cd minumun

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boardwalkmike
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cd minumun

Post by boardwalkmike » Sun Apr 15, 2018 3:13 pm

I am new. Am I reading it correct.
Vanguard has a 10,000 min to buy cd,s ??

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dm200
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Re: cd minumun

Post by dm200 » Sun Apr 15, 2018 3:35 pm

boardwalkmike wrote:
Sun Apr 15, 2018 3:13 pm
I am new. Am I reading it correct.
Vanguard has a 10,000 min to buy cd,s ??
Different issuing FDIC insured banks may have different minimum purchase amounts for purchase of brokered CDs. The minimums are listed at vanguard on the available CD pages. Many such offering banks have CDs with higher than $10,000 minimums.

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Rainier
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Re: cd minumun

Post by Rainier » Sun Apr 15, 2018 3:41 pm

No matter what, it is a $1,000 minimum.

This specific issuer is obviously higher.

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LadyGeek
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Re: cd minumun

Post by LadyGeek » Sun Apr 15, 2018 3:59 pm

boardwalkmike, Welcome!

Let's look at Vanguard's website: Certificates of deposit (CDs) (I underlined the minimum purchase amount.)
CDs are deposit obligations issued by commercial banks to raise funds for their business activities. Investors lock in the market interest rate at the time of purchase, and the rate is usually fixed for the term of the CD. Vanguard Brokerage imposes a $10,000 minimum for CDs purchased through Vanguard Brokerage, with $1,000 increments thereafter.

...A brokered CD is a type of CD issued by a bank or thrift institution to be bought in bulk by a brokerage firm and resold to brokerage customers.

...Vanguard sells brokered CDs only.
There is a very important point. A brokered CD is not the same thing as one you would buy from a bank. See the wiki: Brokered CDs

Are you looking to buy a CD as a way to get something better than a bank rate? Or, are you looking to buy a Vanguard CD as part of your investment portfolio?

May I recommend you post your portfolio in this thread using the Asking Portfolio Questions format? It will make you think about the "big picture" while giving us the information we need to point you in the right direction.

You can get started here: Getting started

If you have any questions, ask them here.
Wiki To some, the glass is half full. To others, the glass is half empty. To an engineer, it's twice the size it needs to be.

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dm200
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Location: Washington DC area

Re: cd minumun

Post by dm200 » Sun Apr 15, 2018 4:06 pm

LadyGeek wrote:
Sun Apr 15, 2018 3:59 pm
boardwalkmike, Welcome!

Let's look at Vanguard's website: Certificates of deposit (CDs) (I underlined the minimum purchase amount.)
CDs are deposit obligations issued by commercial banks to raise funds for their business activities. Investors lock in the market interest rate at the time of purchase, and the rate is usually fixed for the term of the CD. Vanguard Brokerage imposes a $10,000 minimum for CDs purchased through Vanguard Brokerage, with $1,000 increments thereafter.

...A brokered CD is a type of CD issued by a bank or thrift institution to be bought in bulk by a brokerage firm and resold to brokerage customers.

...Vanguard sells brokered CDs only.
There is a very important point. A brokered CD is not the same thing as one you would buy from a bank. See the wiki: Brokered CDs

Are you looking to buy a CD as a way to get something better than a bank rate? Or, are you looking to buy a Vanguard CD as part of your investment portfolio?

May I recommend you post your portfolio in this thread using the Asking Portfolio Questions format? It will make you think about the "big picture" while giving us the information we need to point you in the right direction.

You can get started here: Getting started

If you have any questions, ask them here.
Yes - $10,000 is the vanguard minimum - BUT many CDs offered by Vanguard have higher minimums.

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