FAQ Category: 9-month CD
What does APY mean?
APY stands for Annual Percentage Yield. It is a measure of the total amount of interest earned on an account based on the interest rate and the frequency of compounding over a year. APY is a useful metric for comparing the annual earnings on different savings products, such as savings accounts, CDs, and money market accounts, because it standardizes the ...
Continue ReadingAm I notified when my CD is maturing?
You will receive a notice in the mail 30 days before the maturity date of your CD.
Continue ReadingCan I withdraw my money before the 9-month term ends?
Withdrawing money from a 9-month CD before the term ends typically incurs an early withdrawal penalty. At People Driven Credit Union, the Early Withdrawl Penalty is a Loss of 90 days of interest for withdrawing funds early.
Continue ReadingIs my money safe in a 9-month CD?
Yes, your money is safe in a 9-month CD. At People Driven Credit Union, our CDs are insured by the NCUA (National Credit Union Administration) up to $250,000 per depositor.
Continue ReadingWhat’s the difference between dividend/interest rate and APY?
When comparing savings accounts, money market accounts, certificates, and other deposit products, you may see both a dividend rate and an Annual Percentage Yield (APY). These numbers are related, but they are not the same. The dividend rate is the base rate used to calculate your earnings. APY shows how much you could earn over a year when the effect ...
Continue ReadingHow does a 9 month cd work?
A 9-month CD works as follows: Opening the CD: You deposit a lump sum of money into the CD account. The amount often needs to meet the bank or credit union’s minimum deposit requirement. Fixed Term: The money is committed to the CD for a fixed term of nine months. During this period, you cannot add to or withdraw from ...
Continue ReadingWhat is a 9-month CD?
A 9-month CD (Certificate of Deposit) is a type of savings account offered by banks and credit unions. Here are the key characteristics: Fixed Term: It has a maturity period of nine months, during which the deposited money is locked in. Interest Rate: Typically offers a fixed interest rate generally higher than regular savings accounts. Minimum Deposit: Often requires a ...
Continue ReadingWhat is a Certificate of Deposit?
A Certificate of Deposit is a secure and reliable savings tool that offers higher interest rates in exchange for committing your funds for a fixed period. It’s an excellent option for those looking to achieve specific financial goals with minimal risk. Key Features of a Certificate of Deposit (CD): Fixed Term: CDs have a specified term or maturity date, which ...
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