Need advice about Certificate of Deposits (CD's)?

Okay, I am looking to invest some money into a CD about $2,500 or so, and I know that current rates suck compared to what they were last year. I what I need to know, is $2,500.00 a sufficient amount and what is the minumum rate I should seek out?Need advice about Certificate of Deposits (CD's)?
Most CD`s start with a minimum of 500 dollars, but that varies. The going rate is around 3.5% right now for 1 year CD. Depending on the institution you go through, Most offer 90 day, 3 month, 6 month, 1 year. up to 5 year terms. The shorter the term, usually the lower the interest paid to you. Check out the following link to learn more and compare rates in your area. Some CD`s charge for early withdrawal, and some do not.There is no charge to open a CD. It is just like opening a bank account, except you are under contract to leave your money deposited for a certain length of time. If you think you might have to have some of your money before the term ends, put the same amount in several CD`s, so if you do close one out early, you wont have to pay penalties on ALL the money.





http://www.bankrate.com/gookeyword/rate/鈥?/a>Need advice about Certificate of Deposits (CD's)?
2500 is a fine amount. As for the rate to shop around for, you will have to do that yourself. Credit Unions and Online Discount Brokerages (Schwab, Fidelity, etc) are currently the ones offering high rates. Banks do as well, but they have traditionally been the ones with the highest fees.





Incidentally, what are you looking to do with the money? If you are looking to maximize your rate of return, and the time frame isn't a priority, there are other options out there.
$2500 will not make you very much money on a CD, and it really depends on the bank. At such a low amount, you're probably looking at rates close to about 3.5%.
$2,500 is plenty and you do not need to settle for 3.5%. Just take a look at this link. Good luck.


http://www.money-rates.com/cdrateslong.h鈥?/a>
You will get a low rate. If this money is going to be invested long-term, you might consider other options.





Good Luck