CD rates Blog

These days, the safety of FDIC-insured CDs comes at a high premium. Donna Gehrke-White of the South Florida Sun-Sentinel had a troubling article last week on how low CD rates are impacting seniors. From the article: Retiree Joan Siegel, 75, of Hallandale Beach, Fla., is afraid that piddling interest on the federally insured bank accounts

Despite the ubiquity of e-commerce, some diehards still feel uncomfortable about online purchases or banking. But, the people that do go online for banking report higher levels of satisfaction than those that stick to the branch. Back in May, a survey from ForSee results found that customer satisfaction with online banking had increased over 2010.

So CD buyers may not actually be taking to the streets to protest low CD rates, but today’s ultra-low yields are a product of the same series of debacles that have spawned the Occupy Wall Street protests, which began last month in New York. There were a confluence of factors that contributed to the financial

CD rates may have a little bit further to fall than I predicted in last week’s blog post. On Tuesday, Market Rates Insight, a pricing consultant for banks, released a report projecting interest rate decreases this month on term deposits of 36, 48 and 60 months. According to the report, the five-year CD yield will

The other day I saw a Web ad from a major bank urging me to get a great CD rate and protect my retirement by rolling over my IRA into an IRA CD. It got me wondering if a lot of folks are doing just that — liquidating their stock portfolios and placing the proceeds

I think the impact of Operation Twist is already reflected in CD rates. Here’s why, with some background for those just tuning into the ongoing central bank saga. Richard W. Fisher, president of the Federal Reserve Bank of Dallas and voting member of the Federal Open Market Committee, spoke on Tuesday before the Dallas Assembly

CD rates have lately fallen to levels so low they’re giving CD investors sticker shock. The average yield now on a 1-year CD is now .39 percent, which will earn you a whopping $39 on a $10,000 CD. Rates that low undeniably hurt savers, but they also have a way of magnifying the pain of

Deposits at banks have reached record proportions due to fears of a second recession. Unfortunately, many big banks don’t want deposits, as the Los Angeles Times reported on September 17, in the story, “Bank deposits soar despite rock-bottom interest rates.” Among the subtle hints that banks prefer you keep your money anywhere but in their

A few months ago, in an effort to help CD investors plagued by ridiculously low CD rates, my colleague Sheyna Steiner blogged about three alternatives: I bonds, high-yield checking accounts and dividend paying stocks. I’ll add one more: buying an investment property and becoming a landlord. I spent some time surfing around Zillow the other

Inheriting a CD can cost you money. Though an inheritance is not generally subject to federal income tax, the interest earned on an inherited CD is. To avoid that, you can close the account and withdraw the funds but the bank may charge an early withdrawal penalty in that case. The Web site for the Kansas