So, you’re on your own, you’re making money, and you’re starting to save a decent amount. Most people stop here. “I’ll put it in my savings account; it’ll get a little interest, and we’ll be good to go.” But, you want to do more than that you want to do everything possible in order to get the best rates and to make the most money from your money. Have you ever looked at 18 month cd rates hoboken nj as an option to do so?
CD’s, or Certificates of Deposit, are restricted accounts that you deposit a certain amount of money in for a specific amount of time. Many banks offer them for as short as 3 months to as long as 60 months (5 years). CD’s require you to keep the money in for that specified amount of time or you face a penalty. Some banks offer what are called “no penalty” short term CD’s, where if you have to, you can remove money from the account early without having to pay a fee; only losing the extra interest you may have gained by keeping it in.
Most banks will just roll over the money into the same type of certificate account after maturity. You have to contact the bank to have them move the money into a different account within a certain amount of time (usually a week) without getting a penalty.
As you take the time to look at your options and to see what’s out there, you will find that there are a lot of benefits to using CD’s as you wish. Take some time to look at what you have available and to see what works best for your situation. In the end, that’s going to be what makes the biggest difference as you try to save money.