Are 7 day CDs a good way to make money? I have never had one before. If the CD is 2.5% for 7 days and i invest $1000.00 , won't i get $25.00 profit at the end of seven days?
2007-01-12 13:23:50 · 5 answers · asked by westphalia1 2 in Business & Finance ➔ Investing
No - you'll get about 48 cents.
The interest rate on a CD is expressed as a yearly rate, meaning that you'd earn 2.5% if the money was there for all year - that's when you'd earn $25. But since it's there for only 1 week - 1/52nd of a year - you'd earn 1/52nd of $25, or about 48 cents.
My guess is that a 7 day CD is just a way to park your money for a short time to keep it safe until you do a little research and decide what you really want to do with it.
2007-01-12 13:34:20 · answer #1 · answered by Ralfcoder 7 · 0⤊ 0⤋
No you'll profit $25 in a year. You'll profit almost $.48 for 7 days. Get atleast a years CD, there are several around with 5% interest.
2007-01-12 13:31:14 · answer #2 · answered by Anonymous · 0⤊ 0⤋
I think you'll get about 48 cents for seven days.
$1,000 x 0.025 * 7 / 365
2007-01-12 13:39:02 · answer #3 · answered by ssbn598 5 · 0⤊ 0⤋
no, - maybe $0.25. try ING-direct.com I have 4.5% and that is 1 day to whenever it is pretty cool I had them for a year already.
2007-01-12 13:39:40 · answer #4 · answered by Earth to Mars 5 · 0⤊ 0⤋
selling blood and sperm is faster
2007-01-12 13:32:00 · answer #5 · answered by undrgrndhiphop 2 · 0⤊ 1⤋