Certificates of Deposit, or CDs, are a low-risk way to save and grow your money. Certificates of Deposit have fixed rates and fixed term lengths. Term lengths are usually a few months to a few years long. The longer the term length, the better the bank CD rates. If you don't need immediate access to your funds, CDs can provide a higher rate of return than you’d get from a savings account (check current CD rates here). However, CD deposits require a specific time commitment to earn the stated CD interest rate, or Annual Percentage Yield (APY)*. As a result, there are substantial penalties for early withdrawal – so be sure that you won’t need to access the funds for the full length of the term.
In addition to guaranteed positive CD yields, you can enjoy peace of mind of knowing that your funds are insured by the Federal Deposit Insurance Corporation (FDIC).
If you want higher returns, but don’t want to lock up your money in a long-term CD, you should consider CD laddering. With CD laddering, you separate your investment money into a few CDs that mature at different times - one year, two years, and three years, for example. When the short-term CD reaches maturity, you can take the cash if you need it - or reinvest it into another short- or long-term CD. This way, you’ll enjoy guaranteed returns along with some periodic liquidity.
CD rates in Chicago are competitive, and Liberty Bank can offer you some of the best CD rates in Illinois. That’s because we’re structured as a mutual bank, so we’re owned by the community. Without stockholders to please, we direct all of our profits back to customers in the form of lower mortgage rates, fewer bank fees, and higher savings yields - including higher CD yields.
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We can help you find a CD to fit with your savings goals.
- A 6-month CD rate that compounds daily and pays interest at term. With our shortest term length, a 6-month CD is a good choice if you’ll need access to your funds in less than a year.
- A 1-year CD rate that compounds daily and pays interest quarterly. A 1-year CD rate is typically a bit better than a 6-month CD rate, with a term length that’s still short enough for many savings goals.
- 1.5-year, 2-year, 3-year, and 4-year CD rates that compound daily and pay interest quarterly. For long-term goals, investing in longer-term CDs will yield better rates.
- A 5-year CD rate that compounds daily and pays interest quarterly. Choose a 5-year CD if you are sure you won’t need the funds before maturation - you’ll usually get the best rate available.
- At Liberty Bank, we also offer special CD rates which offer very competitive CD interest rates. See which CD special we have available today.
Contact us to see if one of our CDs would be a good fit for your financial situation and goals!
|Account||Min. to open||Min. to Earn Interest||Interest Payment Frequency||Compounding Frequency|
|6 Month CD||$5000||$5000||At Term||Daily|
|1 Year CD||$5000||$5000||Quarterly||Daily|
|1 1/2 Year CD||$5000||$5000||Quarterly||Daily|
|2 Year CD||$5000||$5000||Quarterly||Daily|
|3 Year CD||$5000||$5000||Quarterly||Daily|
|4 Year CD||$5000||$5000||Quarterly||Daily|
|5 Year CD||$5000||$5000||Quarterly||Daily|