Welcome the High Yield Savings Account

Just in December I wrote an article titled: Investing in High Yield CD's at 4.8 to 5.3% for 3 to 4 Months.  I heard from many of you asking for more CD's and the pros & cons of investing in CD's.  In December 2007 there were some great rates available by a ton of banks, but now that interest rates have come down, so have the CD rates.

CD Investing News

While some of these CD Deals mentioned in this article may no longer be offered by the various Banks and Financial firms, the most recent CD options can be found by our sponsors:

There's a new product out by E*TRADE that I like and has got my attention. It's E*TRADE's 4.4% APY savings account, here's the link if you want to check it out - click here.  Shares of E*TRADE (ETFC) have made a nice comeback lately, up an impressive 70% in the past month.  Amazing stuff when just a few days ago they recorded almost $460 million in expected losses for 2008 on a $12 billion book of home-equity loans suffering from deteriorating credit quality.

The company also incurred a "goodwill" charge of more than $100 million, reflecting fundamental damage to the value of E-Trade's brand. Still, stock aside I like the savings account offer, here's the info with their helpful comparison:

* As of February 1, 2008. Earnings based on an average balance of $25,000.

WaMu is also jumping on the band wagon, they offer a High Yield 4.25% APY savings account and claim you can setup an account in just 7 minutes: Click here to review their offer - link here.  Washington Mutual (MU) shares have come back to life in the last 30 days, up 38% and climbing.

Just last week Washington Mutual Inc. said that higher-than-expected net interest income in 2008, along with its exit from subprime loans and a renewed focus on bank-branch customers, will help carry the thrift through what promises to be a difficult year

'We expected the correction (in the housing market) would likely be softened by continued economic growth, low unemployment, historically low interest rates,' Chief Executive Kerry Killinger told analysts at a Citi (NYSE:C) Investment Research conference in New York. 'However, that has not been the case.'

Other CD offers:

WaMu, the country's largest savings and loan, swung to a loss in the final quarter of 2007 after writing down $1.6 billion to account for the sinking value of its home loan portfolio, and setting aside $1.53 billion to cover future loan losses.

Here's the low down on WaMu's deal:

Special Online Offer: 4.25% APY and No Monthly Fee!

Bank of America's CD rates have come way down, down from 4.8% to 3.35%, here's their offer and link for more details:

3.35%  Guaranteed return, short-term commitment

Watch your money multiply without making a long-term commitment. Our High Yield CD lets you make the most of your savings with:

A special online-only rate
A guaranteed return
A short 4-month term
Just $5,000 minimum to open

 

 

Then there's INTEREST.com, they allow you to compare local bank CD rates, some of these have some low minimum deposits, here's the link to them - click here.

Compare local rates to the nation's highest yielding products.

This chart allows you to compare rates in your area to the 100 highest yields nationwide. Simply click on the national button below to toggle between local and national results.

 

Happy hunting out there Masters, best of luck finding alternative investments to stocks and bonds. Think real estate in a few months.

 

Article written by Ted Gottsegen 

Contributor at TheStockMasters.com Disclaimer: The Author does not hold any positions or shares in the securities mentioned in this publication