The megabanks, Chase, Bank of America and so on, typically have little incentive to pay high CD rates.
Besides the banking regulations governing the number of transactions allowed in savings and money market accounts and minimum early withdrawal penalties on CDs, there is a huge amount of variation between banking products.
Last week’s meeting of the Fed was generally interpreted as bullish on the economy and bolstered confidence that an interest rate increase could indeed come this year.
Though there’s no one-size-fits-all answer for savers and investors, examining goals and time frames can provide direction when considering saving and investment vehicles.
Interest rates as set by the Fed are the biggest factor in fluctuations in CD rates.
Despite many years of investigations by the Securities and Exchange Commission, Allen Stafford’s CD scam ran for more than a decade.
After signing the CD deal, savers will receive prepaid interest in the form of one 2015 Mercedes S550 sedan or three 2015 Sprinter Cargo Vans.
According to an SEC lawsuit, at least four account holders invested $532,000 in CDs in the financial scam.
Since 2007, the percent of families with certificates of deposit has fallen to record lows as CD rates have hit bottom.
It’s only a few basis points. But CD rates have risen a bit since July 23 in the weekly rate surveys at Bankrate.