Use the following embed code to add our widget to your site. Copy the embed code by clicking on the "Copy to Clipboard" button.

Direct link:

Should I be satisfied with these CD Rates?

A Certificate of Deposit (CD) is an ideal low-risk investment opportunity for investors interested in diversifying their portfolios. A CD allows investors to deposit large sums of money with banks or financial institutions and gain a higher rate of interest, especially when compared to a traditional savings account. Certificates of Deposit are also insured by the FDIC for up to $250,000, as opposed to other investment strategies that are not insured.

A CD requires the investor to place a fixed amount of money into the account for a specific amount of time; generally, the time periods are three months, six months, one year,

eighteen months, or more. During this specific amount of time as the CD matures, the money invested accrues interest awarded by the bank or financial institution. If the money is withdrawn before the agreed upon period of time, there will most likely be a penalty for early withdrawal that forfeits some of the earned interest.

Once investors purchase a CD, they are locked into specific interest rates for certain amounts of time, regardless of whether or not interest rates rise overall in the market. Typically, CDs pay out a fixed interest rate, but financial institutions have may offer CDs with variable interest rates or with long-term agreements that offer a higher yield.

If you are interested in investing in a Certificate of Deposit or are currently investing in a CD, take this quiz to see if you should be satisfied with your current CD rates.

Which age range are you in?
Do you have a thousand dollars or more to invest that does not need to be used for anything else?
Can you live without that thousand dollars for as many as five years for a high cd rate?
Have you made a list of personal financial goals?
Have you begun saving for retirement?
Do you currently maintain an investment portfolio?
Are you comfortable with higher risk investments that return a higher yield?
Do you prefer investments with lower rates of return but are significantly lower in risk?
Do you currently work with a financial advisor who knows where to find the highest cd rates?
Have you been able to compare CD rates from three different financial institutions?