When is the right time to open a CD?
Now. Over the past few months as we have traveled through this rough economy, the best way to securely save your money with a somewhat interest rate is to lock your money in for at least 6 months to a year. Why? I don’t trust the Fed interest rate to help us that much and everything is looking kinda bleak with the fantastic cost of oil.
I have always been a huge supporter of money markets and savings. As many of you know, I have a Paypal money market built into my balance with my paypal e-wallet. But the truth is…these money market rates are beginning to be a lot lower than actual CD interest rates and you always need to switch your money to where the higher rate is.
I know this may sound crazy to some people, but Countrywide bank does have some of the highest interest rates for CDs and are FDIC insured.
Another post coming tonight….!
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Filed under: Alternative Income, Articles
I think the best thing to do is open a cd ladder, then you don’t have to worry about fluctuating rates as much
A CD ladder does require a lot more of an investment than just one CD investment… and the only reason for a ladder is to have the money essentially liquid, so if you don’t need liquid assets, and don’t want to invest a lot, then you don’t need to do a CD ladder.