Bank Rate TablesCD RatesMortgage Rates Savings Account Rates Weekly Bank RatesMortgage RatesCD Rates Money Market/Savings Rates Checking Account Rates Banking & Finance InformationCertificate of Deposit (CD) Tips for InvestorsCertificate of Deposit Accounts FDIC Insured Up To $50 Million Choosing A Credit Card Estimate Your Social Security Benefits FDIC Find a Credit Union in Your Area Homes For Sale by the U.S. Government Is Your Deposit FDIC Insured? Your Credit Reporting Rights Banking ArticlesCD Rates: 3 Month CD Rates Jump HigherCD Rates - February 1, 2010Bank CD Rates - January 25, 2010CD Rates: Top 10 One Year CD RatesCurrent Bank CD RatesTop 36 Month CD RatesFed Proposes Certificates of Deposit for BanksThe Direction of CD Rates and Mortgage Rates in 2010 Will Be HigherBest 3 Month CD Rates“Unbanked” and “Underbanked” U.S. HouseholdsHome Prices up 0.9% in Q3CD Rates Lower This WeekOne Year Certificate of Deposit RatesAverage Bank CD Rates Down Again This WeekAverage CD Rates - November 16, 2009Best 18 Month CD RatesDiscover Bank $25 Certificate of Deposit Account BonusHome Buyer Tax Credit Extended and Expanded by The SenateMortgage Refinancing: 3rd Quarter Refinancing Saves Borrowers $3 BillionHighest Two Year CD RatesNew Home Sales Decline as Tax Credit End Date NearsAverage Bank CD Rates |
Find Certificate of Deposit - CD Rates in Your Area
Many of Monitor Bank Rates readers are asking the question “why are rates so low and when will rates start going up again?” Rates are so low these days because the economy is in a recession, as a result the Federal Reserve Bank has lowered the Federal Funds Rate ( the interest rate which banks lend their funds deposited at the Federal Reserve to other banks usually overnight) to historic lows. The current Fed Funds rate is targeted between 0% and .25%. Also contributing to low deposit rates on certificate of deposits and savings accounts is the Troubled Asset Relief Program (TARP). Banks are funding their reserves by participating in TARP so they have less of a need to lure depositors with those special promotional CD rates we saw as recently as the 4th quarter of last yet. Granted there are still promotional CD accounts available with rates higher then the average but the rates are no where near the rates we saw last year. To answer the second question “when will CD rates start going up again” that will depend on when the economy turns around. Rates will eventually start going up again and they might go up faster then they have come down. The reasons being there is so much money being pumped into the economy now in various forms including.
Last but not least all this pent up demand for housing and consumer goods will fuel inflation when people start feeling more comfortable or able to make purchases again. The Feds at some point will feel the economy is on strong footing and will start raising interest rates to limit the risk of inflation. As a result, deposit account rates, including CD rates will start going up. |
Bank Review ArchivesBank Reviews & DealsBest CD Rates Online Savings Accounts Online Checking Accounts Best Credit Cards Personal Finance Mortgages Insurance Auto Loans Certificate of Deposit CalculatorsCD Ladder CalculatorCertificate of Deposit Calculator Mortgage CalculatorsMortgage CalculatorDebt CalculatorsDebt Consolidation CalculatorCredit Card Payoff Calculator |