How To Know the Best Places to Buy a Certificate of Deposit

Certificates of Deposit are also known as CDs. They have the highest interest rates and are one of the safest ways to invest your money. CDs are your best choice for a low risk investment that produces a good return. A CD bank deposit account is similar to a savings account since it earns interest on cash or business checks deposited. The main difference is that CDs earn higher interest compared to regular savings accounts.

If you want to invest in CDs, consider that the length of time the CD is kept and the current interest rate. The higher the amount of the CD, the higher is the interest rate offered. Make sure you look for the best places to buy a Certificate of Deposit with the highest interest rates.

You can find the best places to buy a CD with the highest rates at:

  • Online banks that do not spend for high overhead costs and offer higher interest rates than land-based banks.
  • Institutions that advertised for CD sales in the newspapers or at their institution.
  • Local Banks
  • Credit Unions
  • A Broker or Financial Advisor who may have access to the best CD rates.
  • Financial Institutions that give their valued customers the best CD rates.

Here are some institutions that offer the best Certificate of Deposit rates.

  • Ally Bank, Midvale, UT
  • Discover Bank, New Castle, DE
  • Ascencia, a div. of PBI Bank, Louisville, KY
  •, Charlotte, NC
  • AIG Bank, Wilmington, DE
  •, Ft. Lauderdale, FL
  • Excel National Bank, Beverly Hills, CA
  • Lone Star Bank, Houston, TX
  • Metropolitan National Bank, New York, NY
  • Intervest National Bank, New York, NY
  • American Bank, Allentown, PA
  • State Farm Bank, Bloomington, IL
  • Bank of Internet USA, San Diego, CA
  • Goldwater Bank, Scottsdale, AZ
  • NOVA Bank, Philadelphia, PA
  • BankDirect, Dallas, TX
  • Heritage Bank, Willmar, MN
  • First Internet Bank of Indiana, Indianapolis, IN
  •, Cleveland, OH
  • Waterfield Bank, Bethesda, MD
  • Transportation Alliance Bank, Ogden, UT
  • MetLife Bank, Bridgewater, NJ

Before buying a CD, shop around for the highest CD rate offered. The banks usually offer competitive rates. Check on the present interest rates and compare these to the CD rates. For your computations, make use of a calculator. To know more about competitive institutions that offer CD’s, check the Internet, banners, the newspapers, or brokers.

Keep in mind that you are depositing your money for a specific period when you buy a CD. Know the penalty charged if you withdraw money earlier than the tenure committed. Make sure that you only do business with a financial institution that is FDIC insured. Credit unions are not FDIC insured, so you take a higher risk.

Remember that when you buy a Certificate of Deposit, your level of risk is low, so the level for rewards may be low as well. A CD bank deposit account usually gains the highest interest compared to a savings account, deposited with deposit slips in a bank, but there are risks involved. Compare where you earn the most considering all factors, and then decide where the best place to buy a Certificate of Deposit is using your business checks.


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