Wells Fargo CD Rates
Wells Fargo CD Rates are currently at near the national average. Their current bank CD rate for a 9 month CD is at an APY of 0.90%. The 13 month is at a APY of 1.40% and the 17 month is at 16.5% APY while the 25 month is at an APY of 2.00%. Each one of these has a minimum of $5000 deposit. These rates are current for July 2009.
Well Fargo did acquire the bank of Wachovia last year, but now their CD rates match Wells Fargo CD rates so there is no advantage of switching to that financial establishment.
As an investor can see with the longer term of the CD the interest rate increases. This is normal for this type of safe low risk investment. All CD are insured by the FDIC plus Wells Fargo is a large well established business that will be in business for years to come.
The terms of these CD’s seem a little off. These terms are quoted for those that are renewing their CD’s. This is usual since most investors are now making a CD ladder with this type of investment. Renewal and carry forward is becoming common place. Because of this the management at Wells Fargo has decided to make each of their CD’s an automatic renewable investment. As an investor you may never have to do anything again until it is time for you to withdraw your investment. These all will automatically renew unless you notify Wells Fargo in within 7 days of the end of the term or maturity date.
This does have a good point and that is if you forget about your investment, it will still be earning interest. The bad thing is if you do not take action within 7 days, you will have to wait until the maturity date arrives again to make a change or withdraw the funds.
Well Fargo CD rates are good but nothing to brag about.