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Why you should open a CD this June

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By opening a CD this June, you could grow and protect your savings all summer long.

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When considering the right savings account, timing plays a key role. If you had opened a high-yield savings account or certificate of deposit (CD) account in the spring of 2020 or 2021, you would have seen a negligible return on your deposit. But as the economy evolved, inflation grew and the federal funds interest rate increased. That resulted in returns on both account types growing exponentially. Now, rates on both accounts hover near 5% or higher

That noted, inflation has cooled significantly since hitting a decades-high in June 2022. And if it continues to fall, a cut to the federal funds rate could become possible. While that would be good news for borrowers, it won’t be as beneficial for savers. This underlines the importance of opening these accounts now and there are compelling reasons why you may want to open a CD heading into June. Below, we’ll break down three of them.

See how much more you could be earning with a top CD account here now.

Why you should open a CD this June

In an evolving rate climate, knowing when to get involved and when to hold back is important. Understanding that, here are three reasons why you should consider opening a CD this June.

Rates are already high

It’s not difficult to find a CD with a rate of 5% or higher right now, especially if you’re willing to open an account with an online bank. That’s equivalent to $5 earned for every $100 deposited, simply in exchange for moving some of your money into one of these accounts. To earn the full return, however, you’ll need to be willing to keep your money in the account untouched until the full CD term has matured. But that may be a reasonable compromise for many, particularly when stacked against the minimal 0.45% average rate that comes with regular savings accounts now.

Get started with a CD online today.

Rates could rise again

The next inflation report is scheduled to be released on June 11 and the Federal Reserve is set to meet that day and on June 12, too. If the numbers in the former are still too high, don’t be surprised to see the Fed raise rates the following day. But even if they just hint at a rate hike to come, that could be enough to raise the rates lenders offer on their CD accounts. After all, while the Fed doesn’t directly dictate what lenders offer, they do influence the rates they offer customers. So be ready to act by then – or consider locking in a rate now before any announcement adversely affects what you otherwise could have secured.

It’s a safe way to protect your money

Not only is a CD safe from any bank failures (it’s FDIC-insured up to $250,000 per account, per lender) but it’s also a way to protect against what otherwise may have been an endless cycle of withdrawals and deposits. And with inflation still stubborn and the costs of everyday living prohibitive, the chances of you accessing this money often are high. But with an early withdrawal penalty as an incentive to hold off, you may be able to save more money than if you had flexible access. That’s a big plus this June and in most other months and seasons, too. 

The bottom line

If you missed out on the opportunity to earn substantial returns on CDs in recent years then be prepared to act ahead of June. Rates on these accounts are already high but could they could tick up even further based on a new inflation report and Federal Reserve meeting mid-month. And with effective ways to protect your money in today’s inflationary climate scarce, it can behoove savers to act now while these accounts are still advantageous. 



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Trump to hold second rally at site of attempted assassination

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Trump to hold second rally at site of attempted assassination – CBS News


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Former President Donald Trump is returning to Butler, Pennsylvania, today to hold a rally. Twelve weeks ago, a would-be assassin opened fire on him there. Meanwhile, Vice President Kamala Harris is set to visit North Carolina to review federal relief efforts after Hurricane Helene.

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Eye Opener: At least 70 people killed in gang attack in Haiti, United Nations says

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The United Nations said at least 70 people have been killed in a gang attack in Haiti. Meanwhile, a 21-year-old Yazidi woman was rescued from Gaza after a decade. All that and all that matters in today’s Eye Opener.

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Floods, landslides struck parts of Bosnia as residents slept, leaving at least 16 dead and several missing

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A severe rainstorm struck Bosnia overnight Friday, killing at least 16 people in floods and landslides in several towns and villages in central and southern parts of the country, with surging waters rushing into people’s homes as they were sleeping.

Rescue services in the south said several people were missing and called on volunteers and the army to assist as roads were closed and houses left without electricity.

Josip Kalem, a resident of Fojnica, one of the towns hit by the floods, said his dog’s barking woke him up at around 4 a.m. When he came out on the terrace, he saw the water rising rapidly.

“I came down, woke up my wife, and we looked around, we could not get out of the house. We saw more and more water coming in,” he said. “All of a sudden, the water was flooding the garage, basement, my car — everything. The water swept it all away, including my dog. Flood took it downstream.”

Andja Milesic, another resident of Fojnica, also said she was caught by surprise in the middle of the night.

“When I woke up, my bedroom floor was already soaked. I walked into the hallway — water was everywhere — the living room, everywhere,” she said. “It was horrible.”

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A car is submerged in flood waters outside an apartment building in the village of Kiseljak, northern Bosnia, Friday, Oct. 4, 2024.

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Darko Juka, a spokesman for the local administration, said at least 14 people had died in and around the southern town of Jablanica. Officials later said two more bodies have been found.

“Those are the ones who have been discovered by rescuers,” he said. “We still don’t know the final death toll.”

“I don’t remember such a crisis since the war,” Juka said referring to the 1992-95 war in Bosnia that left the country in ruins. “The scale of this chaotic situation is harrowing.”

Defense Minister Zukan Helez told N1 regional television that troops have been engaged to help and that the casualties were reported.

Helez said that “hour after hour we are receiving news about new victims. … Our first priority is to save the people who are alive and buried in houses where the landslides are.”

A pregnant woman lost her baby after she was rescued from the floods and transferred to a hospital in the regional center of Mostar. Authorities said doctors were fighting for her life as well. Separately, a child was successfully rescued and hospitalized, local officials said.

Rescue services in the towns of Jablanica and Kiseljak said the power was off overnight and mobile phones lost their signal.

The Jablanica fire station said that the town was completely inaccessible because roads and trainlines were closed.

“The police informed us that the railroad is also blocked,” the state rescue service said in a statement. “You can’t get in or out of Jablanica at the moment. Landline phones are working, but mobile phones have no signal.”

It urged people not to venture out on the flooded streets.

Human-caused climate change increases the intensity of rainfall because warm air holds more moisture. This summer, the Balkans were also hit by long-lasting record temperatures, causing a drought. Scientists said the dried-out land has hampered the absorption of floodwaters.

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Apartment buildings are reflected at a flooded soccer field after a heavy rain in the village of Kiseljak, northern Bosnia, Friday, Oct. 4, 2024.

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Drone footage broadcast on Bosnian media showed villages and towns completely submerged under water, while videos on social networks showed dramatic scenes of muddy torrents and damaged roads.

One of the busiest roads linking Sarajevo with the Adriatic coast via Jablanica was swept into a river, together with a railway line in a huge landslide, according to photos.

“Many people are endangered because of big waters and landslides. There is information about victims and many injured and missing persons,” said the civic protection service.

Authorities urged people to stay on the upper floors of their homes. Reports said surging waters swept away domestic animals and cars as the water swiftly filled up lower floors of buildings.

The heavy rains and strong winds were also reported in neighboring Croatia, where several roads were closed and the capital of Zagreb prepared for the swollen Sava River to burst its banks.

Heavy winds have hampered traffic along the southern coast of the Adriatic Sea, and flash floods caused by heavy rain threatened several towns and villages in Croatia.

Floods caused by torrential rains were also reported in Montenegro, south of Bosnia, where some villages were cut off and roads and homes flooded.

In 2014, floodwaters triggered more than 3,000 landslides across the Balkans, laying waste to entire towns and villages and disturbing land mines leftover from the region’s 1990s war, along with warning signs that marked the unexploded weapons.



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