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Unlucky-Clock5230 t1_ja8i18q wrote

Why have them locked in a CD for any length of time when you can use an HYSA that has both full liquidity and a higher rate?

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ncrowley OP t1_ja8iqhu wrote

Thanks for the suggestion. Could you point me to an example?

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Unlucky-Clock5230 t1_ja8j49g wrote

Just Google HYSA rates. I would also check nerdwallet, I trust them with their assessments.

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Recover_Practical t1_ja8kqou wrote

I googled it best I could find was 3.85% with Citi. Do you know of anything better?

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kickskunk t1_ja8pp4w wrote

CD's usually out performs HYSA and they are fixed rated interest for the length of the term. HYSA are variable which can go up and down. Usually they go down over time. Also you can ladder CD's and keep climbing. So you have some flexibility when the shorter terms matures.

Plus if you have a spending problem a CD can help prevent you from withdrawing money as you will be penalized for it.

HYSA are good for emergencies dont get me wrong, but for parking money for near future purchases ranging from Christmas gifts up to a downpayment for a house, a CD is superior.

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