Certificate of Deposit 2,000
Cash 2,000

Check with and your local credit union.

4.10% ON 5000 DOLLARS IS 205.00 DOLLARS .that is simple interest, if it,s compounded, you will gain a little more roughly 2/8 dollars a month you need to ask howe the interest is paid out ,

Consider the Vanguard Prime Money Market Fund with a current compound yield of ~4.65% APR.

If you are in a high tax bracket you may prefer their tax exempt money market funds:

Sometimes other institutions will have a higher teaser rate, but Vanguard tends to have the highest yields I’ve found over the long run. (Vanguard money markets are not FDIC insured, however.)

Article on teaser rates: =%7B0A13B6E2-FFB2-4E2B-BD42-E2D1E01C52E5%7D

ING and HSBC often have rates close to Vanguard, and most of their products are FDIC insured. Bankrate.com provides links to CD’s with high interest rates as well as high interest rate banks. You can check these at the following links:

(If you are investing for a long period of time and are willing to accept some volatility, you should consider putting some money into no-load low-expense mutual funds. These are not guaranteed, but over the long run produce much higher returns.)

ING Direct has a good interest rate for CD’s, probably on of the highest one’s out there. you can also try EMIGRANT Direct.

I believe that the FDIC corp would have to pay you 100% of your principal and interest accrued to date at the time you request it. It may take a couple of days, but you shouldn’t have to wait for the CD to mature.

Hi,

The FDIC will insure the entire amount of the principal and accrued interest. You will be able to claim all of the money you ought to have been entitled to, up to $100,000.

As to whether you have to wait until the CD matures, you probably will. Otherwise you will incur the normal penalties that will be on the CD agreement. Depending on the situation, it’s possible that the FDIC would simply give you the cash amount of the CD but I suspect they would try to hold onto the assets as you’re contractually obligated to allow the bank to hold them. And the last thing the FDIC wants when propping up a failed bank is even more of a bank run.

Good luck!

If there is no will, then state probate law dictates the settlement of the estate. The CD is part of the estate.

In my state I think $100k is the lower limit for requiring probate if the money is not willed. That $100k numbers includes all assets not willed and that includes cars, boats, collections, property, furniture, iow everything owned by the deceased.

Then the state determines the distribution of those assets in probate. But the probate process does cost money and court time so it is best to have a will, and/or trust, covering enough assets to get you below that probate number. And that dollar limit number to avoid probate can vary state to state.

It becomes part of the estate.
If no will has been left, everything goes into Probate Court and awarded equally to first of kin. This can eat up some bucks.

If a will is left it usually includes all personal assets and the terms of the will are followed.

This is just my experience with having wills prepared.

I am not an attorney.

The government can’t take any unless taxes are owed by the estate.