Anyone care to school me on Bank CDS?

[tbwsf]

considering getting into a bank cd. want some insights on whats the best way to use these?

 

[wj4]

Originally Posted by TBwsf

considering getting into a bank cd. want some insights on whats the best way to use these?

The rates right now are horrible, most of them aren't even that much higher than a typical high yield savings account you can open onlinewithout a limit.

I'll just make bullets to make it easier to read.

-There are various type of CD's based on how long you want to have the account for. The longer the term, the higher the rate.
-There's usually a minimum you need to meet to open a CD.
-Some places require you to have the entire monetary amount in there, if you take anything out...CD will end and you will be in the penalty.
-Other places let you take out the interest, or the whole thing.
-Read the fine print carefully, as some CD's will automatically renew when it the period is coming to an end.

 

[danzinreallife]

Pardon my foreign ignorance, but what's a bank CD?

 

[reigndrop]

Originally Posted by DanzInRealLife

Pardon my foreign ignorance, but what's a bank CD?

Certificate of Deposit.

 

[momoney848]

Originally Posted by wj4

Originally Posted by TBwsf

considering getting into a bank cd. want some insights on whats the best way to use these?

The rates right now are horrible, most of them aren't even that much higher than a typical high yield savings account you can open online without a limit.

I'll just make bullets to make it easier to read.

-There are various type of CD's based on how long you want to have the account for. The longer the term, the higher the rate.
-There's usually a minimum you need to meet to open a CD.
-Some places require you to have the entire monetary amount in there, if you take anything out...CD will end and you will be in the penalty.
-Other places let you take out the interest, or the whole thing.
-Read the fine print carefully, as some CD's will automatically renew when it the period is coming to an end.

I worked at a bank for almost 4 years. The rates are the worst they've ever been. wj4 got everything right. Stay away right now. It's not worth it.Open a savings account online with somewhere offering at least 2%. CD rates are below that at this point in most places.