Each week,
Bankrate.com surveys bankers, brokers and others to gauge the direction of
certificate of deposit (CD) interest rates over the short (one year or less) and
long (more than one year) term. Will rates rise, fall or remain relatively
unchanged?
This week (Aug. 25 - Aug. 31) the experts say: When
rates are this low, it's tough to advise people to lock in a rate. Check
Bankrate's "100 highest yields"
page for the best CD rates across the country.
PANEL: (short term)
Up: 57%
Down:
14%
Unchanged:
29%
PANEL: (long term)
Up: 57%
Down:
14%
Unchanged:
29%
Stay with short-term CDs so you're
not locking in your money for longer than six months at these low
rates.
"Although the pace is slow, rates are slowly
but steadily inching higher. Shorter-term rates should move ahead
of longer-term rates, but I think the trend will most likely continue
for now." -- Jason P. Flurry, CFP, LPL Financial,
Planmark Capital Management, LLC, Alpharetta, Ga. Short-term:Up Long-term:
Up
"CD yields will inch higher as long as expectations
of a September rate hike continue to hold." -- Greg McBride, CFA, senior financial analyst,
Bankrate.com Short-term:Up Long-term:
Up
"CD rates should continue the predominantly
upward trend. It's a slow process; last week three of the six maturities
that Bankrate.com tracks remained unchanged while the other three
drifted up or down only a basis point or two. Expect more of the same
in the week ahead." -- Laura Bruce, savings writer, Bankrate.com Short-term:Up Long-term:
Up
................................
About the Bankrate.com Rate Trend Index
Bankrate.com surveys more than 100 experts in the banking and mortgage fields to see if they believe certificate of deposit and mortgage rates will rise, fall or remain relatively unchanged. For the deposit index, the panel is comprised of banks, thrifts and credit unions that directly offer FDIC-insured certificates of deposit to the end consumer. For the mortgage index, the panel is comprised of mortgage bankers, mortgage brokers and other industry experts who are actively engaged in providing residential first mortgages to the end consumer. Results from the Bankrate.com CD Rate Trend Index will be released each Wednesday. Results from the Bankrate.com Mortgage Rate Trend Index will be released each Thursday.
