Here's how much interest a $50,000 2-year CD account can earn now
Summary
A $50,000 two-year certificate of deposit (CD) can earn between about $4,236 and $4,392 in interest at current rates of 4.15% to 4.30%. CDs pay a fixed interest rate but require keeping the money untouched until the end of the term to avoid penalties.Key Facts
- Certificate of deposit (CD) accounts pay interest over a fixed term.
- Early withdrawal from a CD usually results in losing interest earned so far.
- Current top interest rates for two-year CDs range from 4.15% to 4.30%.
- A $50,000 deposit at these rates can earn roughly $4,236 to $4,392 after two years.
- The interest is guaranteed and the initial deposit is protected, with accounts insured up to $250,000.
- Traditional savings accounts currently offer much lower interest rates, around 0.38%.
- High-yield savings or money market accounts are alternatives that provide better returns and more access to money.
- Savers should shop around for the best CD rates before committing their money.
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