Finding CDs online is a wonderful way to take advantage of great rates that many online banks are able to offer. Now is the perfect time to get started. To find the best deals, however, you will need to know how best to search the web for CD deals.
CDs, or Certificates of Deposit, are a low-risk way to invest your money. CDs do not traditionally make much more than savings or money market accounts, but you cannot touch that money. For people who have trouble saving, CDs are a good choice for stashing a bit of money for later.
Look for Online-Only Banks
Some banks have very low overhead because they exist online only. They donâ€™t have any buildings to maintain, and they have fewer employees. That means they can offer great rates to their customers. Look for banks with an online presence only and compare their rate to the rates of some of your local banks. You are likely to find that they are half- to one point higher in interest, which can add up over time.
Check for Specials
One of the beauties of the internet is that you can find special offers and coupon codes by doing some quick searches. When you are looking for CDs online, you should spend some time searching for special promotional codes. See what codes you can combine to make the best deal.
Donâ€™t settle for the first promotional offer you see, though! Shop around to see if there are other, better deals for you. Also, be sure you check the conditions on each code because great rates often come with a lock-in for a longer time, which means you will not be able to access your money for a lengthier period of time.
Sign Up for an Account
Online banks need to establish some sort of customer loyalty, which is harder to do if people do not pass by your window on their way to the grocery store. Instead, many online banks work to establish that loyalty by granting better rates of return on their products.
For you, as the consumer, that means that you will be able to take advantage of great rates on CDs online if you are willing to open an account. Online bank accounts typically work by having you attach your current, brick-and-mortar bank account to online account for money transfers. Getting a reputable, FDIC-insured bank will help keep your money and information safe. All you have to do in most cases is keep the account open, often without a minimum, and you are able to take advantage of excellent rates on your CDs.