Key Considerations Before Investing in a Certificate of Deposit (CD)
Sunday, 12 May 2024, 13:30
Key Questions to Ask Before Buying a CD
- Can I afford to lock up my money for the CD term?
Consider your commitment to leave money invested for the required duration to avoid early withdrawal penalties.
- Have I shopped around for CD rates?
Check for high-yield options with benefits like higher APYs, favorable terms, and daily compounding interest.
- Would this money be better off in a brokerage account?
Explore if your funds could potentially achieve higher returns in the stock market over a longer period.
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.