Posted By |
Message |
monkadoo
Member since 5/05 1427 total posts
Name: Jen
|
Banking Question
if a bank is offering a 5.25% APR for a 8 month cd - is that good?
Also, when do they add the interest? is it 5.25% every month or is it based on the total amount you put in it?
Hope that makes sense.
TIA
|
Posted 8/30/06 4:06 PM |
|
|
Long Island Weddings
Long Island's Largest Bridal Resource |
kaklesmay
Love my baby boy!
Member since 9/05 1151 total posts
Name: Kim
|
Re: Banking Question
Remember- Its 5.25% APR (ANNUAL) so you wont get a full 5.25% on your money because its only 8 months. You'd get a 3.5% return for each $1,000 you would earn $35 over 8 months.
Its better than most savings accounts yield so yeah its good I guess.
I think its added in monthly.
|
Posted 8/30/06 4:16 PM |
|
|
monkadoo
Member since 5/05 1427 total posts
Name: Jen
|
Re: Banking Question
Thank you for the explanation!! That makes sense!
|
Posted 8/30/06 4:21 PM |
|
|
MegZee
My bunny
Member since 5/06 8777 total posts
Name: Meaghan
|
Re: Banking Question
you can find 5% liquid with Capital one online...so its an ok deal, depending if you need the $$ soon.
the above poster is correct...except remember its compounded -
so if you invest $1000, at 5.25%, after the first month you will have made $4.38. So the second month, you start with $1004.38, then get interest on that....
there are savings calculators on bankrate that can help!
|
Posted 8/30/06 4:28 PM |
|
|
JenniferEver
The Disney Lady
Member since 5/05 18163 total posts
Name: Jennifer
|
Re: Banking Question
I think that's pretty good
|
Posted 8/30/06 4:38 PM |
|
|
Sassyz75
Turning a new page
Member since 5/05 9731 total posts
Name: Dina
|
Re: Banking Question
regular ING savings right now is in the mid 4% i know citibank was offering 5% on regular savings in conjunctiion w/ a new checking account all done online.
|
Posted 8/30/06 4:45 PM |
|
|
Smileyd17
kids
Member since 5/05 20997 total posts
Name: Mommy
|
Re: Banking Question
Try this:
http://www.statefarm.com/learning/calc/cdapycalc.asp
Our 6 month is the same rate.
Message edited 8/30/2006 4:52:29 PM.
|
Posted 8/30/06 4:51 PM |
|
|
Potentially Related Topics:
Currently 172154 users on the LIFamilies.com Chat
|