CDs are well known for characteristics such as being risk free, high yield and short term. People who turn to jumbo CD are looking for higher returns and usually the amount invested is at least $ 100,000. Standard CD are not as risky as jumbo CD because they are insured by the FDIC where the return of the principal is promised. This CD on the other hand does not have the same insured advantages like the standard CD because it exceeds $ 100,000 and has a harsher penalty for early withdrawal before the maturity date. Even so, it still has many benefits.

The benefits of this CD are:

• This is the easiest way to earn viable interest and obtain higher CD rates from your investments.
• The benefits from the standard CD still remains.
• Less duration of time is required to earn the same amount of interest compared to the regular CD.
• The minimal balance that is required is comparably lower to other higher risk investments.
• Better investments compared to regular banks or savings account.
• The CD are negotiable where banks would be more than willing to follow your terms because you are an asset to them.

Therefore, for those that has invested in CD no matter whether it is the standard CD or the jumbo CD, you just have to remember that by being patient, you will reap its rewards when the maturity date arrives that ranges from 3 months to 6 years.

Next Step: Find the latest Jumbo CD Rates that would help you to earn more money.