Best Cd Rates
Best Cd Rates Certificates of deposits, or CD's, can be a great help in getting all your finances in order. For one thing, a cd requires you to show some restraint with your money. Since you will incur a significant penalty if you try to get your money out early, you will be less likely to try. Finding the best cd rates will require a little time and effort. When trying to compare various financial institutions and the rates they give, your best shot at finding the best cd rates is to head online. Even if you choose to go to your own local bank, you can still find out what interest rates they are offering right on their website. Being able to compare the rates of many financial institutions is the best way to ensure you find the best rate with the best terms. One great time saver is a website called bankrate.com. This site will compile the recent interest rates of various financial institutions so you don't have to visit each website individually. Even though not all banks will post their rates online, it is often because their rates are not very competitive. Even so, you should still go to the website of that bank directly just to make sure. It is your money and even though you are busy, you don't want to shortchange yourself. Spend a little time to find the best rate for you. Also, don't forget to check the rates being offered by credit unions. In general, you may be able to get higher rates from credit unions than you would a bank. It is worth checking out. If you have been a customer at your local bank for a long time, you may be able to get an even better rate as a preferred customer. These rates are not advertised and you need to ask for them by name: preferred customer rate, but you may be able to get a better rate just by asking. Also, keep in mind that there are other things to take into consideration besides just the rate. You also want to carefully consider the term. Terms can vary significantly and the longer the term the higher the interest rate since the bank will be able to "use" your money that much longer. But, there is a downside. You have to leave your money in for the whole term or you will lose most of, or all, of your interest. That is the "substantial penalty for early withdrawal" you've heard about means. If you are saving the money for something specific in a certain time frame, keep that in mind before you put your money in a cd. Make sure the term of the cd is in line with your plans. Using a cd to get your financial house in order can be a great tactic. Due to the terms of the cd's you must use restraint in your financial matters and you might be able to learn some discipline when it comes to your money. To get the most out of this strategy use these tips to find the best cd rates. Remember, the best rate may not be with your local bank or with a bank at all but rather with a credit union.