Access to a portion of your funds every 12 months as your cds mature.
3 year cd ladder.
The rates featured on this page are much higher than the national average rate of 0 29 apy for three year cds.
If you have 3 000 to invest then you might choose to divide the funds equally into three cds with different maturity dates.
The best three year cd rates can give a boost to short term savings.
In this case if you are 3 years into a 5 year cd and a compellingly higher rate is available you can withdraw the funds and open a new 5 year cd with only a 2 month penalty.
A 3 year cd also can be used as part of a cd ladder.
Let s use 30 000 and build a sample 3 year ladder.
The cd ladder illustrated below was calculated using your initial deposit amount and today s rates.
Divide the money evenly and open 3 cds with ascending terms 12 months apart.
Get a certificate of deposit with our highest fixed cd rate for a fixed term.
It s important to remember that rates are subject to change over time.
See our picks.
What are the alternatives to a 3 year cd.
Our various model ladder strategies offer a blend of higher yields typically only available with longer term cds while investing in shorter term cds that will mature sooner.
If you invest 100 000 at 2 4 you ll be earning around 200 a month.
See our current rates and start building a model cd ladder.
Starting a cd ladder is easy.
If you re looking for a savings option a 3 year cd is just one of them.
Sample 3 year cd ladder.
More about these products high yield cds.
How we make money.
Typical lengths offered are 3 6 or 9 months all the way up to 60 months five years and at some online banks you can find 10 year cds.
Minimum dollar amounts you can put into a cd are commonly 500 with bonus rates sometimes available for larger balances such as 10 000 or more or for more established customers members.
Let s say you want to build a three year cd ladder with three rungs.
With a cd ladder you buy cds of varying lengths to mitigate the risks of locking all your money into one long term cd.
Build a cd ladder to grow your savings.
3 model cd ladders.
1 year 2 year and 5 year the above image is for illustrative purposes.
