Bank of America CD Rates for November 2023

Bank of America CD Rates for November 2023

Bank of America's Certificate of Deposit (CD) offerings for November 2023 include Featured CD accounts with five terms, ranging from seven months to 37 months. However, it's essential to note that Bank of America's CD rates tend to be lower compared to top online banks. Some Featured CD terms have rates as low as 0.05% APY, requiring a minimum opening deposit of $10,000.

Additionally, Bank of America offers Standard Term CDs, allowing customers to choose terms from 28 days to 10 years. These Standard Term CDs maintain a consistent 0.03% APY across all terms and balances.

Related: Best CD Rates

Is There a Maximum Deposit for Bank of America CDs?

Bank of America refrains from specifying a definitive maximum deposit limit for its CDs. However, the bank does establish a minimum deposit requirement of $1,000. If you intend to invest an amount exceeding $250,000, you might be required to initiate the account-opening process in person.

It is important to be aware that deposits exceeding $250,000 held within a single financial institution are not encompassed by the safeguards of the Federal Deposit Insurance Corp. (FDIC).

This insurance safeguards deposited funds in the event of a bank's financial instability or failure. Consequently, considering the protection of your assets is pivotal when making larger deposits. It is advisable to thoroughly comprehend the implications of deposit amounts in relation to FDIC coverage and make informed financial decisions accordingly.

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Related: Bank of America Credit Card

Bank of America CD Time Period for Deposit

Bank of America extends its CD offerings through Standard Term CDs, providing customers with the flexibility to select terms ranging from 28 days to an expansive 10 years. With a minimum deposit requirement of $1,000, these Standard Term CDs come with a consistent 0.03% APY across all terms and deposit balances.

The Standard Term CDs empower individuals to tailor their investment durations according to their financial goals, offering a comprehensive span of time periods for consideration. Whether seeking short-term liquidity or long-term growth, customers have the freedom to align their CD investments with their unique financial objectives.

While the 0.03% APY remains steady across terms and balances for standard-term CDs, the stability of this APY ensures predictability in the growth of invested funds. This feature makes Bank of America's Standard Term CDs an attractive option for those looking to engage in low-risk savings while enjoying the convenience of a wide array of term choices.

Related: Does Bank of America Offer Personal Loans

Related: Bank of America Online Banking

Bank of America

Bank of America is one of the largest financial institutions in the United States, boasting a vast network of over 3,900 branches and 15,000 ATMs. It serves approximately 68 million customers, offering a comprehensive range of financial products and services, including deposit accounts, credit cards, mortgages, auto loans, and investment services through Merrill Edge.

While Bank of America offers a variety of certificate of deposit (CD) options with flexible terms, it's important to note that their CD rates may not always be the most competitive when compared to other institutions. Customers can open Bank of America CDs with a minimum deposit of $1,000, and the bank provides options for both online and in-person account opening.

What Are the Pros and Cons of Bank of America CD Rates?

Pros of Bank of America CD Rates

• High-Interest Rates on Select Terms: Bank of America offers competitive interest rates on specific CD terms, particularly the 7- and 13-month Featured CDs, as well as Fixed-term CDs ranging from 90 to 179 days. This can be advantageous for short-term investors seeking lucrative returns.
• No-Penalty CD Option: Bank of America provides a no-penalty CD option with an attractive interest rate. This feature allows investors to withdraw funds before the CD matures without incurring penalties, making it a flexible choice for those concerned about liquidity.
• Variety of CD Terms: Bank of America offers a diverse range of CD terms, enabling investors to align their investments with their financial goals. This flexibility ensures that customers can choose the duration that best suits their needs.

Cons of Bank of America CD Rates

• Low-Interest Rates on Most Fixed-Term CDs: While Bank of America boasts competitive rates on certain CD terms, the interest rates on many Fixed-Term CD lengths are relatively low. This might deter investors seeking substantial returns on longer-term investments.
• Online Banks and Credit Unions May Offer Better Rates: Despite Bank of America's rates, online banks and credit unions often provide even higher CD rates across various terms. This discrepancy means that savers might find more lucrative opportunities elsewhere.
• Higher Minimum Initial Deposits: Bank of America's minimum opening deposit requirement might be higher compared to some other banks, potentially limiting accessibility for those with limited upfront funds.
• Standard-to-High Early Withdrawal Penalties: Early withdrawal penalties on Bank of America CDs can range from standard to high, depending on the CD type and term. This could deter investors from withdrawing funds before the CD matures.