Maximizing Financial Earnings through Certificates of Deposits at Ally Bank

People today know the importance of maximizing their earnings especially now that the economy is experiencing downsides. Aside from earning more, a smart move would be to increase your savings through investments such as certificates of deposits. This is the most convenient means for people or individuals to save their own money especially when they will choose the longer terms. The longer the time of the deposit, the higher the interest will be, making your savings increase through time. Now the question is, where can avail of the right CD with good rates?

Almost all financial companies offer certificate of deposit accounts but the company that offers some of the best rates is Ally Bank. Ally Bank has been a reliable banking partner to many especially with their competitive CD rates. But what makes their certificate of deposits or CDs different?

One thing about their CDs is that when individuals fund their account within ten days which includes the opening date, they will get the biggest or largest rates during the chosen term. They call this the Ally Ten Day Best Rate Guarantee. No other bank or financial institution offer this kind of service. Another reason why they have the best is that they have the compounding interest daily which will make the savings grow faster. And lastly, they don’t have a minimum deposit for one to open an account. This will then make it very easy for interested individuals to have a CD account.

For their fixed CD rate, there will be no monthly fees or maintenance fees. Account holders will be able to check their account anytime because of Ally Bank’s mobile banking service. All accounts are also FDIC insured which will definitely make the account owners feel safe and secured. In terms of their current rates, the latest which was last updated on July 17, 2012 are the following. Those who will choose the 3 months term will have an interest rate and an APY of 0.34%. For the six months term, the APY and interest rate is 0.74%. While for the 12 month term, the APY is 1.02% with an interest rate of 1.01%. And the last is the three years term which has an interest rate of 1.29% with an APY of 1.30%.

Ally Bank CD Rates Review

Ally Bank is one of the most popular banks in the country. It is also well known for its various promotional certificates of deposit such as as the Raise your Rates CD, and the No Penalty CD. But how exactly does Ally Bank fare when it comes to comparing its CD rates to other institutions in the country? Here is a comprehensive CD rates review of Ally Bank.

3 month CD

Ally Bank’s 3 month CD is currently offering an APY of 0.43%. Although a higher rate can be obtained with OneWest Bank at 0.60%, Ally’s rates are surely competitive, coming at a close fourth among the highest.

6 month CD

Ally Bank is giving away their 6 month CD at a rate of 0.84% APY. The top contender for the 6 month CD is currently at 1.00% APY. Again, Ally Bank is among the highest in this CD category.

1 year CD

Ally’s 1 year CD is currently at a 1.09% rate, which is fairly near to Doral Bank’s 1.15% leading rate. Ally Bank is also far more credible than Doral Bank when it comes to years of experience.

3 year CD

Again, Doral Bank tops the charts with a high 1.60% APY on a 3 year CD. This rate still isn’t that far from what Ally Bank is offering at 1.53%. This rate is also much higher than the national average of only 0.72% APY.

5 year CD

First Internet Bank of Indiana is holding the highest rate at 2.20%. This is followed by Discover Bank, Bank of Internet USA, and Aurora Bank. Ally Bank comes fifth at a rate of 2.03%, which is still considerably high as compared to the national average of 1.22%.

Ally Bank is also offering a 2 year and 4 year CD but in their Raise the Rate category where consumers will be allowed to increase their locked in interest rate. Given these figures, it can be seen that although Ally Bank does not offer the highest CD rates in the country, their rates remain consistently among the highest offered by the nation. Ally Bank has been in service for over 90 years, making it one of the most stable banks in the country. It also offers online banking services, making it easy for anyone across America to sign up.