The Safety Of Certificates of Deposit

Encino Financial Group offers predictable investments through Certificates of Deposit (CDs), an incredibly safe investment method backed by FDIC protection. Through predicable & reliable interest rates over a fixed period, CDs allow you to accumulate interest simply by maintaining a deposit within set limits.

We’ll guide your CD investments for solid returns.

How CDs Work

Opening a CD account is similar to opening a savings account in that there may be a minimum initial deposit you’re required to make. You’ll also have to choose a CD term, which is the length of time you agree to keep your money tied up in the CD.

The Annual Percentage Yield (APY) is a rate reflecting your annual earnings, inclusive of compounding interest. Your APY depends on how long your deposit remains in the bank.

Beware that premature withdrawals incur penalties, potentially wiping out interest earnings and even impacting your initial deposit.

Once a CD matures, you’re free to withdraw the money you saved, along with interest earned. However, it’s important to note that many banks automatically roll your savings into a new CD at the end of the term if you don’t specify that you want to make a withdrawal.

What Is a Brokered CD?

Brokered CDs, operated by deposit brokers, can often yield higher returns than traditional banking institutions. These brokers collaborate with financially stable banks seeking to increase deposits or broaden their client base.

Leveraging the volume of deposits, brokers can facilitate higher rates while saving banks overhead costs tied to customer expansion.

Wall Street Journal – “Brokers are also offering FDIC Insured CDs with yields that exceed the average yield on CDs purchased directly from banks.”

“Brokerage firms can offer higher yields, because they negotiate directly with the financial institutions who’s CDs they sell, often agreeing to take in millions of dollars in certificates.”

Why Should You Invest in CDs?

Journeying the investment market can be intimidating. Consider investing in FDIC-insured CDs, a safe choice with a fixed interest rate.

Enjoy the flexibility of choosing your maturity date and benefit from low or no fees. Our financial experts are here to guide you to the best decision for your financial growth.

Get Started

Contact Encino Financial Group for secure, high-yield investments like CDs and annuities. With our commitment to your best interests and our secure financial approach let’s discuss a prosperous future today. Schedule a consultation now.