Saving with CD accounts can be a great way to reach your savings goals, but how do CD accounts compare to investments?
An investment involves risking money in order to earn profits. An investment may earn a small return, a large return or no return at all, depending on how the investment performs. Investing comes with varying levels of risk.
When you save money in a certificate of deposit (CD), your interest rate is determined ahead of time based on the term and amount of deposit, and you're guaranteed to get back what you put in, plus interest earned once the CD matures. Moreover, if you choose a bank CD—including a CD account with an online bank—your money is insured by the Federal Deposit Insurance Corporation (FDIC) up to the maximum allowed by the law.
FDIC insurance can provide extra peace of mind as you seek to use CD accounts to balance the riskier investment portion of your overall portfolio. At Ally Bank, your deposits are insured by the FDIC up to the maximum amount allowed by law. We offer among the most competitive interest rates in the country and we're committed to your privacy and security. If you've decided to save money with a CD online, you've come to the right place.
Explore your options now and see how an Ally Bank CD can help you reach your savings goals. Visit Allybank.com or call live, 24/7 customer care at 877-247-ALLY (2559) today