A $25,000 1-year CD account has multiple timely advantages for savers to evaluate right now. Getty Images/iStockphoto If you have $25,000 currently sitting in a traditional savings account, moving it into a certificate of deposit (CD) instead may feel unconventional. CDs, after all, require savers to lock their money into
A $25,000 1-year CD account has multiple timely advantages for savers to evaluate right now. Getty Images/iStockphoto If you have $25,000 currently sitting in a traditional savings account, moving it into a certificate of deposit (CD) instead may feel unconventional. CDs, after all, require savers to lock their money into the account to earn the listed interest rate. That means temporarily sacrificing access to your five-figure sum of money, which many may understandably not want to do in today’s inflationary environment. But with interest rates still elevated, the principal here protected in a way it won’t be if it was invested and the returns substantial on a deposit of this size, it can be a worthwhile and profitable move worth making anyway. If you move it into a 1-year CD account, for example,
