The Unexpected Downsides of Keeping Too Much in a CD, Even With Rates Above 5%
The Motley Fool
JULY 29, 2024
In fact, CD rates are as high as they've been since 2007, according to Federal Reserve data. CD interest is taxable income Interest on banking products is considered earned income, and it's subject to ordinary income taxes. The tax bill is another disadvantage of putting your money in CDs compared to stocks.
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