Ways to Find the Best CD Rates

Worried that your CD rates are too low? Read here for ways to find the best rates!

With the stock market being as inconsistent as it has been over the past few years, many people are looking for safer ways to invest their money. For many people, opening certificates of deposits with banks could be a great idea. Certificates of deposit offer customers a guaranteed rate with absolutely no risk. While getting CDs could be a great way to invest, they often come with very low rates. Luckily, there are several ways you could find the best rates and earn extra money.

Look At Online Banks

The first way that you could find the best rate would be to look at online banks. Like most banks, online banks offer certificates of deposits to their customers. While CD rates at all banks are low right now, many online banks are able to offer better rates on their CDs than traditional banks. Since online banks do not have the same overhead expenses associated with maintaining and staffing traditional bank branches, they have the flexibility to pass on the additional savings to their customers. In some instances, the savings may be passed on through lower rates through their certificates of deposits.

Shop Around

The second way that you could find the best CD rates would be to shop around and negotiate. While most banks are not able to offer high CD rates right now, all banks have different rate structures. By shopping around at various banks, you could end up finding a banks that has a much better deal than the rest.

Put Forth More Money

The third way that you could receive better rates on Certificates of deposits would be to put forth more money into the account. Banks want people to open CD accounts with them because it increases their deposit level and gives them more assets to invest. Because of this, many banks are willing to give better CD rates to customers that open larger accounts. Jumbo CD accounts, which usually require a deposit of $50 thousand or more, could receive much better rates than smaller accounts.

Stacey Nelson

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