Maximize Savings With Top Certificate Of Deposit Rates
Benefits of Investing in CDs
One of the primary benefits of CDs is their safety. CDs are typically insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 per depositor, per insured bank, offering peace of mind that your investment is secure1. Furthermore, CDs offer a predictable return on investment, allowing you to calculate your earnings with certainty, unlike more volatile investment options such as stocks or mutual funds.
Another advantage is the potential for higher interest rates compared to regular savings accounts. For example, while a standard savings account might offer an annual percentage yield (APY) of around 0.05%, a 5-year CD could provide an APY of 1.00% or more, significantly increasing your earnings over time2.