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6 Month Online CD Rates 2017

Six month Certificates of Deposit (CD) rates from online banks are often above average if you are willing to open and manage your account using the Internet. Most online banks offer an online application and money can be transferred to fund the CD via an electronic transfer, check, wire, or credit card. To view rates for other CD terms, click the tabs below.

March 23, 2017

6 Month CD National Average: 0.26% ?

PRODUCT INFORMATION

6 Month Certificates of Deposit from Online Banks 2017

Online banks generally provide better rates on six month certificates of deposit in return for the depositor opening the CD online and interacting with the bank online or via phone. There is no branch which the depositor can visit to ask questions, roll over the CD, or open the account.

Other than the way a CD from an online bank is opened and serviced, the rest of the characteristics are the same as a branch-opened CD.

The advantages of online bank six month CDs are:

  • Funds deposited in FDIC banks and within insurance limits are protected by the full faith and credit of the United States government.
  • CDs provide a predictable, set rate of return.
  • The CD can be opened from the comfort of your house.

The disadvantages of online bank six month CDs are:

  • Six month CDs currently pay interest rates significantly below many online and branch-based savings and money market accounts.
  • The deposited money is committed for six months.
  • The account must be opened online and all inquiries must be conducted online or via the phone.
  • Depending on the bank, the opening and funding process can take several days to weeks although the bank generally locks the rate once the application has been received and approved.

When interest rates are falling, it is often preferable to lock in high rates for an extended period of time with a longer-term CD. When interest rates are rising, depositors should avoid committing their money for long periods of time. To see interest rate trends, visit the BestCashCow rate analysis page.

All banks listed on BestCashCow are FDIC insured; BestCashCow.com strongly recommends that you stay within FDIC insurance limits and that if you are unsure of how the limits affect you, you visit the FDIC website.

To understand all of the income generating options available to a saver, please view the Income Generating Investments Comparison Chart.

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  • Halsey

    August 05, 2013

    Why do you think savings rates can't drop further? Of course they can drop more. People thought I was crazy to invest in a 5 year CD back in 2008 but I received over 5% for the past 5 years. I agree 6 month CDs are not a good investment now but your logic seems faulty to me as to the reasons.

  • Richard Robbins

    August 04, 2013

    I just cannot understand what would motivate anyone to lock into a six month CD when the rates are lower than savings rates and savings rates cannot drop any further?

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