The Debate: Suze Orman's Defense of CDs vs Dave Ramsey's Critique
Tuesday, 14 May 2024, 12:30
Certificates of Deposit (CDs): Suze Orman vs Dave Ramsey
Two prominent financial experts, Suze Orman and Dave Ramsey, have differing stances on the value of investing in Certificates of Deposit (CDs). While Orman advocates for integrating CDs into a financial strategy, Ramsey labels them as subpar investment options.
Why Orman Supports CDs
- CDs make terrific sense for short-term savings goals.
- They offer a guaranteed rate of return and are FDIC-insured.
- Orman advises caution when considering CDs as an investment and emphasizes building an emergency fund first.
Why Ramsey Opposes CDs
- CD returns are deemed too low by Ramsey.
- Ramsey suggests mutual funds as a superior alternative to CDs.
Ultimately, Orman's recommendation to utilize CDs for short and medium-term investments aligns better with prudent financial planning strategies, providing stability and potential returns.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.