Comments on: Best CD Rates (Updated!)

By: Vincent Peil

Vincent Peil — Sun, 28 Aug 2011 00:33:24 +0000

I am seeking jumbo monthly CD rates in which yield 10-15%.I do know they exhist.Anybody with info please email me.

Thanks

By: Amber

Amber — Mon, 21 Feb 2011 19:53:44 +0000

Sorry Jay I see the confusion. 4.07% APY would have been a more exact way to say it, and the term is for 18 months. However, all of this discussion is moot, as I just checked their site and they have recently adjusted the rate down to the market rate of 1%. It was just a marketing error that was honored well past when it should have been adjusted.

By: Jay

Jay — Sat, 19 Feb 2011 04:41:52 +0000

Re: Amber – Hi Amber, my math was based off of what you said, “a $5,000 CD making 4% over 18 months.” . 4% of $5000 over 18 months = 11.11/month. 12(year) = $133.33 – $29(fee) you are left with $104.33 which comes to 2% annual return. I think I got 1.5% return because I accidently use $58 for the fee the first time.

I apologize for my mistake though, I took you literally when you said you’d get 4% over 18 months. Well done, and it’s a shame the limit was set at $5000.

By: Amber

Amber — Thu, 17 Feb 2011 13:58:46 +0000

Re: Jay – I don’t follow your math.
A $5,000 CD early 4% interest over 18 months, even if compounded yearly (whereas Citibank claims they compound daily) will yield $303 interest. (Daily compound would yield $309). Deduct from the total the fee required that I mentioned for keeping this card ($29 annual, or $58 for the 18 months) and I still net $245. So yes, I see your point that the card fee deducts from the total interest, and that the actual final rate is closer to 3.25%. Still, if I were only earing 1.5% after fees, that would only yield $114. The satisfaction of the extra $130 is well worth the hassle it took to open this card, AND it is still earning more than any regular CD I could open today.

Re: Newly Frugal – thanks for the link – I checked it out but only found a max rate of 2% available from my zip code. Of course my state also doesn’t allow me to participate in Lending Club, so go figure.

By: Newlyfrugal

Newlyfrugal — Wed, 16 Feb 2011 06:04:43 +0000

Go to checkingfinder.com and enter your zip code. The site will provide a list of credit unions and community banks which offer Rewards Checking Accounts. My RCA earns 4.01% interest up to $25k, requires no minimum, and has no monthly fee. I have one RCA in my name and one in my significant other’s name, so we get high interest on total of $50k if we choose this route. I leave $10k in each account because we get higher returns at Lending Club and in Vanguard and Schwab brokerage accounts.

To earn the high interest, we must accept online statements, make one ACH transaction (I pay my credit card bill) or have direct deposit, and make 10 debit transactions. I pay for canned veggies (59 cents each) or gum ten times. If I do not meet the requirements for that cycle, I earn only .25%. I find that an RCA is a great place to park money or an emergency fund.

I link my RCA to my Ally online accounts (savings account and Money Market.) THis way, I can use Ally to move funds between accounts in all my banks and brokerage firms.

By: Jay

Jay — Sun, 06 Feb 2011 02:19:26 +0000

To Amber -

After fees you’re only making about 1.5% annually.

By: Amber

Amber — Wed, 01 Dec 2010 16:39:11 +0000

Just wanted to post an update to my above comment. I went ahead and applied for this card, sent my check in with the application (as instructed) and a couple weeks later, I am now the happy owner of a (useless) credit card that I never plan to use but also a $5,000 CD making 4% over 18 months. HAPPY ME. Downside: There is a $29 annual fee associated with the card (which of course, over 18 months, will be dinged 2x). Still – what I am making as compared to any regular CD seems ridiculous. The max you can invest is $5,000 at this time though.

By: Amber

Amber — Mon, 01 Nov 2010 19:10:34 +0000

Has anyone tried the secured credit card offered by citibank? I was withdrawing some money to move to an Ally MM account @1.24%, and the banker suggested I try their secured credit card. It is supposedly set up for people with no credit to get credit, but it is tied to a CD that earns 4% over 18 months!!
How can this be possible? My only guess is that they will discover I have good credit and deny my account, but I’m going to try anyway.

By: Isaac

Isaac — Mon, 13 Sep 2010 23:39:43 +0000

I wonder why Sallie Mae Bank isnt listed as one of the best. Their CD rates seem to be better than most of, if not all of the rest. Is there a problem with this bank?

By: Carol

Carol — Thu, 03 Jun 2010 12:54:46 +0000

We’re definitely looking for ways to store our money at a better rate, now that our house is going to be paid off in a couple months. The money will start piling up once we’re no longer making a mortgage and extra principal payment every month. We have a pretty high savings rate right now – it’s one of those high rate checking accounts. But it maxes out at $30K; won’t pay interest on balances above that. We’ve already maxed out that account. But I had hopes that CD rates would be higher than the ones on here. Bummer.

By: no brainer

no brainer — Thu, 06 May 2010 00:07:13 +0000

I was shocked to see that American Express offer a 1.49%. I am going to try out for a year and see how the market is next year. Have you tried the Lending Club, it seems really good but it also seems very uncertain.

By: GaelicWench

GaelicWench — Wed, 15 Jul 2009 15:38:33 +0000

I didn’t look to see if one would be better over the other, but wouldn’t it make more sense to invest in the savings installment-type of savings account, such as what Wilshire Bank offers? I know there’s always the possibility of rates getting cut, but if you go with one year, like you mentioned in your post, the risk is low.

Just a thought….