This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

CDs Safe Haven? Where to Find the Best Rates

TheStreet.com regularly goes in search of the best rates for various banking products. Today's focus is on short-term CDs.

Has the wildly unpredictable stock market got you jittery?

You can put your money into CDs instead. As long as they're insured, they're a sure bet. But you can also bet the returns are going to be fairly small.

And they're falling.

Rates on three- and six-month CDs in the secondary market had increased about five times to mid-2006 from early 2004, according to the Federal Reserve's Statistical Releases. They leveled off at more than 5.3% for just over a year, and have fallen markedly since December, losing around two percentage points, spurred on last week by the Federal Reserve's surprise rate cut.

If the Fed shears rates during its meeting this week -- as some speculate -- CD rates may fall further. Whether or not they'll hit 2004 lows is anybody's guess, says Philip van Doorn, analyst at TheStreet.com ratings.

The previous low was brought on by fallout from Sept. 11, 2001 and the bursting of the dot-com bubble, says Mr. Van Doorn, and the new bottom will depend on just how bad economic conditions get.

So for the bearish among you, we searched around for short-term CD rates on BankingMyWay.com. In all cases, geographical and other terms and conditions may apply -- check with the institution. All rates have been updated on or after Jan. 21. All rates are measured by annual percentage yield.

  • Valley National Bank (VLY) has a special offer of 4.75% on seven-month investments of a minimum $500.





  • Wachovia Bank (WB), National Association has a special offer of 5.01% on five-month investments of a minimum $5,000.





  • Washington Mutual Bank (WM) has a special offer of 4.85% on eight-month investments of a minimum $1,000.





  • Washington Mutual Bank has a Web-only offer of 5.100% on six-month investments of a minimum $1,000.

  • Great Florida Bank (GFLB) has a special offer of 4.710% on three month investments of a minimum $5,000.

  • Internet bank Doral Bank (DRL), FSB has a special offer of 5.250% on six-month investments of a minimum $1,000.





  • Internet bank Countrywide Financial (CFC)has an offer for 4.8% on a three-month investment with a minimum $10,000.





  • And for those looking to guarantee rates for longer, Internet bank EverBank is offering 4.7% on a five-year investment with a $1,500 minimum.


    Elsewhere, here's a look at the national averages for CDs of various types:

    To search for local rates on CDs, click here.

    Select the service that is right for you!

    COMPARE ALL SERVICES
    Action Alerts PLUS
    Try it NOW

    Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

    Product Features:
    • $2.5+ million portfolio
    • Large-cap and dividend focus
    • Intraday trade alerts from Cramer
    • Weekly roundups
    TheStreet Quant Ratings
    Try it NOW
    Only $49.95/yr

    Access the tool that DOMINATES the Russell 2000 and the S&P 500.

    Product Features:
    • Buy, hold, or sell recommendations for over 4,300 stocks
    • Unlimited research reports on your favorite stocks
    • A custom stock screener
    • Upgrade/downgrade alerts
    Stocks Under $10
    Try it NOW

    David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

    Product Features:
    • Model portfolio
    • Stocks trading below $10
    • Intraday trade alerts
    • Weekly roundups
    Dividend Stock Advisor
    Try it NOW

    Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

    Product Features:
    • Diversified model portfolio of dividend stocks
    • Alerts when market news affect the portfolio
    • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
    Real Money Pro
    Try it NOW

    All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

    Product Features:
    • Real Money + Doug Kass Plus 15 more Wall Street Pros
    • Intraday commentary & news
    • Ultra-actionable trading ideas
    Options Profits
    Try it NOW

    Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

    Product Features:
    • 100+ monthly options trading ideas
    • Actionable options commentary & news
    • Real-time trading community
    • Options TV
    To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
    Submit an article to us!

    Markets

    DOW 18,053.71 +23.50 0.13%
    S&P 500 2,088.77 +6.89 0.33%
    NASDAQ 4,806.8590 +33.3870 0.70%

    Brokerage Partners

    Rates from Bankrate.com

    • Mortgage
    • Credit Cards
    • Auto

    Free Newsletters from TheStreet

    My Subscriptions:

    After the Bell

    Before the Bell

    Booyah! Newsletter

    Midday Bell

    TheStreet Top 10 Stories

    Winners & Losers

    Register for Newsletters
    Top Rated Stocks Top Rated Funds Top Rated ETFs