas Comptroller Carole Keeton Rylander said $70 million in certificates of deposit were awarded to 42 banks, credit unions and savings and loans at an average interest rate of 6.19 percent.

Texas joined the states of Ohio and South Carolina in creating a private-label website (www.BidTX.com) for the placement of time deposits. On a monthly basis, the Texas Comptroller will purchase $70 million in CDs from Texas depositories offering the highest interest rates. This new program, BidTX, will ensure fairness and improve competitiveness in the placements of these funds.

Categories: Auctions