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Old 02-13-2007, 10:30 AM
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bjl584 bjl584 is offline
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Default Re: Flagstar Bank - 10% 6month CD

Remember that rates on CD's are always expressed in APR (Annual percentage yield.) In other words, this is the interest rate that would be applied to your money on an annual basis. The term on the CD is 6 months, so your getting clser to a 5% rate on your money. Not exactly 5%, due to the algebra involved, and I can't remeber the exact formula off the top of my head, but it's somewhere around 5%.
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