GMAC Financial Services’ renamed online institution—Ally Bank—is just too generous, according the American Bankers Association. GMAC Financial Services begs to differ.

In a letter last week to Federal Deposit Insurance Corp. chairman Sheila Bair, ABA president and chief executive officer Edward L. Yingling said that the bank had increased its deposits from $1.6 billion in March 2005 to $22.5 billion in March of this year by “offering interest rates well above the market,” offering Ally’s rate for six-month CDs as an example. Yingling cited the Bank Rate Monitor’s May 18 national average rate for such CDs of 0.99 percent.

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