What is the maximum amount of money I can make in interest over 5

years with a $5,000 dollar investment?

By Lauren Andrew

Checking Account: A checking account allows you to frequently access your funds. Often has a low interest rate because of accessibility.

Savings Account: A savings account may require a low daily minimum balance. This kind of account is ideal if you would like to set away money for an extended period of time.

Certificate of Deposit (CD):A CD requires that you put away a certain amount of money for a specific amount of time. Once the money is in, you cannot access it until the time period has ended.

Money Market Account: This account requires a larger minimum opening and daily balance. This is good if you need to set aside a larger amount of money, but would still like to retain access to the account without fees.

Big Bank: These banks often have locations is many spots across the country and provide for easy access to accounts.

Credit Union: A credit union is a cooperative financial institution that is privately owned and controlled by it’s members.

Online Bank: Online banking (or Internet banking) allows customers to conduct financial transactions on a secure website operated by their retail or virtual bank, credit union, or building society.

Average rates Online Banking Rates5 Year CD 2.86% APR 2.50% APR 2.78% APR

E*trade FinancialMinimum deposit of $1.00 .60% Interest rate$300.00 made after 5 years

Huntington $2,500.00 to $9,999.000.05%

Greater Nevada Credit Union Deposit: $.01-$50,000 2.00% APR

Royal Banks of Missouri 4.30% APY when conditions are met Minimum of 10 debit card purchases (ATM

usage does not count toward the 10 purchases)

1 Automatic Payment or Direct Deposit transfer

Receive your monthly account statement electronically

Does not seem secure enough to trust… Possible hidden fees

Wells Fargo- CD27 months (Renews for 24 month term) 1.90% APRMinimum Deposit $5000 After 5 years $475 would be made

Bank of America-CD5 years- 2.75% APRMinimum Deposit is $1000 After 5 years $687.5 would be made

Citibank-CD5 years-3.50% APRMinimum Deposit is $1000 After 5 years $875 would be made

If I invest my money into a CD with Citibank, I will make $875.00 in interest over 5 years vs. the $500.00 Uncle Al would make through his bank.

Because it is a CD, I would be allowed to deal with the money after each year, so that if I was allowed to access it for college, I would have this option.

Therefore, I should be allowed to invest Aunt Edith’s $5,000 dollars into Citibank so that I will make $375.00 more dollars over five years.