Macarena madness has spread to investment products marketing.
Pan American Bank, a Hispanic-owned community bank serving Chicago's Pilsen and Little Village neighborhoods, is capitalizing on the latest dance craze to sell certificates of deposit.
The one-branch, $9.5 million asset bank, hosted a Macarena dance party in its parking lot on Saturday to kick off sales of a one-year "Macarena CD" with bonus rates that jump in three steps.
"We'd be very happy if we could develop $2 million of deposits from this promotion," said Ronald M. Pikus, Pan American's president and chief executive.
For a minimum investment of $1,000, the CD offers a bonus rate that starts at 5.45% for the first quarter, and in subsequent quarters jumps to 5.55%, 5.65%, and 5.75%. The net annual percentage yield is 5.70%, the bank said. The offer is scheduled to expire Sept. 21, but may be extended depending on demand, Mr. Pikus said.
The dance party, which featured punch, cookies, and free Macarena lessons, was seen as a way not only to sell CDs, Mr. Pikus said, but to "generate excitement in the community and let people know about us."
Besides pumping up CD sales, a Macarena dance contest rewarded the top three finishers with $100, $50, and $25 savings accounts.
Pan American opened last December and operated out of a double-width trailer until April, when an 8,100-square-foot building was completed.
Most of the bank's customers come from the largely Hispanic neighborhoods, and much of its business is from walk-in traffic, Mr. Pikus said.
But Saturday, dance-in traffic was the order of the day.