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National CD rates averages for Feb. 5

Here's a look at the state of interest rates on five common consumer banking products and the latest rates from Bankrate.com's weekly national survey of large banks and thrifts conducted Feb. 4, 2009.

CDs

Yields: 1.61 percent (1-year CD yield); 2.34 percent (5-year CD yield)

The downward trend for yields continues, but the decline has moderated. The average yield for one-year CDs, as surveyed by Bankrate.com, is 1.61 percent, down 2 basis points from last week. The average yield for five-year CDs lost 4 basis points to come in at 2.34 percent -- not a lot of return for locking up your cash for five years.

The jumbos saw similar action with the one-year CDs losing 2 basis points, while the five-year dropped 3 basis points to yields of 1.71 percent and 2.36 percent, respectively.

We're still seeing a few one-year, high-yield CDs in the 3 percent neighborhood, but most have fallen into the 2.5 percent to 2.9 percent range. Five-year, high yield CDs are paying better than 3 percent for the most part. None of these yields are very exciting but they're considerably better than the traditional CDs. Peruse Bankrate's high-yield tables for some of the best deals available nationally.

The average yield for money market accounts fell 1 basis point to 0.53 percent. Liquidity leaves you at the mercy of the bank, but the high-yield money markets are paying four to five times the average yields.

All deposit accounts listed on Bankrate are FDIC insured.

-- Laura Bruce

 

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