Ally Bank “Raise Your Rate” Certificate of Deposit

Ally Bank, which used to be GMAC bank, is offering a certificate of deposit that allows you to raise the interest rate if certificate of deposit rates go higher after you open an account.

The “Raise Your Rate CD” is available for Ally Bank’s 2 year certificate of deposit. You can raise the rate on the CD anytime after opening the account. You only have one opportunity to increase the CD rate during the entire certificate of deposit term.

The CD rate isn’t the highest two year CD rate around but it still has a good rate and yield.  The current 24 month Raise Your Rate CD  is 2.02% with an annual percentage yield of 2.04%. There is no minimum balance requirement to open a Raise Your Rate CD.

Interest earned on the certificate of deposit is compounded daily which gives you a higher annual percentage yield than a certificate of deposit account that has interest compounded monthly or quarterly. CD accounts are insured by the FDIC for up to $250,000.

For more information on the Raise Your Rate CD visit Ally Bank at Ally.com