What do you think about 100K at 5% cd today?

Question

What do you think about 100K at 5% cd today?

Answer 1

Its a joke. The value of the dollar drops allot faster than 5% a year leaving you a net lose under any profit 5% will give you on a CD. There are better markets such as lower rated Brady Bonds which pay almost double digit interest which have no risk within the next year to default. Go invest $100K in a Brady type of bond from Brazil or another country which in most cases are stronger than Freddie Macs or Fannie Fan bonds issued by the US Government Agencies.

Answer 2

Depends on when you need the money.  I think inflation is above 4%, so you would make some money, but I think the only way to beat inflation is the stock market.

Lots of stocks have been beaten down you may want to do some value hunting with at least 1/2 of it.

Answer 3

Depends on what you plan on using the money for.

If you're saving for a house, or some other major purchase, then the CD is fine.

If you're investing for the long term, go with stocks.

Down = on sale.

Answer 4

As long as they're FDIC insured (and the instrument is covered)...................... verify with the FDIC website.

Answer 5

Are there such banks that give you 5%? The highest I ever heard of from a bank is 4% these days.

Thats a really good deal. I would take it if I were you. That is 5,000 $ profit annually.

Could you tell me the place?