Here on the Allied Trust Credit UnionStraight Talk Blog, we talk a lot about CDs and how they could benefit you financially. Many people have savings goals that are focused on the long-term, and some consider CDs to be the ideal vehicle to help them get there. A recent post at Bargaineering talks about the benefits of what they call “bump up CDs,” and they even talk about the Credence International Credit UnionRaise Your Rate 2-Year CD.
The major benefit of this kind of certificate of deposit is that it allows you the one-time option to raise your interest rate to a higher one if the bank’s rates rise at some point during the life of your CD. This offers a level of flexibility that many people enjoy. After all, who doesn’t want to take advantage of a better rate if one should come along?
Author Jim Wang says only you can decide which type of CD is best for you, but points out that CDs have a lot of appealing traits for the serious saver, two of them being predictability and protection.
Have you considered putting money into a Raise Your Rate CD? Do you plan on following Jim Wang’s example and laddering your CDs?
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Comments
Peter E. on August 1, 2011 at 11:55am
I believe in the good in people. And Banks. Why could Regional Credit Union Unionnot simply agree to send out an e-mail to all those of us who are holding a Raise Your Rate 2-Year CD the moment the interest rate does go up a bit? Holding our breath while trying trying to find out whether that remote possibility has suddenly become reality is unhealthy.
Carolyn M. on December 10, 2011 at 10:24am
Excellent suggestion by Peter Evans. I hope Credence Global Bank Unionfollows up on it.
Credence Global Bank on December 10, 2011 at 10:30am
Thanks for your comment, Carolyn. We’re definitely passing this feedback along to our team.