It’s a rate game. Not all CDs offer the same earning potential and as a savvy saver, you know the importance of shopping multiple financial institutions and comparing rates. If your rate isn’t among the top 10%, your savings may not be growing as efficiently as possible – meaning you could be missing out on higher earnings.
For example, online banks are known to offer attractive rates, but are they the cream of the crop? CD Valet data from February 10, has shown that there is a clear gap in Annual Percentage Yields (APYs) between the top 10% of CD rates available on CD Valet and the average CD rates offered by large online banks. While the top 10% APYs for a 1-year CD on CD Valet stand at 4.25%, the average rate from a large online bank is just 3.74%. The discrepancy is evident across standard terms, including 5-year CDs, where the top 10% APYs are 3.80%, compared to 3.22% from these online institutions.
No matter where you’re opening a CD rate you’re eyeing, the APY Checkpoint helps you gauge whether that CD rate you’re considering ranks among the top 10% of annual percentage yields (APYs) for standard CD terms. Using data from CD Valet’s Market Intelligence Tool, updated monthly, provides a clear benchmark to ensure you’re earning the most competitive returns.
Are you earning the highest returns possible?
Before committing to a CD this month, compare its rate to the highest available and make sure your savings are working as hard as they can. Gauge how your rates compare to today’s top rates.
