CD Rates are Low

Now that CD rates are low there has been a lot of talk as to why. most people don’t realize that the banks have other sources of getting money other than them signing up for a new account. this comes in the form of borrowing from the government. The federal reserve has interest rates which are controlled based on the current economy.

It is also what causes inflation and other types of things that we generally don’t like. But things have changed with a down economy. This means that the feds hold off on upping he rates and instead let banks cash in on that fact to borrown money to invest.

So that is why bank cd rates are so low. The question is what can you do about it? The best CD rates will be with smaller banks, but the best thing to do is to look for other places to put your money. Gold is about the best place to invest in and has proved to be very solid when the economy was bad in the past. If you have any questions for us feel free to ask them and we will do our best to explain.