Best CDs with Compound Interest
When it comes to saving money, Certificates of Deposit (CDs) with compound interest are a great option for those looking to grow their savings over time. Compound interest allows your money to grow faster by earning interest on both the principal and the interest that has already been earned. In this article, we’ll take a look at some of the best CDs with compound interest to help you make an informed decision on where to invest your money.
1. Discover Bank
Discover Bank is known for offering competitive CD rates with a variety of term options. They also have a feature called Rate Bump, which allows you to increase your rate once during the term of your CD if Discover’s rates go up. With Discover Bank CDs, you can start earning compound interest with as little as $2,500.
- Minimum deposit: $2,500
- Term options: 3 months to 10 years
2. Ally Bank
Ally Bank is another top contender for the best CDs with compound interest. They offer a variety of CD terms and have no minimum deposit requirements. Ally Bank also has a feature called “Raise Your Rate CD,” which allows you to increase your rate once if Ally’s rates go up.
- Minimum deposit: None
- Term options: 3 months to 5 years
3. Marcus by Goldman Sachs
Marcus by Goldman Sachs is known for its competitive CD rates and no-penalty CDs. They offer CD terms ranging from 6 months to 6 years, giving you flexibility in choosing the right investment for your financial goals. With Marcus by Goldman Sachs, you can start earning compound interest with as little as $500.
- Minimum deposit: $500
- Term options: 6 months to 6 years
4. Capital One
Capital One offers a range of CD terms with competitive rates and no minimum deposit requirements. They also have a variety of CD options, including bump-up CDs and jumbo CDs. With Capital One CDs, you can start earning compound interest with as little as $0.
- Minimum deposit: None
- Term options: 6 months to 5 years
5. Barclays
Barclays is a well-known online bank that offers competitive CD rates with a variety of term options. They also have a feature called CD Renewal, which allows you to automatically renew your CD once it matures at the current rate. With Barclays CDs, you can start earning compound interest with as little as $0.
- Minimum deposit: None
- Term options: 3 months to 5 years
When choosing the best CDs with compound interest, be sure to consider the minimum deposit requirements, term options, and any additional features that may benefit your financial goals. Compare the options available and choose the CD that best fits your needs to start growing your savings with compound interest.