The newest savings account offering from Main Street Bank is the variable rate Rising Rate CD, a flexible savings option that keeps your funds at an optimal interest rate. Regardless of when you open a Rising Rate CD, the unique structure of this account gives you a solid return on your savings in line with the market.

What is a Rising Rate CD?

The Rising Rate CD is a Certificate of Deposit (CD) account with a variable rate. Like any other CD, you fund it with a sum of money for a set amount of time, known as the “term”. In this case, the Rising Rate CD has a term of 18 months. That means that once the CD is opened, the money is locked into that CD and earning interest until the term is completed. Money cannot be added or withdrawn from the account until it reaches the end of the term. If funds are withdrawn early, it is subject to a penalty. To maximize the returns on your CD, it is best to let the account reach the full term, and either withdraw it at that time or roll it into another CD to earn more interest.

What makes this product unique.

Now, the Rising Rate CD has a twist. Usually, the interest rate on the date that you open a CD is consistent for the whole term, or what is called a “fixed” rate. Interest rates on CDs are usually determined by the economy and the length of the term. Traditionally, opening a CD is a savings move where you assume that the interest rates on CDs are going to go down in the future. By locking in a high rate at account opening, you can earn more money over a longer period. 

Alternatively, if you lock in a CD at a lower rate and interest rates rise, your funds are effectively trapped until the term completes. With the Rising Rate CD, however, the interest paid on the account goes up and down based on the economy. This makes this account a good savings option for those who are looking to grow some savings without the risk of being locked in a low rate. As rates rise across the board, the Rising Rate follows suit and rises too, making this savings account highly adaptable. 

Having adaptability in your savings is especially important in such an unpredictable economy. With the Rising Rate CD, you can comfortably save your money with an interest rate that won’t let you down.  

Product Features:

  • Variable rate that can change over time 
  • The current rate is 1.00% APY* 
  • 18-month term 
  • Once mature, the account rolls over into a regular fixed rate 18-month CD 
  • Minimum to open – $1,000; minimum to earn interest – $10
  • Maximum deposit amount is $1,000,000 per customer in this account type

How to open a new Rising Rate CD account.

To get started with this new savings option, you can:

The Rising Rate CD is a limited time offer, so act soon to take advantage of this product. Available to new and current Main Street Bank customers.

*APY = Annual Percentage Yield. On the variable rate “Rising Rate” certificate of deposit (CD), rates may change after the account is opened and are subject to change at any time. Variable rate CD has a floor rate of 0.35% APY and maximum rate of 2.00% APY. Variable rate CD is a limited time offer and may end at any time. Penalties may apply for early withdrawals. Minimum to earn APY is $10. Not available for IRA CD accounts or business accounts.