Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I am expecting the market to tank and tank hard.. I will not be parking my money in risky investments this year and probably next year... so I am wondering what is the best interest rate that your bank is offering right now for saving accounts?
Yeah, I notice that my savings was at 5 then 3 and now at 2.. I never understood why anyone would want a CD when a savings account has exactly the same interest rates and allows you to access to it without penalty... why do people "want" CDs?
Yeah, but savings rates are almost as stable, its like giving up a month or two at that rate for easy access to your cash... and the rates don't drop that fast... I had 5% for a couple of years and then 3% for a little less than a year to 2% now for a while... The CDs that I saw had lower rates almost every time such that even if savings rates dropped, it matched the CD rates too... thats why CDs never made much sense to me...
In periods of economic uncertainty those that DEPEND on having their cash earn SOMETHING love CDs. Right now the system needs to have people take more risk so the CD rates are pathetic.
Meanwhile the banks don't want to have an liquidity problems and can afford to have high yield savings and even checking accounts to ensure that happens.
I have several CDs at 6.25% that have a couple more years to go....I wish the hell I'd took them for 7 years instead of 5.
Correct me if I'm wrong, but don't banks pay higher rates to attract deposits? Seems to me that with Uncle Sam handing them bags of cash as fast as he can...why would they care about deposits from the little guys?
You're lucky if you find any term CD'S over 3% now. I have some 5 yr ones paying over 5% but now I'm stuck. I ladder my CD'S. To answer a previous post, you are getting 2% to 3% on your savings now as some of us with 5yr CD'S are getting over 5% when they were at that rate. If you ladder them, you always have something maturing for money coming in.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
