If that title gets you excited, you’ll be happy to know that more and more banks are offering 5% interest yield (or higher) on certificates of deposit (CD). CDs are a little less liquid than a straight savings account, which means there may be a penalty if you withdraw your money before that 12 month period is complete. But one year is not long to wait, and even if the penalty is 50% of the interest accrued, you’re still coming out farther ahead than you would have if your money remained in a typical savings account.
So here are a few recent deals that I found on bankrate.com:
* M&T Bank: 5.06% APY, $5,000 minimum.
* Mutual Bank: 5.05% APY, $1,000 minimum.
* Umbrella Bank, 5.05% APY, $1,000 minimum.
* GMAC Bank, 5.00% APY, $500 minumim.
* KeyDirect, 5.00% APY, $5,000 minimum.
* Corus Bank, 5.00% APY, $10,000 minimum.