In the compact yet dynamic financial landscape of Rhode Island, opportunities to grow your savings are as abundant as the state’s rich history. This comparison serves as your guide, assisting you in shopping and comparing the best CD bank rates, savings interest rates, money market account interest rates, and fixed annuity interest rates available across the Ocean State. Whether you’re banking with a large institution, a community-based credit union, or flexible online platforms, our mission is to smooth your path toward financial growth. We’re here to decode the complexities of RI’s financial ecosystem, providing you with the knowledge to optimize interest rates and efficiently grow your savings. With this guide, navigating Rhode Island’s financial currents becomes less of a puzzle and more of a journey toward financial wellness.
Earn The Highest Interest Rates On Savings Today
Fixed annuities are almost identical to Certificates of Deposit (CDs) accounts and provide higher interest rates and penalty-free withdrawals for income.
| Term | Insurance Company | APY |
|---|---|---|
| N/A | Money Market Account – American First Credit Union | 5.29% |
| N/A | Money Market Account – StagePoint Federal Credit Union | 5.29% |
| N/A | Savings Account – Customers Bank | 5.30% |
| 12 Months | CD – Western Alliance | 5.51% |
| 5 Years | Clear Spring Fixed Annuity | 6.00% |
Disclaimer: This is a review. The Annuity Expert is not associated with a bank or credit union. However, fixed annuities are sold at most financial institutions. We aim to help you find the highest interest rates for your retirement savings. We may receive a small referral fee if you purchase something using a link in this guide.
Best CD Rates In Rhode Island
A CD (Certificate of Deposit) is a low-risk, FDIC-insured savings product banks and credit unions offer. You deposit for a specified period, typically three months to 5 years, and the bank promises to pay you a fixed interest rate. CDs are often marketed as a safe, short-term investment option.
3-Month CD Rates
Banks and credit unions have the highest CD rates for three months.
| Best 3-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Signature Federal Credit Union | 5.55% APY | 3 Months | $500.00 |
| Western Alliance Bank | 5.51% APY | 3 Months | $1.00 |
| Ponce Bank | 5.40% APY | 3 Months | $1.00 |
6-Month CD Rates
The following banks and credit unions have the highest CD rates for six months.
| Best 6-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| TotalDirectBank | 5.76% APY | 6 Months | $25,000.00 |
| Franklin Mint Federal Credit Union | 5.60% APY | 6 Months | $500.00 |
| Western Alliance | 5.70% APY | 6 Months | $1.00 |
1-Year CD Rates
The following banks and credit unions have the highest CD rates for 12 months.
| Best 12-Month CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| My eBanc | 5.77% APY | 12 Months | $50,000.00 |
| Popular Direct | 5.67% APY | 12 Months | $10,00.00 |
| State Bank of Texas | 5.85% APY | 12 Months | $50,000.00 |
2-Year CD Rates
Banks and credit unions have the highest CD rates for 24 months.
| Best 2-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Luana Savings Bank | 5.63% APY | 24 Months | $100,000.00 |
| Maple Mark Bank | 5.40% APY | 24 Months | $25,000.00 |
| Newtek Bank | 5.60% APY | 24 Months | $50,000.00 |
3-Year CD Rates
Banks and credit unions have the highest CD rates for 36 months.
| Best 3-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| U.S. Senate Federal Credit Union | 5.23% APY | 36 Months | $200,000.00 |
| Mountain Credit Union | 5.03% APY | 36 Months | $2,500.00 |
| Bread Savings | 4.90% APY | 36 Months | $1,500.00 |
4-Year CD Rates
The following banks and credit unions have the highest CD rates for 48 months.
| Best 4-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Bread Savings | 4.50% APY | 48 Months | $1,500.00 |
| The State Exchange Bank | 4.50% APY | 48 Months | $1.00 |
| Barclays | 4.45% APY | 48 Months | $1.00 |
5-Year CD Rates
Banks and credit unions have the highest CD rates for 60 months.
| Best 5-Year CD Rates | Rate | Term | Minimum |
|---|---|---|---|
| Farmers Insurance | 5.00% APY | 60 Months | $1,000.00 |
| Barclays | 4.50% APY | 60 Months | $0.00 |
| Bread Savings | 4.50% APY | 60 Months | $1,500.00 |
Advantages of CDs
- Guaranteed return: CDs offer a guaranteed return, which can help you plan your expenses and ensure that you have a steady source of income.
- FDIC insurance: CDs are insured by the FDIC, meaning your deposit is protected up to $250,000 per depositor, per institution.
- Predictable returns: CDs offer predictable returns, making planning your budget and expenses easy.
Disadvantages of CDs
- Low returns: CDs offer relatively low returns compared to other investment options.
- Penalty for early withdrawal: You may be subject to an early withdrawal penalty if you withdraw money from a CD before it matures.
- Limited liquidity: Once you deposit money into a CD, you cannot access it until it matures.
Best Fixed Annuity Rates In Rhode Island
A fixed annuity is a contract between you and an insurance company. You make a lump sum payment or a series of payments, and in return, the insurance company promises to pay you a guaranteed income for a specified period or the rest of your life. Fixed annuities are often marketed as low-risk, long-term investment options for retirement.
Disclaimer: Products are subject to state availability. Please inquire below for details.
Advantages of Fixed Annuities
- Guaranteed Interest Rate: Fixed annuities offer a guaranteed rate of return.
- Guaranteed income: Fixed annuities provide a guaranteed income stream (optional), which can help you plan your expenses and ensure that you have a steady source of income in retirement.
- Tax-deferred growth: The investment grows tax-deferred, which means you don’t pay taxes on the interest earned until you start receiving payments.
- Estate planning: In some cases, the remaining value of a fixed annuity can be passed on to your beneficiaries after you pass away.
Disadvantages of Fixed Annuities
- Limited liquidity: Most fixed annuities offer limited withdrawals annually without a penalty. Any money outside those limitations may come with a surrender charge.
- Early withdrawal penalties: If you withdraw money from the annuity before you reach the age of 59 ½, you may be subject to a 10% early withdrawal penalty.
Next Steps
In this comparison, we have covered a great deal of information about fixed annuities and CDs available in Rhode Island, so you should know what is necessary to make an informed decision about what is best for your unique situation. Fixed annuities and CDs can be effective when creating your ideal investment portfolio; however, you should weigh out all of the considerations like tax treatment, liquidity, return potential, and rate of return before choosing either option.
Remember that it’s okay to take some time and research before making any decisions because, ultimately, you are investing in something that will be part of your long-term financial plan. A little bit of effort during the research phase can genuinely go a long way later on! If you aim to get the best-fixed annuity or CD rates in Rhode Island, look no further than our team. We stand ready and would love to help answer any questions that you may have and provide you with a quote for coverage. Contact us today so we can get the ball rolling!
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