Bank of America Featured CD

Bank of America Featured CD Review

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

Key Takeaways

• Small selection of CD account types. Bank of America Featured CD only offers IRA and traditional 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.

Pros & Cons of Bank of America Featured CD

Bank of America Featured CD FAQ

Are CD from Bank of America federally insured?

Yes, your Bank of America CDs 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 if you deposit a fixed amount of money for a specific term. Once the maturity date arrives, you have the option of cashing out or automatically renewing the CDs 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 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 require 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 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 term ends.

Bank of America does not charge an early withdrawal fee.