What Is a Good Rate on a CD?

Video Transcript

"This is financial adviser Patrick Munro talking about what is a good rate on a CD. A CD or a certificate of deposit from a bank pays based on US Treasury bills and their interest rates as well. A good CD rate is a rate that is higher than the treasury bill rates and you need to be consciously diligent in looking at the different areas of certificate of deposit and the best way to do that is by looking at the website called bankrate.com. Bankrate.com will give you the best CD rates available anywhere in the United States. You can then use that specific bank if you are comfortable with sending your money away out of state to get that rate or you can take the rate that you get on bankrate.com to your local branch where you bank and ask them to match it. If they will you are fortunate you have a good relationship with your bank. Or if you're satisfied for the sake of familiarity with staying with your local bank for just a little percentage point less then you know you've got almost the best rate out there. This is the best way to find out what the best rates are for CDs. This is financial adviser Patrick Munro."