High Interest Cd Accounts

I'm looking to start saving money, but instead of having to generate a moderate interest in an ordinary bank, I was wondering how exactly a CD account or a high interest account (like ING or some other equivalent) really works? how much you really earn money with it?

I do not know the terms of bank or something like that, so if someone could explain it simply?? Thank you =)

There are many online banks like ING, Emigrant Direct, etc. that offer 5.00% and higher. This is a good idea .. The draw back is only that funds are not available immediately. It usually takes a few days to transfer money into your bank account.

The CDs are a good idea if you want to put money somewhere that getting a good interest rate and do not touch. Forget it's there! Most banks have a minimum of $ 500 or $ 1,000 to open a CD. Just check the websites for some local banks to see what kind of interest they pay on CDs. Conditions may vary from 30 days to 5 years and beyond. It is worthwhile to shop around because many banks have a special way and provide a high rate to generate more business. At the end of the term you can choose to ride on a new mandate or withdraw, etc. You should be able to withdraw interest at any time without penalty.

All banks will impose a penalty for early withdraw. At the bank, I work for the interest penalty is 1 month on CD 1 year or less .. And only 3 months on interstitial anything more than 1 year.

Just check out some online banks and find a good rhythm. You can go to the bank and ask someone in customer service to explain it to you without committing to anything. Good luck!

Liz answer is there. You can also search for a CD "transactional". It's like a CD and savings account at a time. You open the CD, then at least make a deposit into a CD each month. As a regular CD, you can not remove the CD before it's term is over, but it is a great way to save money and make a good interest!