simply smarter savings

simply smarter savings


education   |   money myths

myth 3: "CDs are so yesterday"

You know about CDs, right? Of course you do, you’re financially savvy. (Though, just so we’re clear, we’re talking certificates of deposit here, not those discs from the ‘90s.)   

Still, you might ask:

Wait, aren’t those what my grandparents used?
Aren’t they really complex to set up?
Don’t they lock up my money for a long time?
Won’t I miss out on higher interest rates?
The Answers:

NO, NO, NO and Not Necessarily

OK, so what’s a more accurate take on CDs?

They’re a powerful savings tool
They almost always offer much higher rates than savings accounts (customers get a higher return for committing to hold their money for a period of time)
They can be flexible to suit a variety of goals.