Bank of America Featured CD Review

Bank of America Featured CD is offered by Bank of America, a bank founded in 1784 and based in Charlotte, NC. Bank of America Featured CD is available in 50 states (and Washington, DC).

• Small selection of CD account types. Bank of America Featured CD only offers traditional and IRA CDs.
• Low APY. The maximum annual percentage yield for this account is only 0.05.
• High minimum deposit. You must deposit a minimum of $10,000, which is high compared to most CD accounts.
• Limited selection of CD terms. Bank of America Featured CD only offers three CD terms. This limits your options when trying to set up a CD ladder.

Are cd accounts from Bank of America federally insured?

Yes, your Bank of America cd accounts are insured up to $250,000 per person by the Federal Deposit Insurance Corporation (FDIC). The FDIC is an independent agency of the United States government that protects you against the loss of your insured deposits if an FDIC-insured bank or savings association fails. FDIC insurance is backed by the full faith and credit of the United States government.

What types of CDs does Bank of America offer?

• Traditional CDs. These CDs pay a fixed interest rate i you deposit a fixed amount of money for a specific term. Once the maturity date arrives, you have the option of cashing out or rolling over the CD for another term.
• IRA CDs. An IRA CD is a type of IRA that consists entirely of CDs. In general, you can invest in CDs in any IRA, but Bank of America Featured CD offers a CD that is specifically for retirement.

What CD rates does Bank of America offer on its CDs?

The CD rates for this account have an APY of0.05% (APY stands for annual percentage yield, rates may change).

What is the minimum deposit to open a CD account with Bank of America?

Bank of America Featured CD requires a minimum deposit of $10,000 to open an account.

What is the grace period for Bank of America Featured CD?

There is a 7-day grace period for Bank of America Featured CD. A grace period is a period of time during which you can withdraw the money in your CD without paying an early withdrawal penalty. A grace period starts the day after a CD’s maturity date, or the final day a CD is opened. Standard CDs renew automatically at the same term if you don't withdraw your money after the 7-day grace period. Note that the new CD rates probably won’t be the same as the original.

What types of fees, such as early withdrawal penalties, does Bank of America Featured CD charge?

Financial institutions don't typically charge many fees on CDs. However, most charge a fee if you choose to withdraw your money before the CD term ends.

Bank of America does not charge an early withdrawal fee.