Washington Mutual CD Rates
One really great Washington Mutual on line banking product is WaMu CDs. Washington Mutual offers four types of certificates of deposit: a traditional CD, a liquid CD, an online CD and a retirement CD. This article will review two of these Washington Mutual CDs and the Washington Mutual CD rates being paid on each of these WaMu CDs.
Let’s start by defining what is a certifcate of deposit. The WaMu.com website defines a CD as,
A certificate of deposit or CD is a short- or medium-term, interest bearing investment. CDs normally offer a higher interest rate than liquid savings accounts and they provide a guaranteed rate for a specific term. Individuals who want high rates with a guaranteed return and do not need regular access to their money should consider a CD. Total deposits including CDs are FDIC insured to maximum allowed by law.
Wikipedia defines certificates of deposits as,
A certificate of deposit or CD is a time deposit, a financial product commonly offered to consumers by banks, thrift institutions, and credit unions.
Such CDs are similar to savings accounts in that they are insured and thus virtually risk-free; they are “money in the bank” (CDs are insured by the FDIC for banks or by the NCUA for credit unions). They are different from savings accounts in that the CD has a specific, fixed term (often three months, six months, or one to five years), and, usually, a fixed interest rate. It is intended that the CD be held until maturity, at which time the money may be withdrawn together with the accrued interest.
Washington Mutual Traditional CD:
This WaMu traditional CD is for the investor who wants to buy a high rate certificate of deposit and not even think about withdrawaling early. If you do withdrawal early from the traditional WaMu cd you will have to pay an early withdrawal penalty.
The Washington Mutual CD rates for the Traditional CD are tiered based on the dollar amount you invest in the CD and the term of the certificate of deposit. The longer you make the term, the better the CD rates. Additionally, the high the dollar value of the cd the higher the cd rates. If you buy a WaMu CD with a term of 48 months or greater you will earn an APY of 4.25%. This makes the WaMu CD rates some of the top cd rates.
Washington Mutual Online CD:
The Washington Mutual Online CD is a CD that you can only purchase online through the wamu.com website. This is are great cds. If you are looking for a high rate certificate of deposit but don’t have a lot of money to buy one, The WaMu online CD has a minimum price of just $1,000. These WaMu online CDs have a highest cd rate of 4.00% for cds having a cd term of 48 months or more.
The Washington Mutual online CD is for the wamu account holder who doesn’t mind using the Washington Mutual online banking website. These cds must be purchased through wamu.com. If you prefer to use do your banking at a washington mutual bank location then you should buy the Traditional CD.
I hope that you have found this Washington Mutual CD review to be helpful. Please visit Washington Mutual Online Banking more often to find out about changes in Washington Mutual CD rates. We will make sure that we keep you up to date on these Washington Mutual CD rates.