Do they even offer a higher return or is it not just worth it & I should just keep my money in a regular savings account?
Stephanie Guerra: Nothing offers much of a return any more, so that's out. I use CD's as a way to KEEP my $$ close, but not too close, 'cause if it's TOO CLOSE, I'll spend-it.
You buy a CD, not save money into it. It earns interest during the term.
Of course 1% is better than .1% [10 times better !!]
The difference is marginal. I'd only use CDs if the money were for a set future purpose and I didn't want to touch it until after the CD matured.
A slightly higher return. The longer the term the higher the interest rate, but it's still pathetic.
you could easily find this out on the bank website or by going in, but, a CD is a certificate of deposit, you put your money into it for a specified TERM, 12 months to 5 years or more, you get a much higher interest rate than a standard savings account, but you HAVE to leave it in for the term or you lose money, they take penalites equal to what you would have made if you left it in the CD.