Ally Bank CD Rates
Ally Bank offer several type of CD’s for those who are looking to invest. They have certificate of deposits for people wanting to get their money back quickly, and long term for those looking at tax cuts and so forth in the future.
The first type of CD is the “Ally raise your rate CD” and was introduced back in 2009 and was above 2% is now at 1.99% as of April 25th. What this deposit allows you to do is to put your money into a 2 year term on a CD. As with any other long term CD you will be penalized for any early withdrawal. However, you will have an option one time within that 2 year period to raise your rate from what you originally started off at. The great advantage to this investment compared with other long term ones is that you have more control over how much you earn over that long period rather than being stuck to a rate only to find out it has gone up by 1% or 2% in the coming year.
If you aren’t sure that you will want your money locked away for a period of time, or think that some unforeseen occurrence might befall you which you might need money for, you may want to go with the “No Penalty Certificate Of Deposit”. This CD allows you to withdraw your money without receiving a penalty on an 11 month term CD, and is great for those that want to invest for a very short time. Currently the rate on this CD is 1.38% APY.
The third option for investors is the high yield CD starting at 1.49% APY for a 12 month term. There are no monthly fees, and this is a fixed rate, however should you decide you want to withdraw money from the account there would be a penalty.
All these Ally bank CD’s mentioned are covered by the FDIC up to $250,000. If you have any comments or questions about this account feel free to share your comments.
