AboutJohn D Smith, CFP Expertise I can answer detailed questions regarding mutual fund investing, retirement planning, education planning and related financial planning/investment issues. I have a B.S. degree in Financial Planning & Counseling. I am also a Certified Financial Planner (CFP) and have performed fee only investment management and financial planning services for the past 11 years.
Question Are there other choices besides banks that may be better to obtain CD's? Or are there other short term options to deposit money than CDs?
I want to gather interest for money set aside for temporary setbacks. This is money for 6 months of paying bills.
Thanks in advance.
Answer There are broker sold CD's at institutions such as Schwab, Fidelity, etc, however, their rates are typically not as good as bank direct CD's. Another option is a bank money market account which does not impose the same penalties as CD's for taking money out early, since money market accounts do not have a specified term. I hope this helps.
