There are many ways to save, and certificates of deposit (CDs) offer a stable haven for your finances, especially with rising interest rates. In New Hampshire, we’ve done the research, partnering with Curinos to sift through over 20,000 data points from numerous financial institutions. Our focus? To spotlight the CD options with the most attractive annual percentage yields (APYs) for you. While our review isn’t exhaustive, it’s anchored in rigor and precision, ensuring each CD we feature is not only high-yielding but also backed by the assurance of Federal Deposit Insurance Corp. (FDIC) or National Credit Union Administration (NCUA) accreditations.
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Beyond New Hampshire’s borders, our search for the best CD rates doesn’t end. We’ve extended our research to banks across the country, identifying institutions that excel in offering the best CD rates. These top choices boast enticing interest rates coupled with low initial deposit requirements, making them accessible and appealing, no matter where you are.
Best CD rates in New Hampshire by term
Exploring New Hampshire’s CD rates, we’ve leveraged Curinos data to pinpoint the top choices for 6-month, 1-year, and 5-year terms. Each entry in our table includes specific notes, such as eligibility criteria or other relevant details, to guide your decision. In some cases, these fields might be blank, so you’ll need to speak directly with the financial institution for the latest, most accurate information.
Best 6-month CD rates in New Hampshire
Gain a competitive APY with a 6-month CD in New Hampshire, ideal for those seeking shorter-term investments. Keep in mind that extending the duration often leads to higher APYs.
Best 1-year CD rates in New Hampshire
Opting for a 1-year CD strikes a balance between earning a higher APY and keeping your funds relatively accessible. These CDs can be a smart choice for medium-term savings goals.
Best 5-year CD rates in New Hampshire
For those planning for the long haul, a 5-year CD could be your ticket to higher returns. These CDs typically offer better rates compared to their shorter-term counterparts, ideal for more distant financial goals.
What is a certificate of deposit?
A CD is a savings tool where you invest money for a fixed period, receiving a guaranteed interest rate. It’s a safe choice, especially if insured by FDIC or NCUA. However, withdrawing money before the term ends usually incurs a penalty, often costing several months’ worth of interest.
What does APY mean on a CD?
APY represents the interest you earn in a year, factoring in compound interest. For example, if you invest $1,000 in a CD with a 5% APY for one year, you’ll earn $50 in interest by year’s end.
What are the most common types of CDs?
CDs come in various forms, each tailored to different financial needs and preferences. Here’s a glimpse into some of the most prevalent types:
- Traditional CDs: Lock in your money for a set period; in return, you receive regular interest payments.
- Brokered CDs: These are sold by financial institutions to brokerages, who then offer them to customers, often with more attractive APYs.
- No-penalty CDs: These allow you to withdraw your funds without a penalty but usually offer slightly lower interest rates compared to traditional CDs.
How to choose the best CD in New Hampshire
There are over 40 FDIC-regulated banks in New Hampshire and more than a dozen NCUA-regulated credit unions. Here’s how to determine the right one for your situation:
- Term length: When it comes to CDs, the term length indicates the time it takes for them to reach maturity. These lengths can range from as little as one week to as long as 10 years. Make sure to choose a term length that fits your needs and aligns with your financial objectives.
- APY: The APY of your account has a significant impact on the growth of your money. A higher rate means a greater amount of interest earned.
- Minimum deposit: Opening a CD at a bank or credit union typically requires an initial investment, although the amount can vary from just a few dollars to thousands. While some CDs allow for additional deposits, most require a lump sum and do not permit any further contributions. It’s important to ensure that you have enough funds to meet the minimum opening deposit requirement before investing in a CD.
- Penalties: While not all CDs impose withdrawal penalties for taking out your funds early if yours does, you could potentially lose both earned interest and part of your initial investment. It may be difficult to anticipate the need for an early withdrawal but it would be beneficial to understand the consequences beforehand.
- Deposit insurance: FDIC and NCUA insurance ensures that depositors are covered if their bank or credit union goes bankrupt, providing up to $250,000 in insurance coverage per depositor or share owner. It’s important to verify that your account is insured in case of a financial institution failure, so you can protect your money.
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