Invest in a CD to Grow Solid Earnings with Low Risk

Investing in a CD (certificate of deposit) is a smart, low-risk investment. If you want to grow money you’re not planning to use anytime soon, then a CD is a great choice. CDs earn more than savings accounts and you can decide how long you want to invest -- usually from 6 to 60 months.

A CD is a fixed amount, usually $1,000 or more that you invest for a fixed period of time. And the higher rate of return makes CDs a popular and safe investment option.

Deciding whether a CD investment is your best option, first consider your investment timeframe. Can you afford to tie up the money? Do you have other funds in case of an emergency? If you decide you don’t need the money for at least six months, then a CD is probably a wise choice.

Interest rates are something you should think about as well. Is it fixed or a variable interest rate?  How often will you be paid interest on your CD?  There are penalties for early withdrawal before the CD matures, so be sure to ask what the penalty rate is.

Be sure to check for automatic renewal. With First Basin we have automatic renewal – helps keep the interest flowing!

CDs can be a smart choice if you need a short-term investment that offers very low risk. First Basin has CDs and IRAs that make saving and investing easy. With terms ranging from 6 to 60 months, First Basin can help your money work smarter so you can plan for what’s ahead in the next five or ten years with the confidence of reaching your goals.