Savings accounts vs. CDs

While Federal Reserve Chairman Ben Bernanke continues to slash interest rates, making it easier for folks to afford loans and mortgages, savings interest rates have continued to come down. So that means you’ll have to work a little harder to save.

I know my bank’s regular savings account interest rate is a paltry .15% right now for balances up to $9,999, so it doesn’t pay to keep your cash in that type of account. Instead, look into Certificates of Deposit. If you do your research, you can find rates right now are around 3.01% for a 6-month CD — that’s nearly 20 times the pathetic savings account rate!!! And in many instances, you don’t even have to open an account in person — it can all be done online.

Why wouldn‘t you make your money work for you?

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