Friday, January 18, 2013

N.C. has among nation's highest savings rates

Interest rates certainly aren't great, but if you're storing money at a North Carolina bank or credit union, you're doing better than most.

So says a new report from Go Banking Rates, which tracks rates paid on savings accounts and CDs around the country. It says that North Carolina's average rates are third highest in the nation on short-term rates, though the ranking drops as the terms get longer.

Here's the charts they pulled together:

Deposit Account National Averages
Account TypeAverage Rate
6-Month CD0.31% APY
1-Year CD0.46% APY
2-Year CD0.69% APY
Savings Account0.21% APY

Average North Carolina Interest Rates
Account TypeAverage Rate
6-Month CD0.42% APY
1-Year CD0.54% APY
2-Year CD0.73% APY
Savings Account0.29% APY

Why is this? Go Banking Rates posits that the state's high unemployment rate has spurred people to keep money in more liquid accounts, raising demand for short term CDs.