No. of Recommendations: 0
- I recently heard that under federal law, you are allowed to withdraw the interest from your CD at any time without penalty. Only if you withdraw the prinicipal is the bank allowed to charge you a penalty. Can anyone confirm or refute?

I've seen banks which do not allow you to withdraw interest. Some examples:

http://www.homefederal.com/homefederal/tis_28mo.html
http://netbank.com/terms_truthinsavings.htm#5
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement