Are CD’s (Certificates of Deposit) Worth It?
If you are looking for a way to save money for the future a Certificate of Deposit (CD) may be for you. CDs require you to lock in a lump sum deposit for a specified period of time at a set interest rate. If you are able to lock in funds for a period of time without accessing it, then a CD is absolutely worth it. CDs are for consumers who want to earn interest on their account without touching their funds until the maturity date.
There’s a reason Certificates of Deposits are one of the most common ways consumers choose to save. CD accounts typically provide a higher interest rate compared to standard savings accounts and can help to grow your money quicker. Your interest rate is locked in for a specified term which can vary from 3 months to 60 months. Once your term ends you may withdraw your money penalty free. This is called your maturity date.
If you’re interested in opening a Certificate of Deposit account, the next step is to talk to a Freedom Bank representative about the current rates and and decide what makes the most sense for your savings goal. During this conversation you’ll also be able to determine how long you wish to lock in your funds depending on how soon you’ll need to access without penalty.
CD accounts are one of the safest options for saving and are protected by the Federal Deposit Insurance Corporation (FDIC).
Freedom Bank offers the ability to open CDs, checking and savings accounts online or in-branch at one of our five locations. Stop by or call 201-599-3000 to speak to a representative about opening an account today.