Two of the advantages of a certificate of deposit (CD) are its predictability and its reliability. When you put money into a CD, you generally know what you will get back at the end of its term (provided you don't withdraw the balance early).But to fully understand what happens to your money, you need to know how a certificate of deposit's interest rate works. And because different CDs may have different rates, the calculation can move beyond simple mathematics. Additionally, differences in how often interest is compounded can lead to different annual percentage yields (APY).
It may sound complicated, but it can be easy to sort out with the Ally Bank CD interest calculator. Simply select the amount you want to deposit, select your term, and the calculator will instantly show you exactly how your interest will accumulate. You can even print out the report, which includes a chart, for your records.
Ally Bank offers a variety of different types of CDs, including:
- High Yield CD: A CD with our highest fixed CD rate for a fixed term—anywhere from three months to five years.
- No Penalty CDs: The Ally Bank 11-month No Penalty CD allows you to withdraw all your money, including interest earned, without any penalty, any time after the first six days following the date you fund your account.
- Raise Your Rate CDs:With our Raise Your Rate CDs, you have the option of a one-time rate increase if our Ally 2-Year CD rate goes up; you have the option to increase your rate twice (two times) if our Ally 4-Year CD rate goes up.
All Ally Bank CDs have rates that are among the most competitive in the country and your deposits are insured by the FDIC up to the maximum amount allowed by law. There is no minimum to open and fund your account, and with an Ally Bank CD, you get the Ally Bank Ten Day Best Rate Guarantee at opening and renewal. Plus, your interest is compounded daily, to help your money grow faster. Learn more by visiting Ally.com or call live, 24/7 customer care at 877-247-ALLY (2559) today.