A certificate of deposit is a type of savings account with a fixed interest rate and term. CDs are a safer investment than stocks and certain types of bonds, making them an attractive option for individuals looking to grow their savings without taking on too much risk. While CD rates have been rising steadily, they may offer lower yields than other types of investments. Are they a good option to maximize savings in today's market?
Rates on CDs skyrocketed in 2023, but will the trend continue into the New Year and beyond? Our forecast explores where CD interest rates are headed and whether investing in CDs is a wise decision for your financial goals. Mapping out plans to build your savings can be challenging, especially when interest rates fluctuate. A certificate of deposit (CD) is a good alternative if you are looking for a secure and stable way to grow your money over time.
The investing information provided on this page is for educational purposes only. NerdWallet does not offer advisory or brokerage services, but we can help you make informed decisions about your investments. CD rates are very high right now, but that doesn't mean that you should be putting all your money into them. Find out why CDs may not be a good fit for your financial goals and explore other options for growing your savings.