CD rates Blog

I got an e-mail last week from a reader who had found a 5-year CD rate of 3 percent and was wondering if he should jump on it. He knew the rate was above market — the highest 5-year CD rate I find on Bankrate’s CD rate table is 2.4 percent — but he was

Nothing like the prospect of financial calamity to make today’s paltry CD rates more palatable. While CD investors may not appreciate yields less than the inflation rate, they may be reveling in the risk-free aspect of CDs right now. CDs are, of course, insured by the Federal Deposit Insurance Corporation for up to $250,000. One

If you’ve noticed a lack of attractive special offers on CD rates, you’re not imagining things. Market Rates Insight has a report out this month showing the APY premium — the usually modest rate bonus banks offer new customers to keep new deposits rolling in — has fallen so low in some cases it’s actually

Savers just cannot catch a break in today’s interest rate environment. According to Bankrate’s archives, the average one-year CD has yielded under 1 percent since September 2009 — and under 0.5 percent since December 2010. After the erosion of purchasing power through inflation, savers are kind of paying banks to keep their money. But rather

Federal Reserve Chairman Ben Bernanke testified before Congress this week, reporting that the Fed is ready and willing to provide more stimulus to the economy if it’s needed. His fingers are crossed, however, that the economy will move past the transitory bumps that have slowed down growth this year. Before Bernanke’s testimony, a recent Bloomberg

It seems like eons since CD rates were anywhere near normal, and investors have understandably been on the lookout for any sign that higher yields might be on the way. Fortunately, some signs have been cropping up in the larger U.S. economy that the long CD yield drought maybe coming to an end. First, you

When it comes to evaluating CDs, the annual percentage yield is of paramount importance. In most cases, the APY is very easy to spot — banks are required by law to display the annual percentage yield to help savers compare products. APY takes into account both the nominal interest rate and compounding interest. The more

In order to find the best CD rates in today’s environment, savers need to search nationwide and consider online banks. Bankrate has you covered when it comes to searching for the highest rates but your investing strategy can also boost yields over time, for instance, with a CD ladder. A CD ladder stacks certificates of

Remember Allen Stanford, the billionaire financier who ended up seeing his financial empire fall among accusations of running one of the biggest Ponzi schemes in history? Unfortunately, two years after Stanford Financial Group collapsed, investors in Stanford’s Antiguan CDs are still waiting to find out how — and if — they’ll be compensated for their

The Federal Open Market Committee met today for the fourth time this year. Unsurprisingly, rates were unchanged and that means continuing bad news for CD rates. At the end of this month, the Fed’s $600 billion bond-buying program known as QE2 will come to an end. But the Federal Reserve will continue their policy of