Which CD is right for me?
Whether you’re saving for something a year from now or ten years from now, a certificate of deposit (CD) will help you get there. The benefit of choosing a CD over other types of savings and investment accounts is that you generally earn more interest the longer the term. So if you open a five-year CD, you will likely earn more per year than with a one-year CD, depending on the account.
Check out these CDs that offer different benefits to find out which one is right for your goals:
Standard CD
Choose from a variety of terms including three-months, six months, a year, or longer to suit your specific goals. As with most CDs, the longer the term, the higher the interest rate, so this CD is perfectly suited for savings goals with a set timeline. For example, a down payment on a home in two years or going on vacation in six months. You can open a standard CD at EECU with as little as $1,000.
My Reason. My CD.
This CD is available exclusively for members ages 16 to 25, and comes with two special features to make saving even easier. First, the minimum opening deposit is only $250. Second, the account also allows the holder to make additional deposits of $25 or more during the term. This is perfect for building good savings habits and keeping money in the account when the impulse to buy something comes around.
Bump Rate CD
This CD allows the account holder to bump up the interest rate once during the term if interest rates increase.
Instant Interest CD
If you want instant return on your deposits, the Instant Interest CD pays the interest that will accumulate during the term up front. If you need to close the CD before the end of the term, the prorated interest and any applicable fees will simply be taken out of the deposit when it’s returned.
If you’re interested in learning more about a specific CD, visit your nearest EECU branch or call us at 817-882-0800 and we’ll help you determine which account is best suited for your savings needs.
See Also: Six ways to save with EECU Online Banking
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I like what this article mentions about the timeline affecting the interest rate. I think this could be one of the biggest factors in determining how long I’ll have my money invested in one. I’ll have to look over my budget to see what might be possible, and then go from there. Thanks for the information!