Opening a certificate of deposit (CD) account can be a rewarding experience for individuals looking to grow investments in a secure environment. This risk-free bank account offers asset boosts often associated with the stock market, without the threat of financial loss.
The best way to maximize the growth potential of these accounts is to understand availability in CD options, including terms offered. For instance, if you’re looking for a short-term commitment, you might consider opening one of the many 6-month CD accounts on the market.
Basics of 6-Month CD Accounts
Certificates of deposit require consumers to agree to a specific timeframe during which they will save their money. Individuals who open 6-month CD accounts agree to keep their money deposited without withdrawing principal funds over a six-month period.
One of the perks of agreeing to a 6-month CD is only being required to part with your money for a few months. This option is good if you want to benefit from higher-than-average interest rates, but value gaining access to you money within a year.
Keep in mind that 6-month CDs typically offer lower interest rates than longer-term CDs (i.e. 12 months or 24 months), though some banks and credit unions provide special rates that result in short-term CDs offering higher APYs than long-term CDs.
GOBankingRates works hard to compile the best 6-month CD accounts in the country. By exploring our CD rate table, you could locate amazing short-term CDs with the best APYs on the market.