By Jeff McKinney
The Cincinnati Enquirer

Mortgage rates in the Tristate continue to shift up and down but still remain at historic lows for potential home buyers.

The average rate on a 30-year, fixed-rate mortgage locally was 5.76 percent as of Monday, down from 5.81 percent a week ago and much lower than 6.86 percent a year ago, according to a weekly survey of about 20 lenders by the Cincinnati Area Board of Realtors. The savings in the monthly payment on a $100,000 loan compared with a year ago: $71.65.

The average rate was 5.94 percent as of Feb. 10, 5.84 percent March 17 and 5.86 percent April 14.

By remaining below the 6 percent mark, rates are still at their lowest levels since the Cincinnati Area Board of Realtors began tracking them in 1985.

Savings account returns lowest ever

Many consumers who fled the bearish stock market in recent years to put their money into savings accounts are not seeing much better returns.

That's because interest rates on passbook and statement savings accounts have reached their lowest level ever, according to a new survey by Bankrate.com, which began tracking the rates in 1987.

The national average interest rate for passbook accounts now is 0.60 percent, down from 0.80 percent last fall and 0.87 percent a year ago. The average rate nationally for statement savings accounts is 0.60 percent, down from 0.82 percent last fall and 0.92 percent a year ago.

Rates on money market account and certificates of deposit also are not offering much greater returns. The average rate on a money market account is 0.69 percent, and they often require a higher minimum balance to open. The national average rate for CDs ranges from 1.03 percent for three-month CDs to 2.90 percent for five years.

Consumers can shop around for the best savings rates, including in the Tristate, by checking the highest yields chart at www.bankrate.com.

Banks may get break on bad business loans

The number of problem business loans, which have hit banks' profits hard in recent quarters, could soon begin to drop, a top banking regulator says. .

Don Powell, chairman of the Federal Deposit Insurance Corp., said the rapid gain in problem commercial credits at large banks since 2001 is beginning to slow down, and he predicted a "substantial trend" toward improved credit quality for both commercial and industrial loans.

PNC sweepstakes seeks entrepreneurs

Hoping to attract and retain entrepreneurs as customers, PNC Bank is offering small businesses an opportunity to win $5,000 that could be used on local marketing to help generate new business.

The PNC Salutes Small Business Sweepstakes also will offer winners a free two-hour telephone consultation with an expert from Doner, a nationally recognized advertising agency.

Businesses with sales up to $100 million can enter the contest at any PNC branch through May 31.

There is no cost to enter the contest. PNC will award a $5,000 prize in each of its 11 markets

Fifth Third to process AutoZone gift cards

The data-processing unit of Fifth Third Bank has signed a deal to process gift cards for AutoZone, the nation's largest auto-parts retailer.

Fifth Third Bank Processing Solutions will handle those transactions for AutoZone, giving it another product to process for the Memphis-based retailer with 3,000 stores nationally.

E-mail jmckinney@enquirer.com