economy
This bank just lifted its CD yield. Here's where you can nab 4%
The getting is still good for savers who want to generate solid interest income on their idle cash.
TL;DR
- Inflation remains high, impacting consumer prices and discouraging Federal Reserve rate cuts.
- Gasoline prices have significantly increased compared to the previous year.
- The likelihood of a Federal Reserve rate hike by December is increasing.
- Banks are offering competitive yields on CDs and other cash instruments to attract savers.
- Bread Financial, Popular Direct, and LendingClub are among the banks offering yields of 4% or more on CDs.
- While attractive for short-term cash, these CD yields may not keep pace with inflation in the long run.
- Banks may adjust deposit rates upon CD maturity or based on loan growth prospects.